Things to Consider before the Formation of a Limited Company in UK

Establishing a company in the UK was an arduous task. It drained not only your energy but money too. You needed to get in touch with a Companies House or required an account to be able to even start the process. Leap forward and now you have online Company Formation Services that help you in company formation. It’s easy and doesn’t put too much burden on your wallet. Registering it is now a piece of cake, running a limited company isn’t. Before you think of becoming the next Microsoft or Amazon, there are certain things you need to be aware of. 

Know your Specie: 

Different options are available for setting a limited company in the UK. You should go for what fits your business. There are Limited by Liabilities, Limited by Shares, and Limited by Guarantee companies that you can establish. If your motive is to earn a profit, go for Limited by Shares. If you want to avoid any budgetary hassles, opt for Limited by Liabilities. It shares the financial burden between partners and liabilities are contained in this way. For social businesses such as charities, Limited by Guarantee companies are the best possible fit. It allows the guarantors to pay the company debts to the amounts that they’ve specified. This protects their personal finances.  

What’s in a Name? 

A solitary trader can operate under any name. They don’t have to face any limitations. In the case of a registered enterprise, things are a bit different. There are certain rules that you need to follow while naming your company. The name of your company cannot be exactly like another registered company. Secondly, sensitive names aren’t permitted.

Don’t be a Nomad:

Nomads don’t have an address, your company must have one. Where would someone send you a mail if you don’t even have an address? Now, for the sake of clarity, there are three types of addresses that you can use. Your Registered Office is the place where you’ll receive communications from Her Majesty’s Revenue and Customs, HMRC, and Companies House.

Since you have a company, you must have a Director too. The Director’s House address specifically means the place where your Director resides. This place can also receive direct mails from Companies House and HMRC. Both of the aforementioned addresses are shown to the public. It’s important to remember that your address should be in the territory in which you’ve registered. For instance, if you’ve set up your company in Wales, your address shouldn’t be on the Irish border, which simply means it should be in Wales itself.

The third address is your Business address that caters to your customers and traders. This is a private address and any place can be selected for it.

Team up:

If that’s still not obvious, here it’s: You need a team to run your company. You need to have company officials named before you take the step of registering it. While it’s mandatory to have a Director, appointing a Secretary is no longer a requirement. The details of your team members which include their names, nationalities, contacts, and dates of birth should be ready before you apply for registration.

You also need to hire employers. But before that, set criteria on which you’ll judge them for the jobs you’re offering. For evaluating their salaries, you can hire Payroll services.

Shares & Shareholders:

Your share structure should be determined clearly. How do you plan to allocate shares? You can own all of them or share them with someone. There could be classifications for shares. When it’s time to distribute dividends, they need to be distributed proportionally. If you’re not an expert yourself, it’s better to consult with an accountant.

You also need shareholder details. It includes their names, addresses, the type of shares they hold and the number of shares they own. You need additional pieces of information about them covering their birth town, mother’s maiden name, father’s first name, and last 3 digits of their contact number.

Operating a limited company is no easy task. There’s a lot of documentation requirement that you need to fulfill. One the other hand, there are no such impositions on a sole trader. You’ve to submit an Annual return report to the Companies House for any changes that might occur in your enterprise. In addition to that, you need to provide a financial review document called Annual Accounts to the HMRC. It might seem difficult but it results in an efficacious taxation structure using VAT Registration Services in the long run which is beneficial for your business.

For all of your accounting concerns, Weaccountax.com provides excellent services at very competitive rates. They are reliable and exceptional. They’re innovative and deploy latest accounting technology and methods. They offer different packages. You can choose any package that suits your business needs.

Trusted Company Formation Agent – Setting Up a Limited Company in the UK

Setting up a new company in the UK is considered as a difficult job because of some complexities in the company formation procedure and related regulations. But with the help of company formation services, one can get his company registered and developed with ease. There are too many accounting and company formation companies are providing such services in order to make the whole process easy and cost-effective. Here are some key features regarding company formation in the UK that must be considered before hiring a company formation agent.

Compliance with laws:

Your hired agents must be able to manage all the legal requirements by sending regular reminders for filings in order to avoid your company from the legal complications and penalties. They must also helpful in finding authentic accounting and legal service providers to make your business running smoothly without any kind of issues. So, being careful in this regard can help you in choosing the right agent for business formation.

Automated business development:

Good formation agents can give you peace of mind regarding all the formation processes and issues which makes it easy for you to focus on business development. They provide you ease in making your business grow through automated formation procedures and maintenance of work-life balance. They help you in keeping both lives separate by preventing the amalgamation of business and personal mails. So, they make your life stress free.

Company confidentiality:

The registered agents always provide your company address services in order to maintain your business privacy. Their addresses will be listed for the public data instead of your personal or official one in order to prevent you from any sort of legal complications that might make your business nominated in the market and cause repute damage. They also do so to make sure that you should not receive any unauthorized or solicited mail.

Document management:

They also provide document management services for you through online business portals of your company, so that you can access them any time you want. They also keep the copies of your commercial documents in order to prevent your business from legal actions due to the displacement of those important documents that are required to run a business in the UK in accordance with the laws of Companies House.

Capability to register your business for VAT:

Always look for such agents that can also help your business for the registration for VAT with HMRC. They could provide all the assistance in this regard to help your business to avoid any kind of penalties and fines in case of late registration. Their compatibility for providing this facility to your company can help you to register VAT without any specific hassle and keep your business growing.

If you are looking for such services for your limited company in the UK, the consideration of the above features and services of a good formation agent can make it easy and effective for your business to focus on business development instead of legal complications. Along with company formation procedures VAT registration process is also a tough task for the new business owners, and hiring a professional for this purpose can make it easy and cost effective. In this regard, Weaccountax can provide you authentic company formation agent services at very reasonable costs and help your business to reach its potential. Going with WeAccountax can help you to find services in accordance with above described features and functions of a trusted formation agent.

What is the Cost of Registration for a new Company in the UK?

Companies in the UK

A company is called limited if it has a separate legal entity and has a filed tax return with HMRC. This company can be limited by guarantee or by shares. Limited companies are of two basic types in the UK. Public and Private but the public companies are rare in the UK. Private limited companies are everywhere in the UK they are most common due to their several advantages.