Are you prepared to sell your brilliant company concept? The first step is to collect the necessary information to register a business UK. This includes selecting a corporate structure and formalizing your company’s management.
1. Select a Business Structure
When creating a company in the United Kingdom, the vast majority of business owners choose to establish a “private company limited by shares.”
This kind of business structure has the potential to be an effective method for tax management. For instance, if you are a director of a corporation, you may have a percentage of your income come from dividends, which would mean that your tax obligation would be lower.
Another benefit is that in the event that the company runs into financial problems, your personal belongings, such as your house and automobile, should not be in jeopardy. This is what is meant when people talk about having “limited responsibility.”
2. Register a Business Name (UK)
In order to proceed with the registration of a company in the United Kingdom, you are required to verify that the preferred name is not already in use.
Methods recommended for picking a good name for a company:
- Investigate the industry in which you will be working; the names of the companies that you will be competing with might serve as inspiration when choosing a name for your own company.
- Pick a name that has some kind of significance, since this will be the first thing that people learn about your company; does it adequately describe what it is that you do?
- A company name that is clear and succinct is going to be easier to remember, as well as seem more professional on marketing materials.
- It is best to steer clear of company names that are difficult to spell and to check that they are simple to articulate.
3. Provide Your Business Information
When you incorporate a business in the United Kingdom, the majority of the information that you provide will be made available to the public. The following information will be required by Companies House:
- Companies House and the HM Revenue and Customs Service will send all letters to this address. It is required that the location be in the United Kingdom, and all the company’s directors must be accessible there.
- Directors of the corporation; at least one director is required for your company to operate legally. Their entire name, date of birth, and place of residence must be provided to Companies House.
- Shareholders: Every company is needed to have at least one shareholder, and this person may be the same person who serves as the director. Shareholders can also be called owners. Their entire name, date of birth, and place of residence must be provided to Companies House.
If you do not have a distinct business address, you must use your residential address to establish a UK company. However, if you do not want your home address to be made public, we provide a Registered Agent Service that allows you to register your company in our Central London location.
4. Distribute Company Stock
In order to form a corporation in the United Kingdom, the founders are required to distribute shares to the company’s first investors (s). The most straightforward approach would be to give each shareholder one share and set the price of each share at one pound.
5. Complete the Memorandum of Association and Articles of Incorporation
These papers provide an overview of how the management of your organization will function. These papers need to be authorized by the company’s directors, shareholders, and secretaries before a limited liability company may be registered in the United Kingdom.
6. Submit all documentation to Companies House
Applications must be received by 3 p.m. in order to be considered for same-day registration. Applications have to be sent in by 15:00 if they are to be considered for same-day registration. If all this red tape seems complicated to you, or you stumbled on one of the steps, then you can contact a fintech startup lawyer from Fintech Harbor Consulting, and he will help you with any question.
