Buy Limited Companies

As the name suggests a private limited company in its very nature is a business model which cannot publicly trade its shares – or be active on the stock market. This is because of the fact that all of the shares are privately owned, as the name suggests.

Because of the set-up of the business, it can be a lot easier for small businesses to operate this way, and there is no reason why such a company can just have one director if the shareholder feels that this is the right way to move forward.

There is a lot of paperwork associated with establishing a private limited company, however. When a PLC is registered with Companies House, a process which can be quite long-winded in itself, the accounts concerning the business’ activity need to be kept up-to-date and meticulously monitored.

The process of setting up a private limited company all starts with a registration fee which is sent off to Companies House, along with the corresponding forms which allow a record of the company’s existence to be made. Form 10, the first form which is required, aims to inform those concerned about the directors who are in control of the business. In addition, the registered address of the company is also needed. In order for the form to be recognised, each director needs to give a litany of information concerning previous employment and activity five years to their incumbent position.

Form 12 can be compared to the terms and conditions which are signed before you download a piece of software onto your computer, albeit incredibly more significant. This form needs to be signed by the solicitor who is representing the business, as well as all of those who are directly concerned with the business forming. Once this has been achieved, there is official documentation that the business is willing to comply with all of the legislation associated with running a company in the UK.

In addition to this, the Articles of Association need to be supplied. This concerns the shares which may be in a private limited company, and the processes which are involved with the transferral of shares amongst shareholders. It also outlines the criteria which might be associated with the different types of shares. There are further criteria which are outlined in this document that includes the rules of any board meetings which will take place once the private limited company has been formed.

The second document, the Memorandum of Association, is nowhere near as important now as it was before October 2009. It used to form part of the Constitution for a British company but this is not the case anymore.

Here, we have outlined the processes which are associated with setting up a private limited company. As difficult as it may seem, it can be incredibly worthwhile once everything has been done and the business you have established is running like clockwork. Altogether, it is one of the biggest steps your business can take.

In their very nature, private companies limited by guarantee are very exclusive in their numbers. This is because the criteria that allows a company to qualify for this type of status reduces the amount of organisations which are entitled.

For starters, UK law indicates that a organisation that wants to be a private company limited by guarantee needs to be a non-profit organisation. If you are unsure as to what constitutes one of these organisations, it is where any of the funds that remain after the overheads of the business’ activity is not distributed to those who have an interest in the organisation. Instead, the money is reinvested into the organisation in order for progress to be made in the aims which they may hold.

Because of the way that there are no profits, there can be no shareholders who benefit from the activity of the business. Instead, a private company limited by guarantee will have different bodies at the helm of the organisation that are known as ‘guarantors’.

There can be profits which are involved with the process of being a guarantor. However, there are some concerns that guarantors who are paid may have a conflict of interest as a result. This is something to be considered.

If the activity of a company is rather large, it can be important for it to have this status in order for the guarantors to be fully protected from a legal stance. When a private company limited by guarantee is purchasing property or is employing staff in order for goals to be reached, a corporate status can enable them to eliminate the liability which may be associated with making such a move.

Just because an organisation is a private company limited by guarantee doesn’t necessarily guarantee that it will receive charitable status as a result. The Constitution which a company may have needs to be fully compliant with the specifications needed in order for a charitable status to be achieved.

In all of the documentation which a private company limited by guarantee needs to fill out, one of the main priorities can be to discover which elements of the public (or if the public at all), will benefit from the activities that the non-profit organisation are undertaking. This can make things a lot clearer when a Constitution is being reviewed. Some of the different factors which you can take into consideration include the area that a non-profit organisation aims to serve, the different elements of the public which the service offered is targeting and, if this is applicable, the races that a non-profit organisation are aiming to address in their goals.

It can be difficult to determine whether a private company limited by guarantee is the ideal move for an organisation. Over time and as a company finds it way, the requirements can certainly become a lot more clearer and you will soon be able to see how obtaining such a status can benefit you in the things you do.

Now let us take a look at Ltd Companies and their pro’s and con’s.

We have discussed Sole Trading, but which comes off better when comparing the two and which road should you take?

When you are setting out to form a Ltd Company where shall you start? And what are the advantages?

You have to go through a government agency called “Companies House” before you have officially set this up. They are the only people in the UK who are authorised to give you your official documents to certify your Ltd Company has been set up. This includes the certificate of incorporation, which is vital to prove you have purchased your Ltd Company and it has been accepted via the correct procedures. But going through companies house can take some time and there is a small charge.

