Distributable Profits

Distributable profits are the maximum amount of reserves a Company has available to pay to its shareholders as a dividend at any one time.

Typically that is the total profits remaining after deducting all business expenses and taxes from income all the years a business has been in existence.

About Anita Forrest

Anita Forrest is a Chartered Accountant, spreadsheet geek, money nerd and creator of www.goselfemployed.co - the UK small business finance blog for the self-employed community. Here she shares simple, straight-forward guides to make self-employment topics like taxes, bookkeeping and banking easy to understand.