What is the maximum turnover threshold for small entities in the UK?

For small entities in the UK, the maximum turnover threshold is £10.2 million. This threshold is part of the guidelines set by the Companies Act 2006 and the relevant financial reporting frameworks. Small entities must meet at least two of the following three criteria: a turnover of not more than £10.2 million, total assets not exceeding £5.1 million, and an average number of employees not more than 50. This allows small companies to benefit from reduced regulatory burdens and simplified financial reporting requirements, fostering an environment that encourages entrepreneurship and the growth of smaller businesses. Therefore, the identification of this specific turnover figure as the threshold is critical for determining a company's eligibility to qualify as a small entity under UK law.