{"id":11183,"date":"2023-12-16T13:38:14","date_gmt":"2023-12-16T13:38:14","guid":{"rendered":"https:\/\/www.qualitycompanyformations.co.uk\/blog\/?p=11183"},"modified":"2025-01-13T09:01:53","modified_gmt":"2025-01-13T09:01:53","slug":"set-up-limited-company-4-steps","status":"publish","type":"post","link":"https:\/\/www.qualitycompanyformations.co.uk\/blog\/set-up-limited-company-4-steps\/","title":{"rendered":"Set up a limited company in 4 easy steps"},"content":{"rendered":"
You\u2019d be forgiven for thinking that company formation is a long, drawn-out process that requires stacks of paperwork and plenty of back and forth. However, this couldn\u2019t be further from the truth. At QCF, you can set up a limited company in 4 easy steps. <\/span><\/p>\n In this article, we are going to take you through the steps for forming a limited company (a private company limited by shares – the most popular type of company). Let\u2019s get started.<\/span><\/p>\n All companies need a name. The first step of setting up a limited company with QCF is choosing yours. However, before you jump in and pick a name, there are a few things to be aware of:<\/span><\/p>\n When you have thought of an appropriate name for your company, run it through our <\/span>company name checker<\/span><\/a>. We\u2019ll immediately let you know if it\u2019s available or not, and if it includes any sensitive words or expressions. If it is available, fantastic – you can proceed. If not, have a think and come up with another.<\/span><\/p>\n See here for further guidance on picking a suitable company name: <\/span>7 tips for choosing a company name<\/span><\/a><\/p>\n We offer 6 packages focused on registering a private company limited by shares:<\/span><\/p>\n All of these packages will provide limited company registration; however, some packages come with more inclusive products and services than others.<\/span><\/p>\n For example, the Basic Package provides you with limited company registration with minimal extras, whereas the Privacy Package allows you to use our Covent Garden address as your company\u2019s registered office address and your director\u2019s service address – ideal for keeping your residential address from appearing on Companies House public record.<\/span><\/p>\n Further to this, if you want a fully comprehensive service that includes the majority of our core services – including Business Address, VAT Registration and Business Telephone Answering services – the Fully Inclusive Package would be appropriate.<\/span><\/p>\n Find out more about our company formation packages<\/span><\/a>.<\/span><\/p>\n After you have selected your package, you will be given the chance to add some additional services to your order, such as the Guaranteed Same Day Service (if you\u2019re in a hurry to start trading) or the ICO Registration Service (most limited companies are required to register with the Information Commissioner’s Office).<\/span><\/p>\n When you are ready to proceed, you simply need to provide your email address, password, and your billing information. You can then make payment through most payment cards, such as Visa, Mastercard, and American Express.<\/span><\/p>\n Now it\u2019s time to provide the key information about your company and opt-in to some of our exclusive partner offers. <\/span>Whilst this is the most in-depth step of the process, provided that you have all the necessary details on hand, it shouldn\u2019t take any longer than 15 minutes to complete.\u00a0<\/span><\/p>\n Below is a summary of the information that you need to provide:<\/span><\/p>\n A <\/span>Standard Industrial Classification (SIC) Code<\/span><\/a> is a 5-digit number that describes a specific business activity. When setting up a company, you must select at least one SIC Code (you can choose up to four) from the list that we provide you.<\/span><\/p>\n The registered office address is your company\u2019s official address. It must be a physical postal address, either commercial or residential, but you cannot use a PO Box. The use of our London Registered Office Address Service<\/a> is included in a number of our packages. It can also be purchased separately for a new or existing company. \u00a0<\/span><\/p>\n If your package does not include this service, you must provide a UK-based address to use as your registered office. Because the registered office address is placed on the public register, the use of a home address – whilst permitted – <\/span>is not recommended<\/span><\/a>.<\/span><\/p>\n This is the person (or people) tasked with the general day-to-day running of the company. <\/span><\/p>\n A private company limited by shares needs at least one director (a company can be formed by just one person taking on all the necessary appointments\/roles). For every <\/span>director<\/span><\/a> in the company, you must provide:<\/span><\/p>\n You will also need to provide a service address for your directors (and shareholders and people with significant control). This is similar to the registered office address but for the individual rather than the company. The address is on the public register, so using a residential address is not recommended.