The Register of Financial Statements and Data on Solvency of Legal Entities and Entrepreneurs started performing its’ activities in the Serbian Business Registers Agency, from January 1st, 2010.
The integration of large number of financial and status data enabled formation of complete information system, which provides on one spot, comprehensive and timely data and information on legal entities and entrepreneurs harmonized with the European Union standards.
Activities related to the receipt and processing of financial statements as well as releasing of data on business financial results of economic entities and other legal entities, have a half century long tradition and were first performed in the Social Accounting and Auditing Service (SDK) i.e. Payment and Settlement Agency (ZOP). Development of solvency activities started on January 14th, 2002 when Solvency Centre was established as an organizational part of the Payment and Settlement Agency (ZOP). When this institution terminated its’ operation in 2003, Solvency Centre within the National Bank of Serbia took over from ZOP accounting data starting from 1994 and formed the electronic database of these data. At the same time, Solvency Centre continued to perform the receipt and processing of financial statements, and to expand database with the new accounting data as well as to improve and develop solvency services, according to the new regulations.
In accordance with the legal authorization defined in the Accounting and Auditing Law, activities related to receipt, control, registration, processing and releasing of financial statements as well as solvency activities, are performed in the Serbian Business Registers Agency within the Register of Financial Statements and Data on Solvency of Legal Entities and Entrepreneurs, starting from 2010. The Serbian Business Registers Agency took over dossiers, documentation, archive, databases, instruments of labor, required number of specialized personnel, as well as the part of information system and necessary technological equipment, from the National Bank of Serbia. The Serbian Business Registers Agency will continue to improve the quality of information in the country – by enhancing the quality of financial statements and development of solvency services. These activities will primarily be focused on :
- increase of comprehensiveness
- receipt of financial statements in electronic form
- complete authorization of the process of receipt and data entry
- fast and effective control of financial statements correctness
- development and adjustment of solvency services in the modern operating conditions.
The Register of Financial Statements and Data on Solvency of Legal Entities and Entrepreneurs is a central, public, electronic database of financial statements and data on solvency of legal entities and entrepreneurs. The data which are comprised in the Register are the basis for perceiving of business results and financial position of legal entities and entrepreneurs, as well as the trends of economy in the Republic of Serbia.
There are two mutually connected databases in the Register – the financial statements database and the solvency database.
The financial statements are the structured review of financial standing and business changes in the reporting period, and they provide information on financial standing, performances i.e. financial success and changes of financial standing of legal entity and entrepreneur. Such information is useful for making economic decisions of the wide range of users.
The financial statements database is kept in the Register as a unique, electronic database of individual data from original financial statements, submitted by legal entities and entrepreneurs with double entry book – keeping, on several bases.
The financial statements database contains data from original financial statements for all legal entities - enterprises, cooperatives, banks and other financial organizations, insurance companies, stock exchanges and broker – dealer companies, financial lessors, voluntary pension funds management companies, investment funds management companies, close ended/private investment funds, other legal entities and entrepreneurs. The database contains individual data from financial statements for the quoted groups of legal entities, starting from 1994 (for entrepreneurs from 2004, for voluntary pension fund management companies from 2006, for investment fund management companies from 2007, for close ended/private investment funds from 2008). Those data are standardized in accordance with the regulations which were applied in the year the data refer to.
The aggregated processed data from the financial statements are considered as official data on financial standing and business results of submitting entities on the territory of the Republic of Serbia.
The solvency data of legal entities and entrepreneurs are arranged on the basis of data from the original financial statements and data acquired from other state institutions. They are standardized and harmonized with the EU directives, International Accounting Standards and with rules on financial analysis. In that way, comprehensive solvency reporting is performed quickly and under simple terms.
The solvency data are the initial base for economic and financial analysis of legal entities operating during time period as well as for perceiving of their business performance and financial capacities, i.e. relative position related to the environment and total economic trends.
The solvency database within the Register is an unique, electronic database which contain “objectivized’’ and standardized data for legal entities – enterprises and cooperatives, banks, insurance companies, broker – dealer companies, financial lessors, voluntary pension funds management companies, investment funds management companies, close ended/private investment funds and institutions, as well as for entrepreneurs.
Permanent improvement of solvency activities is based on the constant development and advancement of two methodologies – the methodology for standardization of data and indicators in comparative time series and the methodology for assessment of the ability of companies to meet obligations. In that way, quality information on solvency of legal entities and entrepreneurs is enabled not only with data and indicators, but with standardized and specialized solvency reports with different structure, content and communication power, as well as solvency assessment in the form of scoring.
The Register of Financial Statements and Data on Solvency is a unique hub of complete, up to date and timely information on economic entities. It contributes to the creation of safer and more favorable operating environment, decrease of systemic risk in the real economy and financial system, as well as for better notification and security of investors, increase of competition of domestic economy and foreign investments inflow.
The availability of economic entities information on one place has many advantages - it is useful for economic entities for accomplishment of their legal and business rights. It is a necessary element in business decision making and it is also significant for decrease of operating risk and analysis and market research. The government agencies and institutions use this information for the purpose of statistic monitoring of the economy, analysis and diagnosis of macroeconomic developments in the country, as well as in the process of economic, monetary and fiscal decision making.