How to Start a Company in the UK

In the past few years, there has been a growing trend towards entrepreneurship in the UK. One key reason for this increase is that the process of company start ups has become much easier and streamlined. Where at one time all the documents had to be filed manually, today the entire process can be taken care of online.

The rise of company formation agencies such as Companyformations24.7 has also given a huge boost to new companies being formed, especially in the small to medium sized range of companies. At companyformations247.co.uk, you can get all the information on starting companies, submit the documents and get registered as well.

One of the first steps in a company start up is deciding which type of legal entity you will be forming. The options range from a partnership, limited company to a sole trader. The process of starting a partnership or sole trader business is quite straightforward, but the risks of the business are greater. In a limited company, the risks are reduced and this is the most popular format for company start ups.

In the UK, all limited liability companies need to be registered through Companies House, which is the Executive branch of the Registrar of Companies. While it is quite possible to complete the process yourself, it is a better idea to let companyformations247.co.uk handle the formalities, since even a little error can lead to delays and added costs.

Besides starting your own company from scratch, it is also possible to purchase a ‘ready made’ or ‘shelf’ company from a company formation agent; this will give a history and background to the company. These companies only come with an older incorporation date, although no trading has taken place under them.

For a new limited liability company start up, you need to have a director, some shareholders, a company secretary, the starting share capital and the name of the company. New company names need to be checked for availability and only then are they registered. A new company must also have a registered office address before it can go through the registration process.

For a sole trader company start up, you have to get the ‘Thinking of Working for Yourself?’ P/SE/1 booklet from Inland Revenue and complete the CWF1 form. The form must be submitted to Inland Revenue so that you can register as a self-employed person. Do remember that if you start a partnership, it is vital to have a signed partnership agreement stating the contribution of each participating member.

So while the process of starting a company is not complicated, there are a lot of issues that you have to pay close attention to. It is therefore highly recommended that you use a company formation agency to avoid any complications. With over 25 years in the business, companyformations247.co.uk is more than competent to take care of a variety of company start ups.