Is CSR reporting needed in the board's report?

Directors' report: what a private company must include

1 min read

Along with the audited financial statements, every company presents a board's report (often called the directors' report) to its shareholders. Its contents are set out in Section 134(3), and small companies can use an abridged version.

Core contents

Web link to the annual return, if the company has a website
Number of board meetings held
Directors' responsibility statement
Explanations on any qualifications in the auditor's report
Particulars of loans, guarantees and investments under Section 186
Related-party contracts, in AOC-2 where required
State of the company's affairs and any change in the nature of business
Amounts transferred to reserves and dividend recommended
Material changes after year end
Conservation of energy, technology absorption, foreign exchange earnings and outgo
Directors and KMP appointed or resigned
Deposits accepted, and director loans

Abridged report for small companies

Small companies and OPCs can prepare an abridged board's report under Rule 8A of the Companies (Accounts) Rules, covering a shorter list of items. This makes it a two- or three-page document for most startups.

Signing

The report is approved by the board and signed by the chairperson if authorised, or by at least two directors (one director for an OPC). It is attached to AOC-4.

Frequently asked questions

Only if the company meets the CSR thresholds under Section 135.

This guide is general information, not legal advice. Government fees and procedures change; confirm current figures before you file.