Private limited companies are required to pay Corporation Tax on all forms of taxable income. To do so, a company must be registered with HMRC as ‘active’ for Corporation Tax purposes. This must be done no later than 3 months after carrying on any type of business activity, which includes: Buying and selling goods and services Renting…
One of the responsibilities of directors is to update shareholder information at Companies House when any such details change after incorporation. This information is displayed on public record, so it must be accurate and up to date to comply with the disclosure requirements outlined in the Companies Act 2006. Companies House discloses the names and…
You have lots of different options regarding how many shares you can issue when setting up a limited company. A minimum of one share must be issued during the company formation process. If you are registering a company with more than one shareholder (member), you will need to issue at least one shares per member.…
Private limited companies are no longer required to appoint a company secretary, unless a provision in the articles of association states otherwise. The articles of private companies registered before April 6th 2008 contain such a provision. However, members (shareholders/guarantors) can remove it at any time by passing a special resolution. If you do not remove…
Shortly after setting up a limited company, it is advisable to arrange a board meeting of the directors. The purpose of this meeting is to provide directors with an opportunity to discuss the formalities of the new business, consult the articles of association, and determine their respective duties and responsibilities. Pursuant to section. 248 of…
Limited company names are subject to certain restrictions and requirements under the Companies Act 2006 and the Company and Business Names (Miscellaneous Provisions) Regulations 2009. The secondary legislation that specifically governs the use of sensitive words and expressions is the Company, Limited Liability Partnerships and Business Names (Sensitive Words and Expressions) Regulations 2014. These statutory regulations…
A service address and a registered office are two types of addresses that must be provided during the company formation process. To help you to get to grips with these important addresses before setting up a company, we will discuss the different purposes and requirements of a service address and registered office below. A service…
Limited companies are legally required to keep and maintain a number of statutory registers and accounting records. As a company director, it is your responsibility to ensure that all of these company records and registers are accurate, up to date and made available for public inspection at the registered office address or Single Alternate Inspection…
A limited company is a separate entity in the eyes of the law, just like an individual person. This means that all finances legally belong to the business in the first instance, so you cannot simply take money out of a limited company like it is your own personal bank account. To legally take money…
The memorandum and articles of association are two forms of documentation that all UK limited companies are required to have when they incorporate at Companies House. Together, the memorandum and articles create the basis of your company’s constitution. The memorandum states the names of each subscriber (the very first shareholders or guarantors who become members…
A limited liability partnership is a legal structure designed for businesses that would usually operate as traditional partnerships. Typically, these types of businesses include accountancy firms, solicitors, dentists, veterinary practices, architects, chartered surveyors, medical practitioners, and other professional services firms. Since the introduction of the limited liability partnership format in 2001, these firms can operate…
Limited companies and Limited Liability Partnerships (LLPs) share many characteristics. They must be incorporated (registered) at Companies House, they provide limited liability protection to their members (owners), and they have more complex filing and reporting requirements than unincorporated businesses like sole traders and traditional partnership. However, there are significant differences to take into consideration when…
