Coming to the end of Company Programme
Towards the end of the Programme there are a number of important actions required to close down the student company properly.
These provide important learning points and the timing of these will vary between companies – full guidance is provided on YE Online in the Milestone Winding Up.
Student companies will need to:
- sell off remaining stock
- produce final accounts
- agree what to do with profits
- hold an AGM
- pay back shareholders
- pay their Winding Up fee to Young Enterprise (This includes amounts equivalent to taxes which would have been payable to the authorities on winding up if the student company had been a standalone entity subject to normal tax rules)
- close the bank account
Continuing with the student company after Company Programme
An increasing proportion of companies consider continuing their business outside the YE Programme structure.
There are many examples of former YE companies that are still trading successfully today. Please refer to YE Online for more guidance on this topic. Some important considerations will be:
- All student YE student company entities cease to exist on 31st July each year. This includes all insurance, liability and association with YE. Students need to wind up their student company before this date as outlined in the Winding Up section of YE Online.
- If teams would like to establish a business outside of YE they are free to do so, and must seek guidance to form an appropriate legal structure and take further consideration of IP, Insurance and other legal requirements.