If you’ve always dreamed of starting a UK company, but you don’t live in the country, it might be time to take the plunge.
The process of setting up a company can be daunting, but there are some things that can simplify the process for non-residents and make it easier for them to get started on their own. Here are some steps to starting a UK company as a Non-Resident:
Can a Non-UK Resident Form a UK Limited Company?
Yes, it is possible to form a UK company as a non-resident. However, you must have proper knowledge of what you are getting yourself into and how the legal requirements differ from those of a resident. You need to understand that this type of company will not be taxed on its profits or gains in the same way as other types of companies are taxed under UK law.
If you want to set up an offshore entity through which you can operate your business while being outside the United Kingdom but still having access to its resources and opportunities, then this may be one way forward for you.
5 Simple Steps to Starting a UK Company as a Non-Resident
Setting up a company can be daunting, but there are some things that simplify the process for non-residents and make it easier for them to get started on their own. Here’s what you need to do:
Ensure your business idea is realistic and viable.
Before you start your new business, make sure that it is realistic and viable. You should check if you have the right skills and experience for the job.
You could also consider looking at how many customers are available in your country of residence or if there are any regulatory requirements that might affect your operation.
Design and name your business.
It is important to choose a name that is not offensive or confusing. If you want to avoid confusion with another company in the UK, it is best to make sure your chosen name does not match another existing entity’s trademark.
In addition, if you choose an existing trademark as part of your business name (for example “Apple”), then there may be legal consequences if someone else uses that same logo as part of their own brand or product line. Finally, consider whether or not there are other trademarks registered under names similar to yours, these could be problematic if they have priority over yours under UK law.
Choose a legal structure.
The first step to starting a UK company is to choose the legal structure that you’ll use.
There are four main types of legal entities: Limited Liability Partnership (LLP), Limited Company (Recommended), Unincorporated Association, and Trust. Each has its own advantages and disadvantages, so it’s worth considering all your options before making a final decision.
Enter Your Company Information.
Once you’ve registered your new company, you’ll need to provide Companies House with a lot of information about it. It’s important that they know:
- Registered office — this is where Companies House and HMRC will send mail; it must be in the UK and it must be possible to reach the company directors at their address.
- Company directors — your company must have at least one director (and each of them). Companies House will want to know their name, date of birth, and residential address.
- Shareholders — every company must have at least one shareholder (and each of them), but it can also be anyone who has bought shares from you on behalf of another person or organization. You will need to provide details about these individuals as well as their relationship with you so that you know who actually owns what percentage of shareholdings within your new business entity!
Allocate Company Shares.
When you register a UK company, the first thing that happens is that you need to allocate shares. This is necessary because every shareholder of a UK limited liability company must be given an equal amount of shares in the company.
If your business has multiple shareholders and/or directors, you will also need to allocate them their respective shares at this time. It’s recommended that all shareholders receive an initial allotment of 100% ownership interest in your new limited liability company (sometimes called “shares”).
If there are more than two people involved with running your business then this may mean giving out extra shares if they want more than one person on their team (for example, if they want 5 directors but only 4 people can fit into one position).
Complete the Memorandum and Articles of Association.
The next step is to complete the Memorandum and Articles of Association. These documents outline the rules and regulations that govern your company, as well as who can be directors, shareholders, and secretaries.
Your company’s rules and regulations are outlined in these documents. To register a UK limited company, all directors, shareholders, and secretaries must agree on and sign these documents.
Submit Everything to the Companies House.
You can register for business registration on the same day as submitting your application, but you must do so by 3 pm. Otherwise, good luck with opening your new company!
Conclusion
That’s it! Once you have these steps in place, you will be good to go and can start your business.
Remember though that this process is not for the faint-hearted and should only be undertaken if you are certain about your ideas, have researched all of the information required, and understand what is involved in starting a company.
If not, hire an accountant or give Micahguru Formations the opportunity, as we’ve helped hundreds of other entrepreneurs do, to help get you started on this exciting new journey!
0 Comments