Except for just a few exceptions, almost anyone can arrange an organization within the UK. This includes individual people and company bodies, minors between the ages of 16 and 18 years old, and non-UK residents.
On this post, we’ll provide a transient overview of company formation requirements and restrictions – specifically, who can and can’t arrange, own, and manage a UK limited company.
Minimum requirements to establish a limited company
To lawfully form a limited company, you will need to have at the very least one shareholder and one natural (human) director. These two roles will be filled by the identical person, which implies that one individual can register, own, and manage an organization singlehandedly.
You shouldn’t have to live within the UK to be the director or shareholder of a UK company. Nonetheless, the corporate must provide and maintain a registered office address within the UK.
Who generally is a company director?
Anyone generally is a company director, other than individuals who’re:
- under the age 16
- disqualified directors
- undischarged bankrupts
- subject to a debt relief order (DRO)
- auditors of the corporate
Corporate bodies (e.g. firms) may also be directors of other firms, but there should be at the very least one other director who’s a natural person. You may’t have a company body as the only director.
Who generally is a company shareholder?
Not one of the restrictions that apply to directors apply to company shareholders. Absolutely anyone (natural or corporate) can own shares in an organization, including minors. A company body may even be the only shareholder.
Nonetheless, disqualified directors must exercise caution in the event that they are also shareholders. If their shares provide voting rights and/or they’re a person with significant control (PSC), certain actions that they perform as a shareholder or PSC could violate the conditions of their disqualification order.
Can one person arrange a limited company?
Yes, one person can arrange a limited company by appointing themselves as the only shareholder and sole director. Because of this they are going to own the entire company and have total control over the way it is managed.
Nevertheless, in the event you arrange an organization on your individual, there may be nothing to stop you from bringing in latest shareholders or appointing latest directors at a later date. The limited company structure is basically flexible, so you usually have that option.
Can I arrange a limited company as a non-UK resident?
Yes, you may arrange a limited company within the UK even in the event you’re a non-UK resident. This is basically common and never as difficult as chances are you’ll think.
Our recent post on UK company formation for non-residents explains in great detail how the method works.
Furthermore, our specialist Non-Residents Company Formation Packages provides the whole lot you have to arrange an organization within the UK.
So there you’ve gotten it…
Hopefully, this post has given you a greater understanding of who can and can’t arrange an organization within the UK.
If you’ve gotten any questions or need assistance forming an organization, please contact our company formation team or leave a comment below.
