Блог · Annual Financial Report
11/07/2026 8:13 Счетоводство
Annual Financial Report for Micro‑Enterprises
Legal Basis
The Annual Financial Report for micro‑enterprises is required under Article 38, paragraph 1, item 1 of the Accounting Act.
Submission Deadline
The Annual Financial Report for the financial year 2025 must be submitted no later than 30 September 2026.
Where the Annual Financial Report is submitted?
The Annual Financial Report for micro‑enterprises is submitted to the Commercial Register and the Register of Non‑Profit Legal Entities at the Registry Agency.
Introduction
The Annual Financial Report is the mandatory document that presents the financial position and financial performance of a Bulgarian micro‑enterprise for the completed financial year 2025. It applies to all micro‑enterprises operating in Bulgaria and must be prepared in accordance with the national accounting standards applicable to this category. The report is drafted by the company’s accountant, the chief accountant, or the accounting firm that provides accounting services.
Purpose of the Annual Financial Report
The Annual Financial Report ensures transparency, accountability, and compliance with Bulgarian accounting legislation. It provides reliable information to owners, partners, creditors, banks, institutions, and potential investors. Although simplified for micro‑enterprises, the report contains all essential financial indicators required by law. Its purpose is to show the financial position at the end of 2025, the revenues and expenses for the year, and the final accounting result.
Who Prepares the Annual Financial Report?
The Annual Financial Report for a micro‑enterprise is prepared by the company’s accountant, the chief accountant, or the accounting firm servicing the enterprise. These professionals ensure that the report complies with the Accounting Act and the applicable accounting standards.
Content of the Annual Financial Report for Micro‑Enterprises
According to Article 38, paragraph 1, item 1 of the Accounting Act, the Annual Financial Report of a micro‑enterprise consists of two main components:
1. Shortened Balance Sheet
The shortened balance sheet presents the financial position of the enterprise as of 31 December 2025. It includes assets, equity, and liabilities. It shows what the enterprise owns, what it owes, and the net value of its equity.
2. Shortened Profit & Loss Statement
The shortened Profit & Loss statement presents the financial performance of the enterprise for the entire financial year 2025. It includes revenues, expenses, and the final accounting result. It shows how the enterprise generated income, what costs were incurred, and whether the enterprise achieved profit or loss.
Importance of Proper Preparation
Even though micro‑enterprises submit shortened forms, the accuracy of the Annual Financial Report is essential. It must reflect the real financial situation of the enterprise. Proper preparation ensures compliance with the Accounting Act, correct tax reporting, reliable information for owners and institutions, avoidance of penalties, and a clear financial picture for future planning.
Conclusion
The Annual Financial Report for 2025 is a mandatory and essential document for every micro‑enterprise in Bulgaria. Prepared under Article 38, paragraph 1, item 1 of the Accounting Act and submitted by 30 September 2026, it consists of a shortened balance sheet and a shortened Profit & Loss statement. It is drafted by the accountant, the chief accountant, or the accounting firm servicing the enterprise. Despite its simplified form, it remains a key instrument for financial transparency, legal compliance, and responsible business management.
We at EXQUISITE LTD – Varna prepare and submit the Annual Financial Reports for 2025 on behalf of our clients.
www.exquisite.bg; office@exquisite.bg
www.exquisite.bg; office@exquisite.bg
