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
