What Is Company Formation and How It Can Be Done?

An Ld. is one of the foremost fashionable business models for all sizes of organizations. this can be because of the numerous edges it provides over different sorts of legal business structures. whether or not you decide on to register an ad(‘for-profit') company restricted by shares or a non-profit company restricted by guarantee, there are a unit variety of perks that so much surpass those obtainable to the only merchandiser or contractor operating through associate degree umbrella company. Below we offer a summary of the numerous Ld. blessings, at the side of a top-level view of the potential downsides of company formation payroll in Bromley when putting next to the only merchandiser structure.

Being A Completely Independent Legal Identity

An Ld. has its own legal identity. therefore, third parties’ contract with the ‘company' and not the individual administrators and shareholders. this suggests corporations survive the death of the house owners and it's potential for the administrators and shareholders attached the corporate to vary over time. A company's existence can solely stop if it's formally dissolved, liquidated or by alternative order of the courts or Registrar of corporations. Amongst alternative edges, this may offer additional perceived security for workers than alternative business structures.

Forming A Limited Company

Company formation in Bromley is far easier than you may think, particularly if you use the services of an online formation agent, rather than registering through the incorporation services provided by Companies House. Formation agents are specialist companies that act as e-Filing partners of Companies House. You will simply be required to fill out an online application form with the details of your new company and this will be electronically submitted to Companies House for approval. Typically, your new company will be registered and ready to trade within just 3 hours and the associated costs are far less than using Companies House registration services.

To Form A Limited Company, You Must Have:

A Company Name 

This will be the legally registered name of your new company and it must not be ‘the same as’ or ‘too similar’ to the name of any existing registered company. You can easily check the availability of your desired name by entering it into an online name check-tool provided by any formation agent or Companies House.

A Registered Office Address

 This will be the official address of your new company and it will appear on the public register of companies after formation. The address cannot be a PO Box and it must be an address in the same jurisdiction in which your company is registered, i.e. England and Wales, Scotland or Northern Ireland. You may use your home address but most people prefer to keep this information off the public register, by using an alternate registered office address.

At Least One Director Aged 16 Or Over

The role of the director is to manage the company’s day-to-day activities lawfully and in the best interests of the company alone. Provided at least one director is a natural person (i.e. a human!) you may appoint other companies as directors. There is no limit to the number of individuals or companies appointed as directors.

At Least One Shareholder or One Guarantor

Shareholders or guarantors are the legal owners of a company and known as ‘members. There is no limit to the number of members a company has and they may be individuals or other companies.