How to register a business in UK?
How to register a small business in the UK? On the Internet you can find a huge number of different opinions on this subject. Some people believe that the answer to the question “How to register a business name in UK?” is very simple and in fact this process is not at all different from other countries, or in general turns out to be simpler. Some people believe that registering a business in the UK involves a huge number of nuances and complexities. To overcome all these difficulties, it is necessary to spend a lot of time, effort and money.
The truth, as always, lies somewhere in the middle.
Registering a business in the UK step by step
To ensure that the process of registering your company in the UK is not too long, it is necessary to analyze the experience of other companies and clearly follow the step by step instructions which we will provide you with right now.
Company structure: make the right choice
The choice of company structure not always given enough attention. However, choosing the wrong structure may cause a lot of troubles and unnecessary expenses in the future.
We will not list all the business structures that are available to you. Let us only say that many businessmen stop their choice on a private company with limited liability.
What is the reason for this choice? No businessman wants to risk his own assets, especially at a time of increased risk, when many companies go bankrupt and leave the market. In this case, your personal assets will not depend on the results of the company in the event of failure.
In addition, this business structure will allow you to keep track of your taxes and even reduce them. For example, a portion of the company’s profits can go to the director as dividends, which will reduce your income taxes.
Choosing a company name
Everyone knows that you name your ship the way you name it. However, in this case it is not just a matter of choosing a company name you like, it should also be available. You will need to check the availability of the chosen name before registering the company.
Our recommendations on choosing a name for the company:
- Take your time. Don’t take just a few minutes to choose one name and completely disregard other alternatives. Focus on the industry in which your company operates, analyze the name of competitors. Understand how they inspire you.
- Ask yourself the question, “How does the chosen name represent the company’s business?” Your potential customers who come to your company for the first time, by the name alone should understand what needs your products or services can meet.
- No long names that even you cannot spell. Brief, succinct, accurate. The name of your company should be bright, but at the same time remember the name will be easy.
- Write the name of your company on paper. You should be able to cope with this task easily, and if not, it is better to refuse such a name.
Preparing all documents for the Registrar’s Office
It is important to understand that when you incorporate a UK company, all the information you give to the Registrar’s Office is made available to everyone.
Here is what information will be required about your firm:
- Your company’s UK registered address. It is very important that letters from the Registrar go to this address and you are able to contact the director of the company
- Director information. In this case you do not have to provide much information, the name, date of birth and address where the director of the company resides are enough.
- Information about the shareholders. The Registration Chamber asks for similar information, as well as about the director of the company. By the way, it is enough to provide information about just one shareholder. Moreover, it can be the director of the company himself.
Distribution of shares
At this stage, you will need to distribute all the available shares among the shareholders. It is enough to set the value of one share at £1, distributing a share to each of the shareholders.
Create a Articles of Incorporation and a Memorandum of Association.
These documents are very important, they will state how the company will conduct its business. Even before the company is incorporated, these documents must be signed by the top management of the company, the shareholders as well as the secretary.
Once all the documents have been prepared, they can be sent to the Registration Chamber. The package of documents that was sent before 3 p.m. will be considered on the same day.
Of course, by registering a business in the UK, you will have ample opportunities. But you will get no less opportunities with PayDo. Open accounts remotely and manage your business and personal finances by paying in over 200 currencies, giving your customers the ability to make completely secure payments.