There are two methods of removing a company from the register maintained by Companies House: compulsory or voluntary strike off. These are mutually exclusive and their use depends on the particular circumstances of a limited company. We will take a look below at the differences of having a company struck off the register compulsorily or…
What is share capital? All companies limited by shares must assign a nominal value to each of its shares upon incorporation, e.g. £1 or £0.01. This nominal value represents the ‘limited liability’ of company members; it denotes the sum that shareholders must pay in respect of each share if the company is wound up. The…
Setting up an online business in the UK is an increasingly popular option for both start-ups and established ‘bricks-and-mortar’ retailers. With more consumers than ever before now choosing to shop online, the UK has the largest e-commerce market in Europe and the third largest in the world. The Coronavirus crisis has further accelerated the shift…
There is a wealth of information available online which can help people who are considering forming a limited company. Whether it’s a start-up or an established business which wants to move from a sole trader or partnership model to an incorporated entity, troves of government information and well written business blogs can provide valuable guidance…
Electronic signatures have been around for a number of years and have been applied to a variety of documents which previously required a physical or ‘wet ink’ signature. But can an electronic signature alone be relied upon to process all corporate documentation? We will take a look below at some of the legalities and practicalities…
There are many good reasons to use an accountant to help with the smooth running of a limited company, particularly when it comes to submitting annual accounts and managing tax affairs. However, in terms of the process of forming a limited company, there is no need to use an accountant, even though they will generally…
If you are starting a new business or converting from sole trader to a limited company, you will need to choose a company name before making an application to Companies House. This may sound like an easy enough task, but it does require quite a bit of consideration to ensure that the name is right…
Whereas sole traders generally pay themselves directly out of any business profits, there are more options available to the owners of limited companies. As well as being able to pay themselves as employees through PAYE, a company shareholder (who may also be the sole director and owner, particularly in smaller companies) can also, or alternatively,…
There are around 1.7 million contractors in the UK, many of whom operate as sole traders. A large proportion provide services exclusively (or primarily) to one client. A significant number of companies have tried to convert a portion of their workforce from employees to contractors, often for tax avoidance purposes. To counter this trend, the…
Anyone setting up a new company will be faced with administrative work to get their new business registered with Companies House and off the ground. Those who are new to the process will also have a fair amount of research to conduct. Fortunately, there are a wide range of company formation agents who can help…
Generally, it is not possible to be appointed as a company director or continue acting in such a capacity if you become bankrupt. These restrictions will remain in place until you are ‘discharged’ (i.e. released) from your bankruptcy order, which usually lasts 12 months but can be longer. In some cases, the court may permit…
Limited companies are required to prepare annual accounts every year, and deliver them to Companies House and HMRC within a certain time frame. It is possible, however, to apply for more time to file your company accounts by changing your accounting reference date (ARD) or asking Companies House to extend your accounts filing deadline. Changing…
