C ompanies limited by shares (aka a private limited company) is one of the most popular company types to register online. Quick can get your limited company registered securely online in just a few hours. Our digital online limited company registration service starts at £13. Visit our Start Up page to get your limited company incorporated.
A company limited by shares is a corporate entity that is legally separate from any directors and shareholders. As it can stand alone as a legal entity, it can enter contracts as a company and hold assets in its name.
The word limited here refers to the shareholders limited liability. They are only responsible for any company debts up to the value of their shares within that company. No personal assets are at risk.
Limited companies are also taxed on corporation tax, not income tax. This might make a difference to you, but check with your accountant whether this is of importance.
It is a solid base for most companies, especially if the right services are added. It is the most common type of company we register at Quick.
Should the company limited by shares generate an income of £82,000 or more, they should register for VAT. If they have employees, then you need to set up a PAYE system to collect income tax and National Insurance contributions. We have a special offer on this with our HMRC topping.
Companies limited by shares require high transparency. This inspires trust from the public – both partners, clients and customers – and makes your company seem more legitimate. However, it also requires that any company officers, directors, shareholders and finances are all placed on the public record. This includes the full name, home address and date of birth of the director, plus the full name and address of any shareholders. Any changes in officers or personal details must be sent to Companies House to update the public record.
As this takes away much of the privacy of any members of the company, it is possible to use a service address to prevent your personal home address being on the public records. It is also possible to ask for your date of birth to be concealed.
Your trading name falls into a set of rules which protects its uniqueness. No one can register a company under your name and often, names that are too similar are not accepted.