United Kingdom flag

UNITED KINGDOM


The United Kingdom Great Britain is one of the preferred jurisdictions for the majority of international investors. Having a company (LLC) here means adding points and trust to the business at an early start.


The UK is a reputable jurisdiction that is open to foreign capital, but has fairly high compliance standards to follow. There are many developed banking and financial industries in addition to the traditional manufacturing and service sectors. So setting up a company in London or any other UK city can lead to business success due to the following jurisdictional advantages.


Advantages of Jurisdiction


Creating a company in the United Kingdom can seem like an extremely profitable business decision, taking into account the peculiarities and advantages of this jurisdiction:

  • Strategic geographic location;
  • Prestige of the country, high business reputation on the international market;
  • One of the largest European markets;
  • High standards of doing business and business support;
  • Loyal approach to foreign investors and capital;
  • Affordable registration and maintenance costs;
  • Protection of shareholders' interests (liability is limited to the value of the share);
  • No monitoring of the state currency;
  • Skilled workforce;
  • Stability of the banking system;
  • Tax incentives;
  • Availability of many double taxation treaties.


    • Features of a UK Limited Company


    There are many forms of doing business in the UK. But the most popular and easy to form option is a limited liability company (LLC).


    To register an LTD, it is necessary to have at least one shareholder without requirements for status and residency. The liability of each shareholder will be always restricted to the amount contributed to this entity only. The size of authorized capital is 1.000 GBP, at the time of registration it is sufficient to pay 2 GBP. The legislation allows the emission of preference and common shares.


    If you want more precise information about the alternative forms for doing business in the UK, Prifinance lawyers are ready to share with you the details about establishing a new company. Send an inquiry about any alternative legal and organizational form of doing business in the UK that interests you equally as Ltd.


    How to Open Ltd Company in the UK


    If you intend to register a limited company in the UK, this decision can be practically realized after passing the next incorporation steps:

  • Setting your objectives and forming the list of commercial activities.
  • Choosing and reserving a unique business name for a company.
  • Arranging an official legal address for a future UK company.
  • Gathering the details about shareholders, beneficiaries, people with significant control (anyone who possesses voting rights or 25%+ of shares), and managers of a company.
  • Drafting and formalizing all the required documents, including these basic ones:
  • >> Memorandum of Association;
  • >> Articles of Association;
  • >> Minutes of the First Meeting;
  • >> Resolution of Shareholders;
  • >> Share certificates.


    • If the company uses nominee service, then it should be added:

  • >> Declaration of Trust;
  • >> Legalized General Power of Attorney - General Power of Attorney under the Apostille (for 1 year or until the renewal date of the company);
  • >> Stock Transfer Form - Transfer Order;
  • >> Letter of Resignation - Refusal letter with an open date;
  • >> Nominee Services Agreement.
  • Submitting the set of registration documents and forms to the Companies House. Issuing the Certificate of Incorporation for a new company and making the respective entry in the UK Register of Companies (in the case of a positive decision).
  • Registration for tax and social security purposes.
  • Opening a corporate bank account.
  • Applying for extra licenses and permits that may be needed for a chosen regulatory activity.


    • Legal and Regulatory Framework for a Business in the UK


    The UK creates favorable conditions for international businessmen. They enjoy the same rights for doing business as the locals. Among others, registration of a company in the UK (LTD) gives the right to carry out international trade operations, and to provide services for individuals and legal entities - non-residents.


    Company registration entails obligations on record keeping and filing of annual returns and financial statements to the competent authorities. In the first year companies receive a grace period (9 months) to generate financial statements.


    Companies are exempt from audit if:

  • The staff is no more than 50 people;
  • Annual turnover is not more than £6.5 million.
  • The book value of the assets is not more than £3.26 million.


    • Tax system in the United Kingdom


    Every UK limited company will be liable to pay the following taxes in all applicable cases:

  • Corporate income tax – 25%. For companies whose profits do not exceed GBP 50,000, 19% corporation tax will apply.
  • Personal income tax – 45% (but can be lower – depending on income)
  • VAT – 20%
  • Withholding tax (for non-residents) – (1) dividends – 0% (2) interest – 20% (3) royalty – 20%
  • Capital gains tax – (1) corporate – see corporate income tax (2) personal – see personal income tax.


    • How Smart Startup UK lawyers can help you


    If you are targeting UK company registration, Smart Startup UK solicitors are ready to apply their proven experience to facilitate the process, including through the following legal services:

  • Advise you on how to set up a company in the UK, taking into account the background of your business case and your commercial objectives;
  • Supports the process of registering a limited liability company in the UK, including but not limited to verifying the company's trading name, formalizing its official legal address, preparing and formalizing all statutory documents;
  • Supports negotiations with the employees of all state and municipal bodies as appropriate;
  • Opening corporate bank accounts for a newly created company;
  • Supporting your UK Ltd.


    • We offer fast company registration and bank account opening services in the UK and worldwide. New registration and ready options.


    CREATE A COMPANY


  • Check and reserve a company name
  • Company registration (LTD, LLP, LP), including government fees
  • Registration at Companies House
  • Obtaining a UTR tax number
  • Set of statutory documents of the company in electronic form
  • Assistance in opening a corporate bank account in the payment system
  • Bank accounts at Barclays, Metro, ING, Citibank, LLoyds, HSBC, KBC, NatWest.
  • Opening a personal bank account
  • Company stamp
  • VAT number at the tax office
  • Local Director for one (1) year
  • Local shareholder for one (1) year
  • Correspondent mailing address for 1 year
  • Apostilled and translated company documents
  • Free consultation
  • Help with online trading and opening an account at viva.com for online trading
  • Accounting services - 12 months
  • Annual renewal (payable from the second year)

    • *Within 30 days


    IMPORTANT! We can provide you with the initial share capital (if the amount is over EUR 5,000) for the registration of your company in the form of a loan from our company. Please, if you are interested, make an inquiry to us.


    What is the procedure!

    1. You submit a request for company registration using the request form.

    2. We check if the registration company name is free and eligible for registration.

    3. Choose a bank that suits your company's needs from a list of Smart Startup UK partner banks provided.

    4. We send you a proforma payment invoice to pay to our bank account + the initial capital amount of your company.

    5. You receive all necessary company documents for verification.

    6. You receive details of your newly opened bank account.

    7. In the specified period (for Great Britain it is 30 days), you receive all the services included in the package.

    8. You can manage through our platform all the services included in the package, as our team works 24/7 and you can get help from us within up to 30 minutes. We have built an internal ticketing system for our customers through which we process your every support request.


    All services like management, accounting, request to open bank accounts, licensing, filing tax returns, paying taxes and more are done through your account on our platform, it makes it easy managing your business!