Frequently Asked Questions

The company’s budget helps to plan and manage the company’s activities in detail and more efficiently. Managers can effectively attribute the tasks to their employees for a certain period by analyzing statements of income and expenditure. If a budget is created for a new area, then it is easier to imagine and plan future income, as well as expenses, and thus control the company’s activities.

Benefits of the small partnership: Members are only natural persons (up to 10 members), Limited civil liability, the possibility to pay out the profit in advance, no determined minimum authorized capital, and a civil service contract is concluded with the manager. Benefits of the private limited company: shareholders – natural and/or legal persons (from 1 to 250), clearly and strictly regulated distribution of shareholders’ votes, limited civil liability, very convenient to attract investors, a well-known legal form for foreign partners.

Advantages of a business certificate: prepaid fixed income tax which does not depend on the profit, simplified accounting, the period of operation can be extended. Advantages of an individual activity certificate: compared to a business license, there are no such strict limitations on activities, unlimited operating period, employees can be hired, simplified accounting.

The purpose of accounting is to provide complete and reliable forms of information about the organization of an enterprise and its financial position, such as: all the assets, liabilities, income and expenses of the enterprise, as well as the changes in price expressions. It can be said that this system is formed in an integrated, uninterrupted way and the documents reflect the entire economic activities of the company.

It is important to have an accounting policy for everyone: legal entities and various institutions, farmers and even people working with business licenses or individual activity certificates. If it is not prepared, a fine may be imposed after the tax inspectors carry out the inspection.

Once a small partnership (SP) is established, hiring an accountant or accounting company is not mandatory. SP’s accounting may be maintained by one of SP’s members, but in this case, there is a risk that the reports will not be prepared properly.

The private limited company must hire an accountant or the accounting company.

The accounting company assumes responsibility for the proper evaluation of the primary documents and their entry into the accounting system. In addition, the company must provide correct reports to the relevant authorities in a timely manner and provide the same reports and other appropriate information to the company’s management. If the information is incorrect and the company incurs a loss as a result, the accounting company must compensate the customer for the loss incurred and correct the erroneous reports.