Company formation
Starting a limited company represents a significant business decision, yet many entrepreneurs delay incorporation due to uncertainty about the process and requirements. At Gravesend Accounting, our specialist company formation service transforms incorporation from a confusing process into straightforward, professional guidance. With years of experience helping business owners, contractors and self-employed professionals across Gravesend and Kent establish limited companies, we handle everything from strategic advice through to Companies House registration and post-incorporation compliance. Our comprehensive approach ensures proper setup, appropriate business structure selection and complete readiness for trading, providing confidence and clarity as you launch your limited company.
How we can help you
Professional Limited Company Formation Services for Gravesend Entrepreneurs
Establishing a limited company is a significant business decision that requires careful planning, proper registration and strategic consideration of your business structure. At Gravesend Accounting, our specialist company formation service provides comprehensive guidance and professional support throughout the incorporation process, ensuring your new company is properly established and ready for successful trading.
Whether you are starting a new business from scratch, transitioning from self-employment, or establishing a company structure for investment purposes, we guide you through every stage of formation with expert advice and professional management.
Understanding Limited Company Formation
A limited company is a legal entity separate from its owners, meaning the company can own property, enter contracts, incur debts and conduct business in its own right. This legal separation is the fundamental distinction between limited companies and sole traders or partnerships, where the business and its owners are legally the same entity.
Limited company formation involves registering your business with Companies House, the UK government agency responsible for company incorporation and regulation. Once registered, your company receives a Certificate of Incorporation confirming its legal status as a private limited company.
Why Choose a Limited Company Structure?
Limited company formation offers several important advantages over alternative business structures. First, limited liability protection. As a director of a limited company, your personal assets are generally protected from company liabilities. If the company encounters financial difficulties or legal claims, your personal assets including your home and savings cannot generally be seized to pay company debts. This protection provides significant personal financial security that sole traders do not enjoy.
Second, tax planning opportunities. Limited companies benefit from more flexible tax structures compared to sole traders. Directors can optimise their tax position through strategic combinations of salary payments and dividend distributions, often resulting in significant tax savings. Additionally, Corporation Tax rates may be lower than Income Tax rates for higher earning businesses, and limited companies benefit from different tax reliefs than sole traders.
Third, professional credibility. Many customers, particularly larger businesses, prefer working with limited companies, viewing them as more established and professional than sole traders. Limited company status can enhance business credibility and market positioning.
Fourth, business investment and funding. If your business may require external investment or funding, a limited company structure facilitates these arrangements. Investors typically invest in limited companies through share purchases, whereas sole traders cannot easily seek investment without complex restructuring.
Fifth, business continuity. A limited company continues to exist independently of its directors, providing business continuity if ownership or management changes occur. A sole trader’s business effectively ends if the proprietor retires or passes away, whereas a limited company can transfer ownership through share sales.
When Should You Consider Limited Company Formation?
The appropriate time to form a limited company depends on your specific business circumstances. Generally, incorporating makes sense when your business generates annual profits of £50,000 or more, as tax savings typically become substantial above this level. Additionally, incorporating becomes worthwhile if your business carries significant liability risks, if you expect to seek investment, or if you want to separate your personal finances from your business affairs.
We advise on whether limited company formation is appropriate for your circumstances through a detailed consultation examining your current and projected business performance.
Our Comprehensive Company Formation Service
Our company formation service encompasses everything required to establish your limited company professionally and efficiently. We take responsibility for the entire incorporation process, handling all planning, registration and post-incorporation requirements.
Our service includes initial consultation to assess your business requirements and determine appropriate business structure, detailed advice on the benefits and considerations of limited company formation for your specific circumstances, selection of appropriate company name following availability checking, preparation of memorandum of association and articles of association customised to your business needs, identification and appointment of company directors and shareholders, completion of all Companies House registration forms and application submission, liaison with Companies House throughout the registration process, provision of your Certificate of Incorporation upon successful registration, guidance on post-incorporation requirements including statutory register setup and ongoing compliance obligations.
We also advise on related matters including VAT registration requirements, PAYE registration if you will employ staff, obtaining company bank accounts and setting up your business accounting records.
Choosing Your Company Name
Your limited company name must be unique and not identical to any existing registered company. The name must end with ‘Limited’ or ‘Ltd’ to indicate limited liability status. We check name availability with Companies House before you commit to a name, preventing disappointment and delays during registration.
We also advise on domain name registration alongside your company name, ensuring you can establish a web presence that aligns with your company identity.
Director and Shareholder Appointments
Every limited company must have at least one director, though you can appoint multiple directors if you prefer. Directors are responsible for managing the company and ensuring compliance with legal obligations. Your director appointment must be notified to Companies House as part of registration.
Additionally, every company must have at least one shareholder or member. Shares represent ownership in the company, and shareholders receive dividends if the company distributes profits. We advise on appropriate shareholding structures for your business circumstances.
