Last Updated on November 30, 2024 by admin
Certificate of Good Standing Companies House: Once you incorporate your company you can obtain a Certificate of Good Standing to verify that the company abides by all the statutory requirements. The certificate of good standing verifies that the company has been registered and authorised to do business within that particular jurisdiction.
In this article, we explain the importance of the certificate and its contents, as well as how you can obtain it from Companies House.
What is a Certificate of Good Standing?
Also referred to as a ‘Certificate of Authorisation’ or ‘Certificate of Existence’, a Certificate of Good Standing is an official document issued by Companies House. It guarantees that a company has been incorporated and licensed to conduct business. Also, it verifies that the Annual Accounts and Confirmation Statements have been filed on time and that all applicable penalties have been settled. Finally, it checks the ongoing standing of the entity and whether it is subject to any restrictions imposed by Companies House, such as striking off, liquidation, or receiving a manager or receiver.
What is contained in a Certificate of Good Standing?
A Certificate of Good Standing document usually includes:
Company name: Legal name of the registered firm within the documents.
Company registration no.: A particular number that is given to each company upon registration.
Date of incorporation: The date when the entity was legally registered.
Current status: Confirmation that the company is in good standing, meaning it has met all filing requirements and is not in default or facing dissolution.
Registered office address: Company’s registered office that is provided to Companies House.
Directors’ details: which include the names and in some cases the addresses of all current directors.
Compliance confirmation: A declaration stating that the company has fulfilled all the legal obligations, including the submission of the annual return and the accounts. The declaration further indicates that the company has kept a continuous existence from the time it was established, and it intends to remain on the register of companies and is not seeking its removal from the register of companies at any time in the near future.
A summary statement from Companies House will be provided only when the company has completed all its filing requirements. The company must also satisfy the conditions set out below:
- It must be a private limited company with at least one natural person as a director, or
- A public limited company with a secretary and at least two directors, one of who shall be a natural person.
When do you need a Certificate of Good Standing?
Opening a business bank account: Banks may require this certificate to ensure your company is legally registered and in good standing.
Entering into contracts: Some clients or partners may request this document to verify your company’s legitimacy and compliance status.
Applying for loans or credit: Financial institutions might need this certificate as part of their due diligence process.
Expanding internationally: If you’re setting up a branch or subsidiary in another country, local authorities may require proof of your company’s good standing.
Renewing business licence: Some localities may demand this document for the renewal or upkeep of business permits.
Mergers and acquisition: In the course of the assessment of the acquisition or merger transaction, this certification may be obtained by the purchaser to confirm that there are no issues of non – compliance.
Investor requirements: Potential investors might ask for this document to confirm that your company is in good standing before committing funds.
How to obtain a Certificate of Good Standing?
To obtain a Certificate of Good Standing in the UK, follow these steps:
Ensure compliance: Make sure your company is up to date with all its filings, such as the Confirmation Statement and Annual Accounts. It is also necessary for your company to maintain the appropriate number of officials (directors, and, if necessary, a secretary) as well as not to have any active processes of removing it from the register.
Go to Companies House: Log onto the Companies House page and make use of the service “Find and update company information”. Search for your company and select the “More” tab to place your order.
Order online or by phone: You can order the certificate online or by calling the Companies House contact centre at 0303 1234 50023.
Choose dispatch option: Select either the standard dispatch (costs £15 and takes up to 10 working days) or the express dispatch (costs £50 and is processed the same day if ordered before 11 am).
Payment: Have a credit or debit card ready for payment. The certificate will be sent to your specified address.
Conclusion
In conclusion, Having a valid Certificate of Good Standing means that your company is trustworthy and does not have any outstanding issues. This official document indicates that your company is fully functioning, abides by UK Company Law, has settled all required fees, and is genuine.
Incorporate your Ltd company with BusinAssist today access all the documents once your company has been approved by Companies House. We will send you a Certificate of Incorporation, Memorandum of Association, and Articles of Association via email. We can even help you obtain certified copies of your company formation documents.
For more information, contact us at [email protected].
FAQs
Q: How to get a Certificate of Good Standing?
Ans: To obtain a Certificate of Good Standing, a company has to ensure compliance with all its filings such as the Confirmation Statement and Annual Accounts. As soon as you guarantee that you are abiding by all applicable regulations, browse the Companies House website and use the “Find and update company information” service. Search for your company and after finding it, press the “More” tab where you will be able to place your order. Additionally, Certificates of Good Standing for your company can be requested for delivery via the Internet or by contacting the Companies House call centre.
Q: What is a Certificate of Good Standing in the UK?
Ans: In the United Kingdom, a Certificate of Good Standing is an endorsement of the authenticity of a Company’s Registration issued by Companies House. It states that the given corporation is appropriately registered and has made the requisite filings.
Q: When do you need a Certificate of Good Standing?
Ans: You may require a Certificate of Good Standing when:
- Opening a business bank account. Banks may want to ensure that your company is legally registered and compliant with Companies House.
- When expanding internationally, local authorities may require proof of your company’s good standing.
- Potential investors might ask for this document to confirm that your company is in good standing before committing funds.
- Financial institutions might need this certificate as part of their due diligence process.
- During the due diligence phase of a merger or acquisition, the acquiring company may request this certificate to ensure there are no compliance issues.
- Some clients or partners may request this document to verify your company’s legitimacy and compliance status.
Q: Where do I get a Certificate of Good Standing?
Ans: You may apply for a Good Standing Certificate from the Companies House website or over the phone.
Q: How long is a Certificate of Good Standing valid?
Ans: In the UK, a Certificate of Good Standing usually remains valid for three months starting from the date of its issuance. Following this timeframe, most authorities will need an updated or most recent certificate.
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