Last Updated on October 9, 2025 by Joy Kyalo
With the rise of company registration in the United Kingdom, the business-friendly environment has lured entrepreneurs to expand and grow their businesses. The country has become attractive for entrepreneurs, as the registration of companies grew by 21% in 2023 from 2022.
However, the question many ask is how to incorporate a company in the UK. In this article, we will discuss every step and all that is required to incorporate a UK company.
Key Takeaways
- The UK’s business-friendly environment makes it a top destination for entrepreneurs, with company registrations increasing by 21% in 2023.
- To incorporate a company, you need a unique company name, a UK registered office address (or virtual office), at least one director, and essential documents like the Memorandum and Articles of Association.
- Registering with Companies House gives your business legal status, credibility, and benefits such as limited liability, tax advantages, and easier access to funding.
- Opening a business bank account and ensuring ongoing compliance are the final steps to start trading successfully in the UK.
What types of companies can be registered?
There are several company structures you can register in the UK. Some structures may need complex registration, while others may undergo a simple registration process.
Limited Liability Partnerships (LLP):
This is a distinct entity from its owners and other entities. Partners are shielded from companies’ liabilities, such as debts and legal implications.
It is a registered company with Companies House and HMRC for tax purposes. Although partners are responsible for filing their tax returns and paying income tax on their share of the company’s profits, they are not responsible for paying corporate tax.
Limited Companies:
Regardless of whether the limited company is private or public, it is distinct from its owners. It is a protection for owners’ and directors’ personal assets from the liabilities arising out of debts, losses, and legal implications of the company. Limited companies can be limited by shares or by guarantee.
Private Limited Companies: They do not trade publicly and must have at least one company director and shareholder.
Public Limited Companies: Issue shares valued at least £50,000 to the public. It must have at least two directors and shareholders.
Why should you choose to register a company?
Many entrepreneurs may choose to start a business as sole traders since it is inexpensive and not complex. However, registered companies offer more benefits, such as;
Limited liability: A limited company is distinct from its business owners, directors, and shareholders. It offers limited liability to the directors and shareholders, meaning their personal assets are not at risk to creditors.
Separate legal entity: Registered companies are separate from their business owners, directors, and shareholders. The company can own its assets, such as properties, equipment, real estate, and many more. This means that in case the company has debts or has legal implications, the company assets will be at risk.
Enhanced credibility: A professional entity enhances the business’s credibility, making it easy for customers, suppliers, partners, and investors to trust your company. Registering your business means it is legally existing and operating, making it legitimate in selling or offering products and services.
Tax benefits: Registered businesses benefit from lower taxes than those who pay personal income taxes. Limited companies in the UK are subjected to lower corporate taxes, helping business owners save more. The government also tends to give tax incentives to businesses that are registered.
Easy access to funding: A legal business entity distinct from the owners and directors can easily access funds from banks, investors, and government grants.
What are the requirements needed to incorporate a company in the UK?
Registered office address
Under the Companies Act 2006, UK-registered companies must have an appropriate UK registered office address. An appropriate registered office address is not a P.O. Box address, rather, it is a physical address located in the jurisdiction where your company is registered. The address should be able to receive your official correspondence and acknowledge them.
So, what happens to overseas entrepreneurs who want to register their companies in the UK? Overseas entrepreneurs can use a virtual office address as their registered office address. A virtual office address in UK can legally be used as long as it is valid.
For example, if you want to register your business in London, ensure the virtual office address you rent is in London. This will ensure that your address is in the same jurisdiction as where your company is registered.
Company director
If you are incorporating a private limited company, you must have at least one director, and a public limited company must have at least two directors. In the UK, the director should be at least 16 years old.
You should ensure you include their name, nationality, date of birth, and residential address. It is not a must that the director be a UK resident.
Memorandum and Articles of Association
These two documents are essential since they highlight the rules and regulations of our company and the responsibilities of its members. These documents must comply with the Companies Act 2006.
The memorandum of association documents the reasons and intentions for the subscriber to form a company and become a member of it.
Whereas the articles of association outline the company’s internal management, rules, and processes of decision-making. They also outline directors’ and shareholders’ responsibilities, voting rights, conducting meetings, and appointing and removing directors.
