Help with Limited Company formation

[TB Rich]

Hi,

Im looking at registering a company offically with companies house. Looking around on the net there appears a number of options, ranging in prices.
Has anybody on here done this before and can you point me in the right direction? Looking at the DIY method seems to be very cost effective but from the small amount of research ive done possibly fraut with pitfalls?? At an in between price some companies offer a service of using their tailored memorandum of association and articles of association, are these necessary to change from the 1981(i think) model versions? or are these companies simply finding something to sell me?
In particular the website www.ukcorporator.co.uk/ seems to offer a resonable service at about a middle ground in cost??

Thoughts and advice much appreciated. Ive registered the domain name etc now so looking to get this off the ground fairly soon. I know i could act as a sole trader, but should the company take off id quite like to have the official name registered and imo it creates a more professional image of the company. Plus i wouldnt want to find the name gets taken in the mean time.

Oh 3 more questions. Law stipluates a limited company must have a secutary - which is not the sole director (me). Presume just put my partners name down? What are the legal implications? And lastly do i need to register for VAT, are there specific turnover limits and how does finance reporting work for the company? filing profit reports back to the IR??

Thanks in advance

[o.versteer]

Business forum is probably the place for this, but I've used Duport Associates - www.duport.co.uk - several times and they're very good with excellent support. Takes all the hard work out if it.

>> Edited by o.versteer on Monday 10th April 22:41

>> Edited by o.versteer on Monday 10th April 22:41

[micky g]

Get a good accountant that gives fixed fees for your first year. He should be able to guide you through the process and give you the correct advice about VAT, books etc. A good accountant is one of your most valuable assetts in business. Btw - the Company Secretary has more legal responsibility than the directors!!

[jacobyte]

As Mr Versteer says, Business Forum would be best.

Until then...

Make sure you actually need a Limited Company. Don't do it "just because". There are many obligations that have to be met, such as annual accounts, structured and minutes meetings, etc. Co Secretary can be anyone, but has lots of responsibility, so it's best it's a professional. Regarding this, plus tax and VAT, look at www.hmrc.gov.uk

See an accountant to get some advice. Most will give free advice initially and tell you everything you need to know that is relevant to your situation. Eric Mc seems fairly handy round these parts.

Best of luck.

[TB Rich]

Thanks, that duport looks to be a very good website.

I wasnt even aware there was a Business forum on PH, mod's please feel free to move this thread.

Thanks.

[Muncher]

Ltd Comapny incoporation is very straight forward and something you can do yourself.

I registered a company about 18 months ago, then studied the law involved after at uni. Drop me an e-mail if you want any help including copies of Articles and Memorandum.

[Zod]

Law firms keep them on the shelf (they're called shelf companies), but you'd be best off going to a reputable agent like Jordans (we're probably a bit expensive).

[ff5317]

when I set up my first limited company I used a company called Hanover out of Exchange & Mart, cost about £45 and they handled pretty much everything. I'd definitely recommend them

[xjsjohn]

micky g said:

Get a good accountant that gives fixed fees for your first year. He should be able to guide you through the process and give you the correct advice about VAT, books etc. A good accountant is one of your most valuable assetts in business. Btw - the Company Secretary has more legal responsibility than the directors!!

As he said ...

Get a good accountant, get a fixed first year price, get him to set the company up ...

remember test the accountant ... ask him this simple question "what does 2 + 2 equal??"






The answer the accountant should give you is "What do you want it to equal?"



I would happily recommend my accountant ... but would say get a recomendation from someone you know and trust, failing that PM me, and i will drop you his mail

[Pot Bellied Fool]

Watch out for the el-cheapo ones, many of them don't include a hardcopy certificate of incorporation or Memorandum/Articles of Association - they come at a hefty 'option' price

But...

Your bank WILL want to see them and won't open an account for the company without them.

[tinman0]

I use UK PLC. Reasonable and cheap, with a nice interface.

[fish]

I just do it direct with companies house one form and use a standard set of memo and arcs. Just as quick as filing out the off the shelf stuff. Buy a set of stat books from WH Smith if you want the bells and whistles.

[AquilaEagle]

I used www.companyregistrations.com They were very quick and helpful

[TB Rich]

Thanks for the replies.

