What Documents Should Your Company Keep?

As a business owner, keeping track of your financial and legal documents is crucial to maintaining your company’s health and ensuring compliance with regulatory requirements. Whether you're a startup or an established business, it’s important that you’re aware of your obligations when it comes to keeping records . The right documentation can help you stay organised, prepared for audits, and protect your company in case of disputes.

At Pinnacle Advisory Services®, we often see businesses struggling with document retention. To simplify the process, here’s a breakdown of the key documents your company should keep and why they matter.

Financial Records

Invoices & Receipts Retain all sales invoices and receipts for purchases to ensure your financial statements are accurate. These documents support tax claims and validate business transactions. At Pinnacle we encourage our clients to use software such as QuickBooks’ Receipt Capture tool so that paperwork doesn’t go missing and you don’t have to store hoards of paperwork.

Bank Statements: Keep records of all business-related bank statements for reconciling accounts and proving financial accuracy. Again these can be saved electronically and we ask our clients to send copies of bank statements to us to ensure the bank feed in your accounting software is accurate.

Payroll Records: These include payslips, tax deductions, and pension contributions, crucial for compliance with employment laws and ensuring employees are paid correctly. At Pinnacle we use Moneysoft Payroll to ensure compliance and so that everything is saved in one place in case you should ever have an inspection from HMRC.

Tax Returns:Keep copies of your company’s VAT returns, corporation tax filings, and any tax-related correspondence. These are vital during tax audits and for future reference.

At Pinnacle Advisory Services® we use BrightManager to secure all your documents safely.

Legal Documents

Incorporation Documents: These include your Certificate of Incorporation, Articles of Association, and Memorandum of Association. They provide proof of your company’s formation and structure.

Contracts & Agreements: Retain all contracts with employees, suppliers, clients, and other parties. These documents serve as proof of the terms agreed upon and help resolve any potential disputes.

Shareholder Agreements & Resolutions: If your company has shareholders, ensure you keep records of agreements and any resolutions passed. These documents govern how your company operates and resolves issues.

Insurance Documents

Policies & Claims: Retain copies of insurance policies (e.g., liability, property, or health) and any claims made. These are vital in the event of a dispute or accident.

Licenses & Permits

Ensure that all relevant business licenses and permits are filed and kept up to date. These documents prove that your business operates legally in its sector.

Intellectual Property Documents

Trademarks, Patents, & Copyrights: If your company owns any intellectual property, ensure these records are securely stored, as they protect your business from infringement.

Policies

As a business it’s important to have records of all policies you have in place, such as Data Protection, GDPR, HR policies, AML policies & procedures, etc. You should have terms and conditions for clients and a privacy policy and cookie policy for your website. It’s essential to keep these stored somewhere safe in case you ever need to refer back to them. All employees should be aware of all policies you have in place to ensure consistency throughout the workplace.

How Long Should You Keep Documents?

The general rule is to keep financial records for at least six years, as HMRC can review your accounts during this period. Other legal and employee-related documents should also be kept for a minimum of six years, though certain records (like property or intellectual property agreements) may need to be retained longer.

By keeping the right documents, you’ll ensure your business remains compliant and well-prepared for any challenges that may arise. At Pinnacle Advisory Services®, we help clients to streamline their financial processes ensuring that all documents are stored safely and securely. If you’d like to get back in control of your financial processes then we’d love to hear from you.

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