Frequently Asked Questions

- Who is a Ready Made Company for?
A Ready Made Company can be bought for many different reasons. For instance, it can be very useful for anyone who require a company that has been in existence for some specified time or because the name, which has been secured by the Ready Made Company is attractive and can be good for your business.
- What is a Ready Made Company?
A ready made company is a company fully incorporated with Companies House which has never traded and its ownership can be transferred immediately to our clients.
- How long does it take to transfer ownership of a Ready Made Company?
As the company already exists, this can be done almost instantly upon receipt of your payment.
- What type of company can I register with Best Formations?

A Private Company Limited by Shares ( a typical Ltd). This is by far the most popular form of UK company.

- What is the most efficient method of registering a UK limited company?
The most efficient way to register a company is online incorporation for the following reasons:
  • Incorporation takes usually 1-5 hours
  • Online incorporation is cheaper
  • Secure passing of confidential information
  • Memorandum & Articles of Association are provided by formation agent
- Can I choose any name for my company?

Yes, you can choose any name but the name you choose cannot be the same as another registered company’s name or be too similar to an existing company name. If your name is too similar you may have to change it if there is a complaint. Also, your company name cannot be offensive or contain ‘sensitive words’ or expressions, or suggest that you have a connection with government or local authorities. More information can be found at GOV.UK.

- How many people do I need to register a UK Limited Company?

To register a UK Limited Company you must appoint at least one company director who is a natural person (not another company). Since the introduction of the new Companies Act 2006, there is no longer a requirement to have a company secretary and a sole director can also act as a company secretary and shareholder. This means that you need at least one individual to register a UK Limited Company.

- Can everyone be a company director?

In the UK, anyone who is 16 years of age or older can become a company director unless they have been legally banned from doing so, usually as a result of some legal proceedings or bankruptcy. Directors can be resident anywhere in the world and can be of any nationality.

- What is a certificate of incorporation?

A certificate of incorporation is a legal document issued by Companies House as soon as the application to form a company has been approved. It is a conclusive evidence that the requirements of the Companies Act 2006 as to registration of a company have been complied with and that the company is duly registered with Companies House under this Act. A typical certificate of incorporation includes the following information: registered name, the type of company, Companies House registration number, company formation date, registered office address, authorising registrar, and incorporation laws.

- What are the memorandum and articles of association?

Memorandum and articles of association are legal documents which are required to form a company in the UK under the Companies Act 2006 and the previous Companies Acts. The memorandum of association is the document which sets up the company and it is a record of the first company shareholders and guarantors and their intention to form a company. The articles of association set out how the company is run, governed and owned.

- How do I pay for company formation?
All payments are taken online through our secure servers at Secure Trading. We accept payments by all major credit and debit cards.  All Best Formations payments are processed by Secure Trading which provide the most secure, reliable and fully PCI DSS compliant online payment processing.
- Can I check the progress of my online application?

Yes, you will be able to login to your account and check the progress of your order.

- Can I download my company documents?

Yes, once your company has been incorporated with Companies House, you will be able to login to your Best Formations account and download your company documents. However, we will send you by email your company documents  upon successful incorporation of your company. The originals will follow by post.

- Can I make changes in my company structure after the online incorporation?
Yes, you can make the following changes online by logging into your Best Formations account:
  • Appoint/terminate/change details of a director or secretary
  • Change registered office address
  • Change accounting reference date
  • Change company name
- Can I change my company name after the incorporation?

Yes, you will need to complete a Companies House NM01 form - notice of change of name by resolution or login to your Best Formations account and change the name electronically using our company manager system. 

- Do I need to register my company for VAT?

If the turnover of your company in the previous 12 months exceeds the compulsory VAT (Value Added Tax) registration threshold which is currently £85,000, then you must register your company for VAT. If your turnover is lower than the current compulsory VAT registration threshold, then you can still register your company voluntarily if it makes sense and if you want to do this.