We also ensure you comply with People with Significant Control requirements, identifying and registering anyone holding more than 25% of shares or voting rights.
Memorandum and Articles of Association
Your company must have a memorandum of association and articles of association, which are constitutional documents governing how your company operates. These documents establish the rules for director meetings, shareholder decisions, dividend policies and other operational matters.
We prepare these documents customised to your business requirements, ensuring appropriate governance structures for your company size and complexity.
Limited Company Formation versus Sole Trader Transition
If you are currently operating as a self-employed sole trader and considering incorporation, this represents a significant business transition. We advise on tax implications, accounting changes and administrative requirements involved in transitioning from sole trader to limited company status.
Transitioning existing business activities to a newly formed company requires careful planning to avoid adverse tax consequences. We manage this transition professionally, ensuring appropriate business transfer arrangements and tax-efficient implementation.
Registered Office Address and Business Premises
Every limited company must have a registered office address where official company documents are kept and where Companies House communications are received. Your registered office address is publicly available on the Companies House register.
Your registered office can be your business premises, a home address, or a registered office service provided by a professional firm. We advise on the most appropriate address for your circumstances, considering business privacy and operational needs.
SIC Codes and Business Classification
During company registration, you must select Standard Industrial Classification codes describing your main business activities. These codes categorise your business type and are used for statistical purposes. Selecting appropriate SIC codes ensures accurate business classification.
We advise on appropriate SIC code selection for your business activities, ensuring correct classification.
Post-Incorporation Compliance and Ongoing Requirements
After successful incorporation, your limited company must comply with ongoing requirements including maintaining statutory registers at your registered office, filing an Annual Confirmation Statement with Companies House each year, preparing and filing year end accounts within nine months of your financial year end, maintaining proper business records for six years, notifying Companies House of any changes to directors or shareholders, and complying with tax registration requirements with HMRC.
We provide guidance on these post-incorporation obligations and can support you with ongoing compliance management.
Getting Started with Gravesend Accounting Company Formation
Whether you are starting a new business and need to establish a limited company, transitioning from self-employment to incorporated status, or establishing a company for investment or specific business purposes, Gravesend Accounting provides expert guidance and professional support.
We begin with a consultation to understand your business objectives, current circumstances and the strategic reasons for incorporation. We then advise on appropriate business structure and manage the entire registration process professionally.
We offer flexible consultation options, including face-to-face meetings at our Gravesend office and convenient online discussions to suit your schedule. Contact Gravesend Accounting today to discuss your company formation requirements and begin the process of establishing your limited company.
Frequently asked questions (FAQ)
How long does it take to register a limited company with Companies House?
Limited company registration with Companies House typically takes five to ten working days once your completed application is submitted. However, the total time from initial inquiry to formal incorporation often takes longer due to preparation time. We typically advise allowing two to three weeks from initial consultation to receipt of your Certificate of Incorporation. The timeline depends on how quickly you provide us with necessary information and decisions about your company structure. Expedited registration options are available if you need faster incorporation, though these incur additional costs. We manage all timings carefully and keep you informed of progress throughout the registration process.
What documents do I need to provide to register a limited company?
To register your limited company, we require basic company information including your proposed company name, your business activities and appropriate SIC codes, your intended registered office address, details of all proposed directors including their names, dates of birth and service addresses, details of all proposed shareholders including shareholding details, and your confirmation that all individuals have agreed to their appointments. We also require copies of identification documents for all directors and confirmation regarding People with Significant Control details. We provide a comprehensive checklist of all required information during your initial consultation, ensuring you provide everything needed to complete registration smoothly.
Can I change my company name after registration if I decide I do not like it?
Yes, you can change your limited company name after registration, though this involves submitting a change application to Companies House and incurs a fee. You do need to go through a formal process rather than simply deciding to use a different name. For this reason, we encourage careful company name selection during the formation process to avoid the cost and administrative burden of name changes later. We can help you brainstorm appropriate names and check availability before you commit to a name for registration.
Is my home address protected if I use it as my registered office address?
Your registered office address is publicly available on the Companies House register, so anyone can see your address. If you wish to protect your home address privacy, we recommend using a professional registered office service provided by a specialist firm. This allows you to register with a confidential business address whilst conducting business from your home. This service is commonly used by home-based businesses wanting to maintain personal privacy. We can advise on registered office service providers and help you arrange an alternative address if you prefer not to publicly disclose your home address.
What happens after my company is registered and I receive my Certificate of Incorporation?
After receiving your Certificate of Incorporation, you must complete several important post-incorporation tasks. You must establish statutory company registers at your registered office including a directors' register, shareholders register and People with Significant Control register. You must open a company bank account in your company name. You must register for PAYE with HMRC if you will employ staff. You must register for VAT if your business turnover will exceed the VAT threshold. You must establish your business accounting records and determine your financial year end. You must register your company tax reference with HMRC. We provide comprehensive guidance on all post-incorporation requirements and can support you with these tasks.