SIC codes
A Standard Industrial Classification (SIC) code describes your company’s business activities. Using the UK Standard Industrial Classification of Economic Activities, you can get the five-digit code that describes the nature of your business activities.
How to incorporate a company in the UK?
Choose the company name:
Every business needs a name to enhance the brand visibility of your company. The name should be unique, distinctive, and not too similar to existing names. You can use the Companies House name availability checker to see if your proposed name is available.
There are also name restrictions in the UK one should understand before they register the name or business.
- It should not be offensive
- It should not contain sensitive words or expressions. The Companies House website has outlined all sensitive expressions on their website.
- Limited companies’ names should end with ‘Ltd’ or ‘Limited’. If the company is registered in Wales, the name must end with ‘Cyfyngedig’ and ‘Cyf’.
- It should not suggest a connection with the government or local authority. In case you want to use it, you should get permission from various authorities.
Register your business address:
The address will be made available on public record. Ensure the address is a physical location where you can receive official correspondence or legal documents. Your residential address is ideal to be registered as a business address, but to secure your residence, you can use a UK virtual office address.
Pro Tip: Simplify Your UK Company Registration
Before registering, check your company name on Companies House, domain sites, and social media to ensure brand consistency. Use a virtual office address in the same UK jurisdiction for smooth compliance and a professional image. Planning these details early saves time, cost, and future changes.
Complete memorandum of association (MOA) and articles of association (AOA):
Directors and shareholders have to sign these two documents. By signing them, they agree to form the company in the UK.
Get your SIC code:
Get a Standard Industrial Classification (SIC) code to classify your business activities. You will need to report an SIC code to Companies House.
Register the business:
You can choose to register your business with Companies House directly or choose a UK company formation agent to register your business. As a new entrepreneur who is not conversant with the UK corporation’s legal requirements, you can choose company formation agents such as BusinAssist to help you handle all the paperwork and guide you through the registration process.
BusinAssist is a one-stop shop that offers company formation services, virtual office addresses, bank accounts, and ongoing services to help businesses stay compliant with legal requirements.
Open a business bank account:
Once our business is incorporated and has started trading, you can open a business bank account. BusinAssist has partnered with banks in the UK, making it easier and free to open a bank account for your business.
When you choose to open an account with any of the banks we have partnered with, you will get gifts such as £50 cash back.
Conclusion
How to incorporate a company in the UK is a seamless process with the right guidance. With simple requirements, you can start trading immediately. If you find the whole process complex and strenuous, you can choose a UK company formation service provider to help you incorporate your company.
Want to register your business in the UK? BusinAssist has got you covered. We will do all the paperwork and submit it to Companies House on your behalf. We will also help you register for taxes such as corporate tax, VAT number, and an EORI number if our business is involved in trading and export activities.
For more information on how to incorporate a company in the UK, contact us at info@businassist.com.
FAQs
How long does it take to incorporate a company?
The time taken to incorporate a company may differ depending on the method used to register. If you choose to incorporate our company online, it may take 24 hours if you have accurately filled out the form, and it may take 8 to 10 days through postal applications.
What is the incorporation of a company?
This is the process of legally forming a company in the UK or any other jurisdiction.
What is the incorporation certificate of a company?
This is a document issued after our company is legally registered. It confirms that your company legally exists and is recognised by authorities.
What is the company’s incorporation number?
The company incorporation number, also known as the company registration number (CRN), is a unique code to help authorities and Companies House identify your business.
What does it mean when a company becomes incorporated?
When a company becomes incorporated, it means that your company is legally existing. Additionally, it means that your business can legally operate in the jurisdiction where it is incorporated.
Is an incorporated company the same as a limited company?
Yes, a limited company is a type of incorporated company. Incorporating a limited company means forming an entity that is separate from its owners.
Is an incorporated company public or private?
An incorporated company can either be public or private, depending on what the business owner wants to set up. Limited companies come in two types: private (LTD) or public (PLC).
Is a public limited company incorporated or unincorporated?
A public limited company is incorporated since it is a separate legal entity from its owners.
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Joy is a content writer at BusinAssist with 6+ years of experience in content marketing and social media strategy. She specialises in company formation and virtual operations, guiding entrepreneurs through global markets with clarity, drawing on her marketing and PR background. Business Assist with BusinAssist – your business success partner.