You also first need to think of a name that you would like to call your Ltd Company, as only one Ltd Company name can be registered on the index at any one time. So do you have a name in mind? Great! As long as no-one else has that name you should be able to have your company formed and start trading, then I can tell you about the brilliant advantages of setting up a Ltd Company.

But now I bet you’re thinking, “But I can’t really be bothered with all of the hassle of getting in touch with companies house and going through a load of boring forms, forms which I know nothing about!” There is a way round this! Yes, you can have a Ltd Company and still reap the advantages but let somebody else set it up for you.. But who?

Well there are lots and lots of different companies on the market which we call “Formations Agents”. Formations agents basically liaise with Companies house and they do all of the work for you for a set fee. After this there will be no further costs. And as you need to pay a small charge to Companies House anyway, even if you were to set up the Ltd Company yourself, then you haven’t really got anything to lose.

Plus the formations agents usually have set packages which come with lots of advantages such as free meetings with accountants. They can set all this up for you too.

Now let’s talk about the advantages. In my mind there are two deal selling points when talking of Ltd Companies.

Number one: You are not liable for any debts that the company may produce or for even the company itself. The Ltd Company stands on its own two feet with its own name and if the worst comes to the worst and you have any outstanding debt.. you can walk away from it at any time. You and your home, car, bank account are not responsible for this. The government or Inland Revenue or big bailiffs can’t come and seize your property by law. They can only take what belongs to the company and has been purchased by the company. For example if you have bought office furniture, then this is accountable for. And it can be taken.

Number Two: Taxes! You can save a lot of money by claiming back tax. You can do this by keeping receipts and keeping them in a safe place. Then file them with your accountant. You can keep the tickets that are a receipt for parking that you display on your dashboard for example. And why not, if you’ve been to a meeting where you’ve had to pay for petrol and park your vehicle, why shouldn’t you be able to claim this back to cover your business costs?

These are two great examples of how taking the time to set up a Ltd Company can benefit you. Perhaps you like the sound of sole trading more, it’s your business, now you have the facts you can make an informed choice!

Right now, you probably know that registering a UK limited company is advantageous. But you’re probably terrified at the idea.

Well, here’s the good news: it’s actually really easy.Firstly, you need to pick a limited company name. This will appear as “Your Company Limited” once formed.

Provided the name hasn’t been registered before, and isn’t flagged as illicit content by Companies House UK, you should be able to trade within a few days of submitting your application. Just buy your limited company – and wait for the approval to go through.

And setting up a limited company in the UK isn’t just fast, its straightforward. You can buy through Companies House or go to one of many formation agents on the market. These formation agents don’t just sell limited companies – they provide support too.

Not sure what a nominee director is? No problem. These guys will explain. Don’t know the difference between a limited company and a company name search? Your formation agent will break it down for you.

Setting up a private company in the United Kingdom is downright simple in 2010. You can get your limited company, bank account and even VAT registration number  cheaply and easily right here, online.

Juse start by searching for your new company name. Then sit back, wait, and get ready to start trading with your new, limited company.

Do you want to be a company director and buy your own company formation?

Making a limited company purchase is actually relatively simple: just choose one of the many formation agents out there, and your company will be setup often within a few hours.

The first thing you will want to do is a company name search – to see if anyone else has incorporated using the name you want to form your ltd company with.

Also, bear in mind that Companies House won’t allow you to incorporate with a name similar to anyone else. For example, if someone has already incorporated Blue Widgets Limited, you won’t be able to register Blue Widget Limited.

Also, there are certain words that Companies House won’t let you use in your limited company name- certain “protected words” – along with certain words you will need to prove you can use. For example, if you tried to incorporate your limited company formation with “Blue Widget International Limited”, you will need to show Companies House that you trade in several companies.

These issues making setting up a company a little more complicated, but the process is still relatively simple with e-filing – at least compared to what incorporation was like before the net.

Buying a limited company name is easy nowadays.

There are literally dozens of company formation agents out there, willing to setup your new limited company for you.

However, before you rush to setup your new company with one of them, you need to understand something.

They don’t actually process the incorporation themselves. Instead, they interact with Companies House’s own database and setup your company indirectly as an “agent”.

Now here’s why that’s relevant: in most cases, the submission to Companies House is instant – although the actual incorporation processing and company setup may take a few days.

Some company formation agents will “fast-track” your incorporation – making same day company formation likely in many cases.

Ask your formation agent if they provide this fast-tracked service.  If so, incorporation can take just a few business hours.

One final note: Companies House do allow you to incorporate via their own website.

You can check it out here:

Buy Limited Companies via Companies House

However, be sure to shop around. Many agents include many bonuses that CH don’t offer on their own direct service.