About CompaniesCompany Formation

Companies limited by guarantee

Limited by guarantee companies are an alternative type of business structure that are normally used by non-profit organisations. They don’t have share capital or shareholders. Instead, they are owned by one or more guarantors, each of whom guarantees a fixed sum of money to the business in the event of insolvency. Typically, guarantors do not take any profit from the…

Read more
Company Formation

What is a subscriber of a company?

Subscribers are the first shareholders in a limited by shares company, or the first guarantors in a limited by guarantee company. They are called ‘subscribers’ because they subscribe (add) their names to the memorandum of association during the company formation process. By doing so, they are agreeing to form the business and become members of that company. If the subscribers are…

Read more
About CompaniesCompany Formation

Can I change a limited company to an LLP?

It is not possible to convert an existing limited company to an LLP because they have completely different internal structures and taxation requirements. If your business is currently set up as a limited company and you want to change it to an LLP, you will have dissolve your existing company and register your business as a Limited Liability Partnership.…

Read more
Company Formation

What is a share certificate?

Limited companies issues share certificates to their shareholders when they purchase shares after company formation. This document certifies ownership of a share from a particular date.  It is essentially a receipt of ownership. Recording original shareholders (subscribers) The Companies Act 2006 prescribes that a company must issue a share certificate when any shares are allotted (issued).…

Read more