Company Formation

Company formation, also called company registration, is the process of legally incorporating a business in the UK through Companies House, the official registrar of companies for England and Wales. Once formed, your company becomes a separate legal entity with its own rights and responsibilities, distinct from its shareholders and directors. The process involves choosing a company name, appointing at least one director, issuing at least one share, providing a UK registered office address, and submitting an application to Companies House. Using a formation agent like Your Company Formations, the entire application takes around 10 minutes to complete online, and most companies are incorporated within 3 to 6 working hours

To register a limited company in the UK, you will need a company name that is unique and not already registered at Companies House, a UK registered office address, at least one director who is aged 16 or over, and at least one shareholder holding a minimum of one share. You will also need to complete identity verification as required under the Economic Crime and Corporate Transparency Act 2023. Our online application form takes about 10 minutes to complete, and we handle identity verification through our secure partner at no extra cost. If you want to keep your home address off the public register, our registered office address and director service address are available as part of our formation packages.

A limited company must issue at least one share, and if there is more than one shareholder, at least one share per shareholder. There is no upper limit on the number of shares a company can issue. Most new companies issue between 1 and 100 ordinary shares with a nominal value of £1 each, though the number and structure can vary depending on your plans for the business. It is generally advisable to issue more than the minimum number of shares at the outset, as it is simpler and cheaper to allocate shares from an existing pool than to create and issue new ones later. Share structures can also be changed after incorporation if your requirements change.

There is no strict legal requirement for a limited company to have a dedicated business bank account, but in practice it is essential. A limited company is a separate legal entity from its directors and shareholders, which means its finances must be kept completely separate from your personal money. Without a business account, managing company income, expenses, and tax obligations becomes extremely difficult and could create problems with HMRC. Your Company Formations makes it straightforward to open a business account as part of the formation process. You can select a preferred banking partner from our panel, which includes Barclays, Cardone, ANNA, and Zempler, with selected accounts offering cashback rewards of up to £155.

Once Companies House approves your application, typically within 3 to 6 working hours, we will email your incorporation documents. These include your certificate of incorporation, memorandum and articles of association, share certificates, and WebFiling Authentication Code. You can begin trading immediately. After incorporation, there are several important next steps. You should open a business bank account to keep your company finances separate from your personal money. You will also need to register for corporation tax with HMRC within three months of starting to trade. If your expected taxable turnover exceeds the VAT registration threshold, you will need to register for VAT separately. Your company will also need to file a confirmation statement with Companies House each year. Our online company manager helps you track these obligations and stay compliant.

A company formation agent is a professional service provider that helps individuals and businesses register a limited company in the UK. Services typically include guidance on choosing and checking a company name, preparation and filing of all documentation with Companies House, a UK registered office address, a trading address with mail handling, assistance opening a business bank account, and ongoing compliance support. The most capable formation agents hold Authorised Corporate Service Provider (ACSP) status, which means they are formally approved by Companies House to carry out identity verification on behalf of their clients. Your Company Formations is a registered ACSP, meaning we can handle your identity verification as part of the formation process at no extra cost, saving you the time and effort of arranging it separately.

After incorporating your company, there are three main annual filing obligations you need to be aware of. First, you must file a confirmation statement with Companies House at least once every 12 months. This confirms that the information held on the public register about your company is accurate and up to date. Second, you must file annual accounts with Companies House each year, showing a summary of your company's financial position. Third, you must file a corporation tax return with HMRC and pay any corporation tax owed within nine months and one day of your accounting year end. Missing these deadlines can result in financial penalties and, in serious cases, the compulsory strike-off of your company. Your Company Formations can assist with your confirmation statement filing as part of our ongoing compliance services.

These are two distinct address services that serve different purposes, and most company directors need both. A registered office address is the official address of your company as it appears on the Companies House public register. All statutory mail from Companies House and HMRC is sent to this address. It must be a physical UK address and cannot be a PO box. A director service address is the address that appears on the Companies House register against your name as a director or Person with Significant Control. It is used for personal correspondence addressed to you in your capacity as a company officer. Without a service address, your home address would appear on the public register and be visible to anyone. Your Company Formations provides both services using our Central London address at 128 City Road, London EC1V. All mail received on your behalf is scanned and forwarded to you by email.