My only concerns after some more research now is can the memorandum of association and articles of association be changed once the company is formed? If so i think setting up with someone like duport.co.uk seems to be the best idea. Im not sure how applicable the default model items will be and how easy/quick to tailor??

I do really need to be limited for credability and liable. VAT registration can be something i can pre-empt when my turnover nears to 60k, which is probably not going to be the first year tho maybe close. When vat supplies are talked about, that includes billable labour rate correct?

In terms of accountating, running a manual or computerised ledger is all thats required yes? then file that as the accounts register with companies house come year end???

Thanks.

[dmitsi]

TB Rich said:

Thanks for the replies. My only concerns after some more research now is can the memorandum of association and articles of association be changed once the company is formed? If so i think setting up with someone like duport.co.uk seems to be the best idea. Im not sure how applicable the default model items will be and how easy/quick to tailor?? I do really need to be limited for credability and liable. VAT registration can be something i can pre-empt when my turnover nears to 60k, which is probably not going to be the first year tho maybe close. When vat supplies are talked about, that includes billable labour rate correct? In terms of accountating, running a manual or computerised ledger is all thats required yes? then file that as the accounts register with companies house come year end??? Thanks.

It can be changed at a later date, also additions can be added. I would do it directly through companies house, it's not that much hassle once you look into it.

ETA, I'd recommend ordering some of the guidance booklets from CH, they're very good, free and cover most questions you could think of.

>> Edited by dmitsi on Tuesday 11th April 11:59

[bigTee]

i set mine up on the net,cost me £49.

and then my accountant charged me £300 for putting it right!!!

[tinman0]

TB Rich said:

My only concerns after some more research now is can the memorandum of association and articles of association be changed once the company is formed? If so i think setting up with someone like duport.co.uk seems to be the best idea. Im not sure how applicable the default model items will be and how easy/quick to tailor??

The Mem&Arts can be changed at a board meeting easily once the paperwork is done. As far as I know you just rewrute them and submit them to Companies House. Just write up the new M&A, call an EGM down the pub that night, and decide that these are the M&As you now want. And then get on with drinking.

I don't remember the documentation being too onerous at the bank last year with the Ltd i set up. They wanted a copy of M&A, and a letter from the company secretary stating that they would act as company secretary, and that was it. Most of what they required were personal ID documentation, but as they know me they waived that. Don't even remember them needing the Cert of Incorporation because as they said - they can verify that on Companies House website themselves.

UK PLC are £29.00 for a basic set up which takes a few minutes to do. The more expensive packages include things like share certificates, but thats just paperwork at the end of the day. Its all recorded at Companies House in the original application. If you are more or less the sole shareholder having a bit of paper saying you own X shares is neither here nor there.

[Eric Mc]

Do you need to operate as a limited company?

[FUGatso]

micky g said:

Get a good accountant that gives fixed fees for your first year. He should be able to guide you through the process and give you the correct advice about VAT, books etc. A good accountant is one of your most valuable assetts in business. Btw - the Company Secretary has more legal responsibility than the directors!!

Absolutely agree, went Ltd earlier this year and my accountant has been excellent and informative. After 14 years in a commercial environment including 2 working for myself, I didn't realise how little I knew.

[TB Rich]

Yeah i do need to be limited, company credability primarily. + company and not personal liable and also secures a rather good name.

ill be running a citrix solutions (as well as windows server based work like AD deployment/anything extremely technical and geeky!) in a consultancy manner. therefore most of my taxable supplies will be on labour rates against consultancy charges. this is why i need it to be a ltd company. also if it picks up and i can see a genuine future, it gives me scope to bring on board an employee and work at the company in a full time manner.

info would be useful on how i go about paying out from the company back to my personal wealth, divedends and salary, either method best for tax?

about to set the company up now, just going to go back over the sites posted here and choose the best. as a sole director, once/if the company takes of, that'll be the time to rewrite the memo and get an accountant on board. keep it simple for now whilst recognition and respect is gained. (also a ltd company is the best way for contract work and IR35 'avoidance' i beleive)?

Thanks again.

>> Edited by TB Rich on Tuesday 11th April 23:34