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Forming a Limited Company

There are two ways to form a limited company in the United Kingdom; the first is by making a traditional paper application to Companies House, and the second is by using online company formation agents to make your application for you.

Paper application (Do it yourself)

It is a sign of the times that less than one-fifth of limited companies in the UK are now formed in this way. The main reason why this method of application is in decline is that it can be incredibly time consuming and somewhat stressful; even the smallest mistake on an applicant’s submitted paperwork can result in their company formation application being rejected.

Online application (Company formation agents)

This is now by far the most straightforward, and therefore, most popular way to form a limited company in the UK. Formation agents have their own specially licensed software which is able to interface with the systems used by Companies House and so offers applicants the opportunity to form their companies electronically. The fee which the applicant pays will be dependant on the level of service they require.

Companies House let formation agents do this because they themselves simply cannot offer guidance to the plethora of applicants who want to know how to form a limited company. Therefore, formation agents act as a kind of ‘middle man’, advising applicants on how to form a company and then helping to facilitate a company registration which will best suit their circumstances.  Want to know more? www.ukcompanyregistrations.com

Using a company formation agent is now the most popular way to create a limited company in the UK. However, there are a number of things to consider before choosing a formation agent, not least being the price. Fees for company formation agents services can start off as cheap as £30 and reach as high as £200. The considerable difference in price will typically determine the level of service given and the type of documentation issued after formation.

The cheaper option

Very affordable company formation services can be easily found on the internet. Human interaction is at a minimum as all an applicant needs to do is enter all the required information and pay online. Once the company has been formed, the applicant will be emailed a Certificate of Incorporation and a Memorandum and Articles of Association. All that is then left for an applicant to do is purchase company registers and share certificates to ensure full documentation completion. Registers usually cost about £25 and share certificates come in at around £15. Cheap, but effective.

The more expensive option

More expensive company registration services are generally delivered by solicitors and accountants. The higher prices reflect the time taken to provide applicants with guidance tailored to their specific circumstances. Naturally, all post-formation documentation is taken care of. High-end formation agents might well use cheaper service providers to actually form an applicant’s company so the higher fees may well be looked at as a way of guaranteeing higher levels of service.

The traditional paper application process of forming a limited company has long been seen as something to try the patience of a saint. However, the emergence of licensed company formation agents in recent years has seen traditional paper applications take a back seat to modern electronic application processes.

Formation agents’ use licensed electronic systems which can make immediate company formation applications directly to Companies House on behalf of a paying customer. Aside from being quick and convenient, electronic applications also have several other advantages:

Cost effective

At present, the standard government fee for electronic applications is £15, whereas the cost for a paper application is £20. Also, because electronic company formations benefit from having authentication processes included in the electronic systems used, there are no legal fees to worry about either.

Default settings

Formation agents’ electronic systems have built-in default settings to prevent any false information being passed on to Companies House. Naturally, paper applications do not benefit from this type of diligence and so are far more likely to include un-checked human errors.

Standard documentation

Company formation agents electronic systems use standard documents such as memorandum and articles of association. Because they are standardised, these documents contain no mistakes, unlike paper applications which frequently use newly drafted documents that may sometimes contain errors

We here at ukcompanyregistrations.com are a fully licensed E-filing partner of Companies House. With our fast, efficient company formation services, we can get your company up and running in no time at all.

Starting your own business can often be a bit of a minefield, especially if you are unsure of the many laws and regulations which need to be adhered to. However, a good way to deal with this side of starting a business is to hire a company registration agent to do it all for you. They are experts in getting new businesses up and running, and can help in various different ways:

Choosing a company name

Company registration agents can help you choose a name for your company which is unique and so adheres to registration regulations. They can also conduct research to see if your preferred name is available first.

Filling out paperwork

Registration agents will help you complete all relevant forms needed for registration. They will also be on hand to help you when producing the Memorandum of Association and Articles of Association. In short, your registration agent will help you with all the formalities that need to be completed before your company can be launched.

Registering  online

Thanks to the internet, your company formation can now be done online from the comfort of your own home. This helps to make the entire registration process far easier and more straightforward, although there may still be some formalities which will require a visit to the registration office.

Registration agents really can help to make the company registration process much easier, leaving you to get on with the business of getting your company up and running.

More enterprising people than ever are now forming their own Limited Companies in the UK. It is a legal requirement for all new Limited Companies to register their details with the UK company registrar, Companies House. Although it is quite possible to take care of this yourself, many people now prefer to use company registration agents because of the benefits they can offer: Online Service Because company registration agents are themselves registered with Companies House, they can carry out company formations online.

This enables them to provide a very speedy company formation service, with initial submissions normally made within hours instead of days. Many registration agents also offer an express ‘same day’ formation service to help those who cannot wait to get their company registered and trading.

Paper free Naturally, online registration does not require any filling out of paper forms. Completing the electronic registration process typically takes far less time than filling out the lengthy Companies House paper form. Expert help Registration agents will provide you with expert help all through the registration process.

This expertise means that you do not need to concern yourself about the contents of your company articles as everything is completed on your behalf. Using a company registration agent to take care of your company formation for you really is the easiest way to register with Companies House. With simple online service and expert help, your Limited Company will be up and running in no time at all.