Everything You Need to Know About Company Formation in UK
by Vidit Agarwal Marketing DirectorEvery day, hundreds and thousands of entrepreneurs set up their
businesses across the globe, which requires them to undergo company formation
in the beginning. In the United Kingdom, aspiring entrepreneurs constantly
search for information related to company
formation in UK to lay a legal foundation before kickstarting their
businesses.
In this simple query piece, we will give you much-needed clarity about
the company formation process, all in just one simple & short scroll.
Let us first understand the main term ‘company formation’:
What is company
formation?
Company Formation
is a legal process of incorporating and registering a limited company (with
Companies House) by applying for the registration process: online, or by post
directly, or via an agent, which may take around 3 to 6 working hours to
officially form the company.
Under the Companies
Act 2006, a limited company takes the form of an
individual entity and further exercises its full control on finances and
liabilities, keeping itself distinct from company owners. It can enter into
contracts in its name, provide protection, and even take ownership of all the
assets.
Now, let’s go country-specific and understand. But before we plunge
into it, let understand:
Why
is it important to go for the formation of the company in UK?
The formation of the
company in UK comes with several benefits like government incentives, the
amount increased for technology processes, to name a few. These are motivating
factors for any applicants who are applying for the company formation process
in UK.
Take a look at the
formation process in UK. There are more similarities than differences regarding
the company formation process among countries. Among countries would have more
differences and fewer similarities, but overall, the process is pretty similar
among nations and continents.
What is the
process for company formation in UK
The Company Formation in UK is a pretty simple, quick and affordable
legal process that involves registering a company: online, or by post, or via
an agent. Only the registration process only takes 3 to 6 hours, the rest takes
a little while. This whole process is divided into 4 different stages:
promotion, registration, incorporation, and commence of business.
Time required to
register a company in UK
After all the paperwork and submission of the documents to the
Companies House, it takes anywhere from 3 to 6 working hours for your company
to be officially formed via registration. Sometimes, it may take more time due
to certain complications. Otherwise, it doesn’t take much longer.
If you are applying for the formation of the company via post, it may
take anywhere from 8 to 10 working days. The process for submission works much
faster, and save you a great deal of time.
Getting each and every document ready and checked by the person
forming the company is a tedious and meticulous process that needs to be
precisely followed through.
Requirements for the Formation of a
Company in UK
We have enlisted below a list of things that you will be needing to proceed
with the application process for the registration of your company. Among many,
here are a total of 8 key things to remember:
1.
You need a Company name
2.
You also need to provide a Registered
Office Address
3.
The company Director is required
4.
Need to mention a shareholder
5.
Get Memorandum and Articles of
Association ready
6.
The Share Capital of One Share Issued
7.
Standard Industrial Classification SIC
(code) is a must
8.
Order of New Company Online
Making sure you have all the details and documents ready will ensure a quick process of company formation in UK.
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Created on Dec 4th 2021 06:14. Viewed 256 times.