First Annual Return for a new company

72hundred

Hi All,


Hoping for some help.


I have a company which was set up late last year, in recent weeks, I received a letter from the CRO looking for the "annual return" within 28 days of the NARD (Next Annual Return Date).

I was under the impression that accounts don't have to be submitted for the fist 18 months, but I think this is an non-audited document and something I could generate myself?

The company has no actual trading yet, as primarily formed to attain a .ie domain.

It there's a templete I could use that would be great, as I think I could most of it.


Thanks in advance !

Lockedout2

Is it the 6 month return if so no accounts go in with it.

Benny122

I am looking for some advice please. I am a new director on a management company. There are 3 directors altogether. We have an accountant hired to prepare our books. Is there anything as a director that I need to go or does the accountant do everything regarding the annual return etc?

pedroeibar1

Benny122 wrote: »

I am looking for some advice please. I am a new director on a management company. There are 3 directors altogether. We have an accountant hired to prepare our books. Is there anything as a director that I need to go or does the accountant do everything regarding the annual return etc?

It would have been better to start a new thread for your question.


Being a director carries responsibilities that extend far beyond dealing with an accountant and filing annual returns. As a new director you should have been given at least a briefing on your role on the board and also copies of the minutes of the last few meetings. If you have not, ask….
You need to read this

Benny122

pedroeibar1 wrote: »

It would have been better to start a new thread for your question.


Being a director carries responsibilities that extend far beyond dealing with an accountant and filing annual returns. As a new director you should have been given at least a briefing on your role on the board and also copies of the minutes of the last few meetings. If you have not, ask….
You need to read this

Thank you for the link. I was given the previous minutes! And I was at the previous AGM where I was voted in as a director as I am a new resident. However we are having alot of difficulty at the moment. There are only 12 apartments - all owned. However one owner keeps trying to do jobs between AGM which were not discussed or agreed at any AGM. And it's me and another director that sign off the cheques. He just ordered a job to be done there costing €300 and stated that it was in the minutes - however it wasn't and all the resident never remember it being discussed either so I just Duno what to do with this individual. Am I right in saying that there shouldn't be anything major between AGMs. He can't just keep deciding to do thing without consulting anyone there. He is only an owner like everyone ekse

pedroeibar1

It is impossible to give a clear answer as all the facts are not known.

You are the new guy – what do the other directors say? Don’t be walked into being the fall guy for them. What was the expenditure for, was it necessary, did it save money, etc.? It is not open to residents to spend and claim retrospectively. You have a duty of care to the other residents and the cash they have paid in management fees. You also hold the chequebook with the co-sign so have final say …….. but do not make a mountain out of a molehill.

This guy spending €300 might be an asset – a retired person who might have done huge work on prettifying the communal area with plants, where he is charging only for the plants and not his labour (which could be a multiple of that were it done by a contractor!) However, it needs structure. Manage it!

Twelve apartments, so for e.g. a minimum @€;1k each the €300 being claimed is a tiny amount (2.5%) but it was not preauthorised so it merits comment from the mgmt. committee. If ir were justifiable I'd pay but with a comment on pre-authorisation in future.

You need to have regular meetings (minimum quarterly) and set out a building management plan, including priorities. Communicate that to the owners, and follow up regularly.

In your position I would list what was agreed at the last AGM, have the mgmt. co. remind co-proprietors of this, what has been achieved to date and slip in a mention that any expenditure that has not been approved in advance by the Mgmt. board will not be reimbursed. Keep it informal, newsletter type of thing, don't alienate your neighbours.

Gloomtastic!

In a previous life we had to take a company to court after one of their employees signed an agreement to take a stand at an exhibition we were running but the company refused to honour it.

When we got in front of the judge, the owner of the company pleaded that the employee, who we discovered was just a sales assistant, had signed signed several agreements, including the purchase of a car, all without the knowledge of him or any of his fellow directors.

The judge ruled in our favour saying if an employee said they had authority to sign a contract then we could accept that as true and we needed no further proof.

So, in your situation I believe you need to make this owner aware, in writing, that they will be held personally responsible for any agreements they may make or sign, that is not agreed, in writing, by one or all of the directors of the company.

It may be enough to stop them but if it happens again then you must follow through on your threat.

Don't let the bastards get you down!

pedroeibar1

It's he law of agency, what is binding on the agent is binding on the principal. However, in your case Gloom, the company you sued had a right of action against the employee for acting without due authority. We're talking 300 euro in this case, and the guys are neighbours, so it requires some delicacy (yes, I can do that when necessary!;):)

Gloomtastic!

pedroeibar1 wrote: »

It's he law of agency, what is binding on the agent is binding on the principal. However, in your case Gloom, the company you sued had a right of action against the employee for acting without due authority. We're talking 300 euro in this case, and the guys are neighbours, so it requires some delicacy (yes, I can do that when necessary!;):)

But it seems like they have a serial nutter for a neighbour so for the sake of diplomacy, they could write to all the owners and stipulate that if any of them agree then they will be held responsible if it's not agreed beforehand.

Benny122

Well the facts are as follows:

I checked the AGM notes and there is NO mention of this job listed to be done. I went back through all the minutes and nothing. All the residence are furious as it was never mentioned to them or was it ever brought down at an AGM. This gentle phoned me up 3 weeks ago proposing to do another big job to the car park. I told him no way. He got furious on the phone and said "I'm going ahead and doing it". So I said legally you can't do what you want to do. This is something to be brought to an AGM and discussed there. Anything agreed at AGM gets done within the 12months.

The job he got done was putting up a light for €300. He stated that it was in the minutes but I have asked all residents and they have said it was never discussed at a meeting only he did want to do it himself a while back but he was stopped also.

Do I have a right to refuse to sign this cheque and tell him pay it out of his pocket.

Also there were cheques wrote back to directors for €100-200 for secretarial services which everyone is furious about also. One particular director and this man are "&"!!

Can I order a ballot at the next AGM to change directors?

Would you recommend me writing a letting to all residences? Including the man who ordered the work and including the other directors?

pedroeibar1

Everything you need to know about the appointment / removal or length of term of a director will be contained in the Articles of Association of the company, including notice periods for the different types of meeting and the percentages of votes required to pass decisions. You really need to study that and also any other rules adopted by / in place for the residence - they are bound to be with your deeds, containing such stuff as 'no satellite dishes' or laundry on balconies, etc.

The important thing from your perspective is to control expenditure. You also need to keep on friendly terms (at least outwardly) with all your neighbours, including the loose cannon. In your position I would speak with the other cheque signatory and get him/her to agree to jointly send a letter to all members/property owners reminding them that no resident is allowed incur costs on behalf of the management company without prior written approval and that any such unapproved expenditure may not be reimbursed. Additionally, anyone undertaking unapproved physical work may also be required to rectify and make good/restore the building and or grounds to their prior state. That should sort it out.

If the light the guy fitted is of decent quality and adds to safety / security /usefulness I'd reimburse him but with a caution.