The basics of company formation

Several years ago most companies were formed by accountants and solicitors. The documents had to be prepared by hand and the formation generally took about two weeks to complete. Forms had to be completed by the company officers, documents needed to be signed by a solicitor, and then Companies House would process the formation and return a certificate of incorporation.

 

Fortunately the internet has now made the process a lot easier. It is now possible to complete your company formation within a few hours rather than several days. This has led to the development of company formation websites that are integrated into Companies House. You can now form a limited company online without leaving your house. There are no paper forms and no signatures required.

 

Simply choose an online company formation agent and enter your details. You will need to know your company name, the registered office address, the director’s details and the shareholder’s details. If you have this information to hand then you can complete the company formation in approximately 10 minutes.

 

A good formation agent should provide all of the legally required documents. Make sure that you get a certificate of incorporation, memorandum and articles of association, share certificates and company registers. Often these are provided electronically but you could always order printed documents from your service provider.

 

In addition to supplying the legal documents it is possible to find agents that provide a company formation with bank account at the time of incorporation. This may help speed up the process of getting your limited company bank account open.

 

It must be added that whilst a company formation agent can help with your company registration it is important to do your research first. Make sure that forming a limited company is the best solution for your business. Understand the responsibilities of being a director. Be prepared to file company accounts and complete a tax return. An accountant or tax advisor should be able to advise you on the correct business vehicle for you.