If you’re in the process of setting up a new business, you’ve probably already got a lot on your plate. It’s an exciting time, but there’s plenty to do. You’ve got to sort out your business plan, get your website and marketing set up and deal with finances.
And that’s all before you start to think about registering your business with Companies House.
Company formations can be tricky, especially if you’ve never dealt with HMRC or Companies House. While it’s a simple process, in theory, it’s easy to make a mistake in your application, which can drag out the process and make it more expensive.
If you’re unsure where to start with your company registration, a company formation agent might be the best option. Company formation agents help new businesses register quickly and correctly. Mint Formations are leading company formation agents. Every year we help thousands of people register their businesses. We’ve put together this complete guide to company formation agents to help you decide if it’s the right route for you.
What Do Company Formation Agents Do?
Anybody who wants to set up a company in the UK must register it with Companies House — the UK’s company registrar. As a new business owner, you’ll need to provide certain information to register your company, including:
- Your company name
- Details of your directors and shareholders
- Details of any other people with significant control
- Your office business address.
Many new business owners choose to register their company directly. While it’s definitely an option, the process can be time-consuming and confusing. That’s where company formation agents can help.
A company formation agent will help you create and register your company quickly and successfully. They will take care of the paperwork and register the company on your behalf. The agent or agency will work with you to:
- Select the right company structure
- Prepare necessary documents
- File the company registration forms.
Most of the time, they’ll also give guidance on other aspects of running a business and ensuring your business is legally compliant.
Company formation agents can be found around the world. They typically have a thorough understanding of the local business environment and laws. This means they can provide valuable insight and advice on setting up and running a business. While there are costs associated with using a company formation agent, the benefits usually outweigh the expense.
What Services Do Company Formation Agents Provide?
Most company formation agents offer various services to help you register and run your business. They can help you choose the right business structure, file the necessary paperwork and obtain a UK office address. They can also provide guidance on financial matters, such as bookkeeping and tax compliance.
Here are some of the most common formation services offered:
Limited Company Registration
One of the most popular company formation services is registering a limited company. The main characteristic of a limited company is that it has limited liability. This means that the owners are not personally responsible for debts incurred by the business. Limited companies can be private or public, and they can be any size.
Private limited companies must have at least one director and one shareholder. Public limited companies must have at least two directors. They are also required to file their financial information with the government. Limited companies in the UK are governed by the Companies Act of 2006.
If you plan to open a limited company, a company formation agent or agency will take care of your registration with Companies House. All you’ll need to do is provide your company information, and they will handle the rest.
Most agencies will offer a variety of formation packages that go beyond registration. These additional services include business bank accounts and a service address for your company.
Sole Trader Registration
Another popular company formation service is sole trader registration. A sole trader is someone who owns an unincorporated business by themselves. This business structure is the simplest and very common in the UK.
As a sole trader, you’re self-employed and run your business alone. This means you can decide how your business is run, what products or services you sell and how much you charge.
But being a sole trader also means you’re liable for any debts or losses that your business incurs. This includes any money owed to suppliers, HMRC or employees. You’re also responsible for ensuring that your business meets all relevant regulations.
In theory, the sole trader registration process is relatively straightforward. But it can be daunting if you’ve never dealt with HMRC professionally.
A company formation agent will take care of the application process for you. This includes ensuring your business name follows regulations and filing your HMRC paperwork.
Non-UK Resident Company Formations
There are a lot of benefits for non-UK residents registering a limited company in the UK. These benefits include market access, consumer credibility and security of interests. Plus, by opening a company registered in the UK, businesses can avoid a lot of the red tape of trading as an international company.
Anybody can open a UK company providing the business has a UK registered office address. But if you’re looking to set up a company in the UK and you’re not a resident, it’s not easy to know where to start — especially if English isn’t your first language.
You can take the hassle out of registering a UK business by hiring a company formations expert. Alongside ensuring a successful company registration, a formation agent can also provide:
- A registered UK office address
- VAT and PAYE registration
- Advise on your banking options
- Ongoing support.
The Benefits of Using Company Formation Agents
Using company formation agents can be a great way to get your business off the ground. By using an agent, you can take advantage of their years of experience and knowledge and make the process as smooth and stress-free as possible.
Here are just some of the benefits of using a company formations agent:
Save Time and Money
When you decide to register your company, you have a few options available: you can choose to register the business yourself, use an accountant or hire a company formations agent.
While these are all legitimate ways to register a business, using a formation agent is usually the quickest and most cost-efficient method. Depending on your formation package, you can register your company for as little as £12.99. If you compare this with the cost of an accountant setting up your business, which is usually between £200 and £300, the savings are apparent.
Legitimate company formation agents are vetted and authorised by Companies House. This means they will usually be able to submit your company documents and have applications approved within a few hours.
Makes Registering Your Business with Companies House Easy
If you decide to register your business yourself, you’ll need to complete a fairly lengthy application process through Companies House. Depending on the type of business you’re setting up, this process can be complex and time-consuming.
By hiring a company formation agent, the process is much easier. All you’ll need to do is fill out a straightforward online application form with the basic details of your business, and your agent will handle the rest.
Lower Risk of Rejection from Companies House
One of the most daunting elements of registering a business is the length and terminology of the application process. If you choose to register your own business, you’ll be required to complete a Companies House form around 35-pages long.
Even if you have experience registering a previous business, it’s easy to make a simple mistake in your application, resulting in Companies House rejecting your application.
Most quality company formation agents can guarantee companies a successful business registration within hours of submission. Using the information you supply, your agent will complete the application for you and ensure everything is correct. As formations experts, agents know the common mistakes that result in rejection and do everything to ensure your application is successful.
Access to Additional Services
The services of a reputable company formation agent don’t end with successful company registration. Most agents provide support and additional services to businesses long after registration.
These services include:
- Business bank accounts
- Registered office address
- VAT and PAYE registration
- GDPR and legal compliance
- Business telephone services
- Business address services.
These services can be invaluable to new business owners. They can save you time, money and stress and ensure your business is successful.
Register Your Company with Mint Formations
Here at Mint Formations, we’re leading company formation agents and help countless companies register every year. Our experienced company formation experts are always available to help new businesses set themselves up for success.
If you’re in the process of opening a business, set up a company today with Mint Formations for as little as £12.99. We have decades of experience registering businesses and will handle every aspect for you. Get in touch if you have any questions about registering your company.
