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How is a company formed?

Profile picture of Nicholas Campion.

Director, Company Secretarial

Last Updated: | 3 min read

A limited company is formed by filing an application at Companies House (the UK’s registrar of companies) and satisfying the requirements of company formation set out in the Companies Act 2006.

  • Compare prices and select a company formation package
  • The process of setting up a company is an easy and affordable one which usually takes up to 24 hours if you file an application online.

    File an application at Companies House

    To apply to set up a limited company in the UK, Companies House form IN01 must be completed and delivered to the registrar. There are three ways that you can do this:

    1. Online through an authorised company formation agent

    Using electronic software filing that links directly to Companies House, this online service simplifies and expedites the company formation process and facilitates the incorporation of all company types, including companies with bespoke articles and multiple share classes.

    2. Web incorporation service

    Available on the Companies House website, this service enables you to incorporate a basic private company limited by shares with Model articles of association and ‘Ordinary’ shares.

    3. Paper filing by post

    You can download form IN01 and send it by post to Companies House, but this option takes much longer and is more expensive. The paper version of the application consists of 35 pages, so it is more complex than the simplified online version of the form.

    Information required to register a limited company

    The information that you will have to provide on the application includes:

    • Proposed company name
    • Type of company (private company limited by shares or limited by guarantee)
    • Principal business activity
    • Registered office address
    • Articles of association
    • Details of company secretary (optional)
    • Details of all company directors – minimum of 1
    • Details of all subscribers/members (shareholders or guarantors) – minimum of 1
    • Information about shares (if the company is limited by shares)
    • Details of all People with Significant Control (PSCs)
  • A limited company with privacy built-in
  • At first glance, this list of required information may seem daunting. However, the application form is generally very quick and easy to complete if it’s done online through a company formation agent, especially if the company is being set up with just one or two people.

    In such instances, the same details will be used in multiple sections, e.g. details of directors, subscribers, and PSCs. In other sections, it will simply be a matter of checking a box or selecting an option from a list.

    Application is processed at Companies House

    When your application has been filed at Companies House, it will be processed and approved within 24 hours (online applications) or 10 days (postal applications).

    Companies are incorporated at one of three Companies House locations:

    • Registrar of Companies (England & Wales) in Cardiff
    • Registrar of Companies (Scotland) in Edinburgh
    • Registrar of Companies (Northern Ireland) in Belfast

    The location of your registered office address will determine which registrar of companies processes your application and incorporates your company. This is because the UK has three distinct legal jurisdictions (England & Wales, Scotland, and Northern Ireland).

    Consequently, is not possible to simply register a company in the ‘United Kingdom of Great Britain’ as a whole because each UK jurisdiction has its own legal system and court.

  • What is the right company structure for my business?
  • When your application has been approved, the registrar will publish your company details on the public register of companies and issue a Certificate of Incorporation to confirm that it legally exists. At this point, your company will become a distinct legal entity and you can start trading immediately.

    Benefits of forming a company online

    Due to their user-friendly format and in-built checks, online applications result in far fewer errors and rejections. If you choose to set up a limited company online through a company formation agent, you will also benefit from a simplified application process that is quicker and cheaper than the online or postal services available at Companies House.

  • What happens after you set up a company?
  • At Quality Company Formations, you will receive a free Pre-Submission Review of your application, carried out by one of our professional company registration experts. This further minimises the risk of common mistakes made on incorporation, ensuring that your company registration is plain sailing and stress-free.

    You will also have the option to register different types of companies from as little as £51.99 (+ VAT), including limited by shares companies with different types of shares, companies with altered or bespoke articles, and limited by guarantee companies for non-profit organisations and charities.

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    Please note that the information provided in this article is for general informational purposes only and does not constitute legal, tax, or professional advice. While our aim is that the content is accurate and up to date, it should not be relied upon as a substitute for tailored advice from qualified professionals. We strongly recommend that you seek independent legal and tax advice specific to your circumstances before acting on any information contained in this article. We accept no responsibility or liability for any loss or damage that may result from your reliance on the information provided in this article. Use of the information contained in this article is entirely at your own risk.

    About The Author

    Profile picture of Nicholas Campion.

    Nicholas is Director, Company Secretarial at QCF, responsible for completing the company’s statutory filings and ensuring all the company secretarial department is fully trained on company law and company secretarial procedures. Nick is also Company Secretary for the BSQ Group and all subsidiary brands, an accredited industry leader and a Companies Act 2006 specialist.

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