<\/span><\/p>\n Several of our company formation packages include the option to use our address as the service address. If your package does not include this, you will need to provide an address that you have permission to use (we will, however, give you the option to purchase our Service Address again as an additional extra).<\/span><\/p>\n This is the person (or people) who own the company. A private company limited by shares needs at least one <\/span>shareholder<\/span><\/a>. <\/span><\/p>\n The shareholder(s) may be the same person(s) as the director(s), but there is no requirement for this. For every shareholder in the company, you must provide:<\/span><\/p>\n At the same time as naming the shareholder(s) in your company, you must also give information about the shares they are going to own. For each shareholder, you must provide:<\/p>\n The number of shares you allocate defines the ownership structure of the company.<\/p>\n For example, if you have two shareholders and want them to have a 50\/50 share split, you could allocate them with 1 share each. Alternatively, if you want a 75\/25 split, you could allocate 3 shares to one shareholder and 1 to the other.<\/p>\n Shareholders are liable for the unpaid nominal value of the shares they own – this means if the company were to encounter financial difficulties, this is the amount that they could lose. Because of this, we recommend allocating a low number of shares at this stage.<\/p>\n This is the person (or people) who ultimately control the company. In most cases, this will also be a shareholder. <\/span><\/p>\n Generally, a private company limited by shares needs at least one <\/span>PSC<\/span><\/a>. For every PSC in the company, you must provide:<\/span><\/p>\n Also, when naming your PSC(s) you will be provided with a list of \u2018Nature of control\u2019 options regarding:\u00a0<\/span><\/p>\n All you need to do is choose the options that apply to your company\/PSC and answer some basic \u2018yes\u2019 or \u2018no\u2019 questions.<\/span><\/p>\n The <\/span>articles of association<\/span><\/a> outline how the company is going to be operated. You do not have to do anything regarding this, as your application will automatically be accompanied by the default articles of association.<\/span><\/p>\n Some of our company formation packages – including the <\/span>Multiple Share Class Package<\/span><\/a> and the <\/span>Charity Company Package<\/span><\/a> – include the option to use your own articles of association. If you have purchased one of these packages, you can <\/span>upload your document during the company formation process.<\/span><\/p>\n We have partnered up with several business service providers to give you some exclusive offers to get your business off to the best start. The final step of the registration process, before reviewing your application, is to opt-in to any offers that appeal to you.\u00a0<\/span><\/p>\n You can select from a range of business bank account providers, accounting software solutions, and other partners. Plus, you also have another chance to pick up any additional services that we offer, such as VAT registration, PAYE registration, and more.<\/span><\/p>\n Once your company has been formed, you will be sent further information on how to redeem any offers that you selected.<\/span><\/p>\n All that\u2019s left for you to do is review the information that you have provided, ensuring that there are no mistakes. When you are ready, you can submit the application. <\/span><\/p>\n Because all our packages come with a Free Pre-Submission Review, your request will be sent to one of our company experts for checking. If there are no problems, your application will then be sent to Companies House.\u00a0<\/span><\/p>\n If one of our company experts finds an issue, you will be contacted, and they will work with you to resolve it (for example, they may have spotted a typo). When ready, your application will be sent to Companies House.<\/span><\/p>\n We will then email your company information and documentation (such as company number, certificate of incorporation, and share certificates) as soon as your company has been formed. This typically takes 3 – 6 working hours. You do not need to let <\/span>HMRC<\/span><\/a> know about your new company, as they will be automatically notified about its incorporation.<\/span><\/p>\nStep 1: Company name<\/h3>\n
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Step 2: Choose a company formation package<\/h3>\n
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Step 3: Checkout and pay<\/h3>\n
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Step 4: Complete details<\/h3>\n
SIC Code<\/h4>\n
Registered Office Address<\/h4>\n
Director information<\/h4>\n
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Shareholder information<\/h4>\n
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Share information<\/h4>\n
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Person with significant control (PSC) information<\/h4>\n
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Articles of association<\/h4>\n
Choose your ‘Business Essentials’<\/h4>\n
That\u2019s everything you need to set up a limited company<\/h3>\n
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So there you have it<\/h3>\n