United Kingdom — Business: Company Formation

Key facts

• A company in the UK can be formed as a private company limited by shares (LTD), a public company limited by shares, or a limited liability partnership (LLP)

Steps

1. Choosing a Business Structure — Decide on the type of company to form, considering factors such as liability, ownership, and taxation. Research different business structures, including private companies (LTDs), public companies, and limited liability partnerships (LLPs)
2. Preparation of Documents — Gather required documentation, including a unique company name, registered office address, and details of the company's shareholders and directors. Ensure that the Memorandum of Association and Articles of Association are prepared according to UK regulations
3. Filing with Companies House — Submit the required documents to Companies House, the UK's company registrar. This can be done online or by post, and the process typically takes 1-2 weeks for electronic submissions
4. Obtaining a Company Number — Once the company is registered, a unique company number will be issued by Companies House, confirming the company's existence and official status

Costs

• Company formation fee: varies depending on the service provider and type of company
• Change of name fee: £20 (same day change of name) or £85 (same day change of name)

Timelines

• Processing time for company formation: 1-2 weeks for electronic submissions

Required documents

• Memorandum of Association
• Articles of Association
• Company name reservation certificate
• Proof of identity and address for directors and shareholders

Common mistakes

• Filing incomplete or incorrect documentation with Companies House
• Failing to obtain the necessary permissions or licenses for the business