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Setting Up Limited Company Checklist

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Setting up Limited Company in the UK can be daunting so we have put together a checklist to help you through the process.

A limited company is a private company whose owners are legally responsible for its debts only to the extent of the money they invested so has the benefit of limited liability

Companies must be registered at Companies House

The whole process of registering and setting up limited company can be done by yourself or with the help of an accountant.

So now its time to submit all your documents to officially set up a limited company and complete your incorporation process and make yourself aware of your tax responsibilities Limited Company.

Setting Up Limited Company Checklist

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Type of Limited Company

Most commonly used is private limited company LTD

  • Private Limited Companies (LTD.): When an owner liability is limited to their shares.
  • Private Limited Company by Guarantee (LBG): A company limited by guarantee has no shares or shareholders but is owned by guarantors who agree to pay a set amount of money towards any company debts.
  • Public Limited Companies (PLCs) : Must have a minimum share capital of £50,000, at least two shareholders, two directors and a qualified company secretary.
  • Limited Liability Partnership (LLP): Formal partnership between at least two business partners which provides limited liability, which means they aren’t fully responsible for the business’ debts or liabilities.
  • Private Unlimited Company: Very Rare.Doesn’t have to submit an annual return or any financial statements compared to other limited companies.
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Business Name

The name you choose for your company must be completely unique. You can’t select a name that might be considered the ‘same as’ or ‘too like’ an existing company.

You can check names on companies house website company name availability.

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Official Registration Setup

You will be required to supply personal details to help Companies House identify you as a director.

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Directors

Referred to as ‘officers’ you can have just one director or as many as you want. Directors will manage the day-to-day activities and finances and ensure all statutory filing obligations are met.

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Company Secretary

Company secretaries main role is to take care of general communications with Companies House, HMRC and general administrative tasks.

It is now no longer obliged to appoint a company secretary.

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Shareholders or Guarantors

 The owners allocation of share capital

 Guarantors who agree to pay money towards company debt

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Share Allocation

You can just have one shareholder or many shareholders as you wish. Shareholders are entitled to receive a portion of profits in relation to the number and value of their shares.

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Registered Address

Where official communications are sent and it must be a physical address in the same country.

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Bank Account

Money does not belong to you and must be separated from your own finance.

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Register for VAT

Your company must register for VAT if your takings are more than £83,000 a year.

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Inform HMRC

Register for Corporation Tax
A Company requires a 10-digit Unique Taxpayer Reference ( UTR ) this is posted to your company address.

You must tell HMRC within 3 months of starting your tax accounting period if your limited company is within the charge of Corporation Tax and active.

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