30 September 2016 14:15
Considerations When Registering a Company
While registering your company with Companies House is a daunting experience in itself, there can be an awful lot of information to take on board. Here are a few of the key considerations made simple.
Last month, the
Government released statistics regarding
incorporated companies within the UK. As of June
2016 there were more than 3.5 million registered, with 53,949 new companies
being registered through Companies House that very month. If you compare this
to a mere 2 months earlier in April 2016, that’s an
increase of 40,286 companies.
While registering your company with
Companies House is a daunting experience in itself, there can be an awful
lot of information to take on board. Paperwork, marketing, finding staff…
that’s all without considering the potential legwork of undertaking the
registration on your own. While many opt for a formations agent to assist them
through the initial start-up stages, many go it alone. However, it’s not always
the obvious things that these to-be business owners forget, it’s the aspects
that you don’t immediately consider.
Limited or Sole
Deciding what type
of company you want to form can drastically change your finances. Sole traders
can take all of the post-tax profits but it also means that you are entirely
liable for your business's finances and any deals that you may have. Limited
companies remove the liability from the individual, but also spread the profit.
It’s important that you consider your company structure to determine the best
option for you.
Really Think About
The name is one of
the most important things you need to think about. There are official rules set
out by the UK Government to ensure that there is no copyright
infringement, name similarity or offensive terms within company names. Not only
that, you want a name that reflects your products and services; the name a
luxury name brand opts for may be linguistic leagues away from a company that
Have a Business
Business plans are
one of the best ways to ensure that your business is going in the right
They help to guide your business' future
They help to support company growth
They are a type of 'forward planning', which can
help secure your finances.
Not only that, a business plan helps to show to your staff and
shareholders that you are going places. Equally, it helps to draw focus and
provides common goals and objectives to all members of your team.
Significant Control’s Information
When registering a company, it’s accepted that you need the information
of the Director, and even Shareholders, but what if the person of “significant
control” isn’t one of those members? This could be Secretary or another
individual, but it’s imperative that if they are of significant control that
you submit their details; Name, DOB, Address, Nationality and the nature of
their control – i.e. how much do they hold.
By having these details on hand you can prevent any unnecessary hold up
that would otherwise occur when registering your company. For any start-up, it
is essential to make sure that you consider every angle, every detail, every
relevant aspect. By doing so you can make your company formation as smooth as
possible, averting any potential hiccup and streamlining the whole process. The
sooner you can get your company off the ground, the sooner you can start seeing
a return on your investment.
Blog supplied by Rapid Formations are a professional formations
agent assisting with the startup and formation of a whole host of
businesses, across a range of industries.