No documents are needed to complete the online application form, which takes around 10 minutes. However, identity verification is a legal requirement for all company formations under the Economic Crime and Corporate Transparency Act 2023. Once you submit your application, our partner, a government-approved identity verification platform, will send you an email invitation. You will be asked to upload or photograph one of the following: a valid UK or international passport, a UK driving licence, or a national identity card. The process is completed through a secure portal and typically takes only a few minutes. Identity verification is provided free of charge as part of your formation package.

Most mistakes made during the registration process can be corrected after incorporation, often at no additional cost. For example, a company name can be changed by filing an application with Companies House, director and shareholder details can be updated, and the registered office address can be amended at any time. Some details, such as the company number and the original date of incorporation, are permanent and cannot be changed. The best way to avoid mistakes is to use our Pre-Submission Review service, available for £4.99 at checkout. A qualified formation expert will review your entire application before it is submitted to Companies House, checking for errors and flagging anything that needs attention. If we identify an issue after submission but before Companies House processes the application, we will also do our best to intervene on your behalf.

Yes. A dormant company is a limited company registered with Companies House that is not actively trading or generating income. People form dormant companies for various reasons, including protecting a company name, holding assets, or preparing a business structure ahead of launching. To form a dormant company, you register a standard limited company through the normal process. Most customers select SIC code 99999, which indicates a non-trading entity, during the application. Once your company is incorporated and you receive your company UTR number from HMRC, usually within 2 to 3 weeks, you notify HMRC that the company is not trading. A dormant company still has annual filing obligations, including submitting a confirmation statement to Companies House and filing dormant accounts each year.

No physical paperwork or wet signatures are required at any stage of the process. Everything is completed online. You fill in our application form, which takes around 10 minutes, and we prepare and submit all the necessary documents to Companies House electronically on your behalf. The only step that requires any action beyond the form is identity verification, which is completed through a secure online portal operated by our partner. You will be prompted to upload or photograph your identity document through that portal. In most cases, your company is incorporated within 3 to 6 working hours of submission.

The right company structure depends on your goals, your industry, and how you plan to manage your business finances. For most profit-driven businesses, a private limited company (LTD) is usually the best option. It offers limited liability protection, separating your personal assets from the company's debts, and is generally more tax-efficient than operating as a sole trader as your income grows. If you are setting up a non-profit, charity, association, or community organisation, a company limited by guarantee is more appropriate, as it has no share capital and members guarantee the company's debts up to a fixed amount. If you are a professional working in partnership with others, such as a solicitor, accountant, or consultant, a limited liability partnership (LLP) may be preferable, as it combines the flexibility of a partnership with the protection of limited liability. Your Company Formations can help you register any of these structures.

Yes. UK law requires every limited company to appoint at least one director at the point of registration. The director must be a natural person aged 16 or over, though there is no requirement for them to be a UK resident or citizen. There is no maximum number of directors a company can have. If you are forming a company on your own, you can act as both the sole director and sole shareholder, which is a common and perfectly valid structure. Directors are legally responsible for running the company and ensuring it meets its obligations, including filing accounts and confirmation statements with Companies House and paying corporation tax to HMRC. A corporate entity can also be appointed as a director, but at least one director must be a natural person.

Your company name must be unique and not already registered at Companies House. It must also end with Limited or Ltd to indicate its legal status as a private limited company. If registering in Wales, you can alternatively use the Welsh equivalents Cyfyngedig or Cyf. Beyond these requirements, Companies House has rules on sensitive words and expressions that require special permission to use, such as those implying a connection to the government, the royal family, or a regulated profession. Your company name also cannot be identical to or too similar to an existing trademark. You can check whether your preferred name is available using our free company name search tool before starting your application. If your first choice is unavailable, we can help you identify a suitable alternative. Once your name is approved as part of your formation application, it is protected on the Companies House register.