Following the correct procedures to register your company in United Kingdom can be a daunting prospect, but if you plan carefully beforehand and complete the requirements in a chronological manner, forming a company should not be exceptionally difficult. First, you need to decide whether you are registering as self-employed, a partnership, a limited partnership, a limited liability partnership, a limited private or public company or a social enterprise. Read on.
If you are embarking on a partnership, for instance, it is important to draw up a deed of partnership between the partners and to get legal advice on the depth of responsibilities of each partner. The type of partner also needs to be ascertained: they could be a general, a limited or a sleeping partner. Deed of partnership
The deed needs to contain pertinent information, incorporating the amount of capital that each partner is investing: the manner in which profits or losses will be attributed and whether partners should be paid salaries. Working arrangements should also be specified, as should the amount of time needed for business: the allocation of tasks, whether new partners can be appointed and under what conditions as well as under what circumstances the partnership would be terminated, such as death. Partnership accounts
Where the members of a partnership are also companies in their own right, partnership accounts need to be prepared and each year sent to the Companies House. Copies of these accounts should be kept and attached to the relevant company documents in order to be submitted to the Companies House.
Selecting a name
The new company should be given a name that is not too similar to an existing company's name. This trading name can include the name of the partners or it can be a generic name. However, if it is the latter, all business material such as websites and stationery must include the names of the partners. If there are more than 20 partners, this is not necessary, but the stationery and website must include the business address of the company when setting up a business. Registering the company
A nominated partner needs to register the company with HM Revenue & Customs (HMRC) and each partner needs to register individually. Once this step has been taken, HMRC sets up the correct tax and National Insurance records for the partnership as well as for its partners. Each year, every partner needs to complete a self-assessment tax return to indicate their profits or losses.