In recent times it has regularly been reported that despite challenging times for most businesses, there are still an increasing number of business start ups in the UK. Many are trying to defy the odds of the economic downturn and a large portion of these entrepreneurs have been successful by targeting niche markets.
However, before the success can begin, everyone has to think about their company registration, so in this article we look to run you through an easy 5 step guide to help you with your company registration.
1. Company Name – First on your list of priorities is to discover what your new company name is going to be. This is a fairly simple step and also a great way for you to use your imagination and creativity. There is more to think about than just the company name, for instance, you might want to get an idea for a company logo or a company slogan to accompany it. Many believe the best company names are ones that relate to the product/service they are selling as it makes them easier to remember, so that is another point for consideration.
If you are planning on setting operations up online, then you will also want to ensure that your desired domain name is not already taken, so have a quick look through a domain provider such as Easily and double check. Finally, use the Wisteria Formations company name checker to make sure that your new LTD company name has not already been registered.
2. Company Directors – Your next task, if you have not already decided on it, is to distinguish who the company directors are going to be. Many small business start-ups will declare the owner as the director, or maybe a family member. However, this does not have to always be the case, as larger companies may wish to elect their board of directors who they think will carry out the best decisions in the interest of the company.
3. Assign Shares in Your Company – This is the process of identifying and appointing the companies shareholders, and assigning them a set amount of shares. The purpose of this exercise is to provide a means of capital investment into your company and to establish who has overall control of its operation. Whoever owns over 50% of the companies shares will have majority control of the company. Usual practice for new companies is to create 1000 shares with a nominal value of £1 each, and then assign these to the shareholders.
4. Address of Registered Office – The address you provide here will be the address that all companies’ house letters and reminders will be sent to, and this address has to be registered in England, Wales or Scotland (depending on where the Company is legally registered). The registered office address does not always have to be the working office for the company, but it must always be an effective address so that any correspondence sent is dealt with in a prompt and professional manner.
5. Create a Bank account for your new company – This is the last piece which will finally get your business up and running. For this step you will need to supply information which will include the number of deposits you are likely to make in month, you will need to determine how much money is withdrawn each month, what you expect your average balance to be and decide if you want to do all of your transactions via ATM, the night depository or online.
Once you have completed these 5 simple steps and taken them all in to consideration, you will be well on your way to beginning your business processes. If this task seems an intimidating one, then do not be afraid to seek the help of a company formation agent, who will be able to guide you through the whole of the company registration.