A financial statement is a formal record of a company’s financial activities, presented in a structured and understandable format. In Singapore, this is commonly referred to as an Unaudited Financial Statement (UFS).

Most companies are exempted from statutory audits if they meet all of the following conditions:

• Annual turnover of less than S$10 million

• Total assets of less than S$10 million

• Fewer than 50 employees

⚠️ Even if exempted, under Section 201 of the Companies Act, companies must still:

• Prepare and submit Unaudited Financial Statements (UFS)

• Ensure statements are validated and signed by the company directors