If you are considering setting up your own limited company, the prospect of ‘dealing with the authorities’ may seem daunting. In reality, the company formation process is very simple – whether you apply yourself, or use a registration agent to set up the company on your behalf.
To set up a private limited company, you (or an agent) have to submit the following information to Companies House:
1. Form IN01
This is the formal application to form a new company. Before you submit the form, you should ensure that the company name you want is available, and does not contain any ‘sensitive’ expressions.
You also need to provide your registered office address, details of any directors and company secretary (an optional appointment), details of share capital and the classes of share in issue.
You can download Form IN01 here.
2. Memorandum of Association
This document contains the names and signatures of all subscribers who are setting up the company.
For most readers, setting up a company limited by shares (rather than ‘guarantee’), this Memorandum of Association also records the intention of each subscriber to take at least one share in the company.
You can download a Memorandum template from Companies House here.
3. Articles of Association
This document outlines how the company will be run – it is effectively the ‘constitution’ of the company. New model articles were introduced on 1st October 2009 following the implementation of the Companies Act 2006.
The new standard articles apply by default to all new companies, unless you prefer to submit your own Articles before the company is formed (or subsequently).
Most limited companies are limited by shares, however some organisations (such as charities and non-profit groups) may opt to set up a company limited by guarantee. A different set of model articles will apply in each case.
If you are setting up a company yourself, you can download Model Articles here.
Submitting your documents
Details of how to submit your documents can be found on the Companies House website.
The standard fee to set up a new company is £20, or £50 for the ‘same day’ service.
Alternatively, many people opt to use company formation services to set up a company on their behalf. This is very much the ‘hassle free’ option, and costs are similar.
Our company formations partner, have set up thousands of companies for ByteStart readers over the past 10 years, and will be happy to help you should you want to go down this route. You can find out more about the service and options they offer here.
More help on setting up a company
If you are thinking of starting a business and setting up a company, these other guides will also help you;
- A straightforward guide on how to set up a company
- Which business structure should you choose for your new business – sole trader, limited company, partnership or LLP?
- 10 advantages of a limited company over self-employed
- The Confirmation Statement: What is it, and how do I file it with Companies House?
- Responsibilities and duties of a limited company director
- Can directors be personally liable for a company’s debts?
Starting your own business
ByteStart is packed with lots of help and great advice on all aspects of starting and running your own business. Try some of our most popular guides and articles for starters;
- 10 Do’s and Don’ts of writing a business plan
- How to choose the best online accounting software for your new business
- How to create business cards that make a big impression
- ByteStart’s 60-second guide to Value Added Tax (VAT) for start-ups and small businesses
- Which types of insurance must your business have?
Funding your business
- How to maximise your chances of securing a small business loan
- A Guide to ‘Alternative Finance’ – the new funding options for startups and small businesses
- Finding finance for your new business – funding advice for start-ups
- 10 Top tips to ensure your crowdfunding efforts are rewarded
- What to do when the bank says “NO”!
Promoting your business
- 7 Mistakes to avoid making with your website
- Making your small business a BIG hit online – A Digital marketing guide for small business owners
- 7 Brilliant branding tips for start-ups
- 21 killer ideas to get free publicity for your small business
- 10 Top tips for small businesses starting out with social media