- What is Companies House?

Companies House is the UK’s registrar of companies and a government body that stores information on all the limited companies and limited liability partnerships registered in the UK. Main responsibilities of Companies House are to incorporate and dissolve companies, examine and store company information, make information available to the public. Using Companies House services, you can find company information free of charge, search disqualified directors, use online subscription service, file company information online, and download company data.

- What is VAT?

VAT (Value Added Tax) is an indirect tax which is levied on the sale of goods and services by UK and EU VAT registered businesses. In the UK, VAT is collected on behalf of HM Revenue & Customs by VAT registered entities. All services and goods are either VAT rated or VAT exempt. VAT is charged on goods and services at different levels. Standard rate 20% applies to most goods and services. Reduced rate 5% applies to some goods and services such as children’s car seats and home energy and zero rate applies to most food and children’s clothes.

- What is a corporation tax?

Corporation tax is a corporate tax levied on the profits made by companies. In other words, it is the company equivalent of income tax but for registered companies.  UK corporation tax rate for company profits is 19%. More information about corporation tax can be found at GOV.UK

- Why have a dormant company?
Even if your company is dormant, your company name will still be protected, preventing anyone else from registering the same company name. You may wish to have a dormant company for the following reasons:
  • to protect a company name - preventing anyone else from registering the same company name
  • readiness for a future project
  • to hold an asset or intellectual property
A company can remain dormant for as long as necessary
- What is a dormant company?

A company is dormant if it has no significant accounting transactions during the accounting period. A significant accounting transaction is one which the company must enter in its accounting records. All companies formed at UK Companies House are initially classified as dormant. However, you may begin trading at any time provided you complete the CT41G form within 3 months of beginning trading. HMRC will send you a CT41G form within 4 weeks of your company incorporation.

- What is an Officer Service Address?
Officer Service Address is the statutory mailing address of an individual company officer which is used for legal correspondence.
- Who can use Officer Service Address service?
Officer Service Address service can be used by company directors, secretaries, shareholders and persons with significant control to protect their home address.
- What is included in Officer Service Address?
AS part of the service we will forward by post or scan and send by email all service of process mail from Companies House and HMRC addressed to the company officer.
- Do I need Officer Service Address service?
If you don't want to protect your private address and if you are happy to use it for this purpose, then you don't need this service. However, your address will be listed on Companies House website available for public inspection.
- Is Officer Service Address included in Registered Office Address?
No, Officer Service Address is not included in the Registered Office Address service and needs to be purchased separately for each company officer who wishes to use this service.
- How much does it cost to renew the service for another year?
Second and subsequent years renewal cost is £39.99 per year per one company officer.
- What is included in the Mail Forwarding service?
As part of the service we will forward all business mail addressed to your company by post or scan and send by email for £0.50 + postage costs.
- Can Mail Forwarding service be used as Registered Office service as well?
No, the Mail Forwarding service cannot be used as Registered Office Address. If you need a Registered Office Address service, you will have to purchase it separately.
- How often my business mail will be forwarded?
We will forward your mail on a daily basis.
- How much does it cost to renew the service for another year?
Second and subsequent years renewal cost is £99.99 per year.
- What is a Registered Office Address?
Registered Office Address is the official address of a company where Companies House, HMRC and other legal authorities can send official correspondence.
- Do I need Registered Office Address service?
All UK registered companies must have an official Registered Office Address. HMRC, Companies House and other official bodies will send notices and letters to this address. You can use your private address for this purpose, however, please be aware that your address will be publicly available on Companies House website which means that everyone can access this information. Also, if your company enters into any difficulty, everyone including creditors and unhappy customers will know your private address. To protect your home address, you can use our Registered Office Address Service.
- What is included in the Registered Office Address service?
Registered Office Address service includes provision of a prestigious London Ealing W5 address. As part of the service, all service of process legal mail addressed to your company will be forwarded by post to your private address or scanned and sent by email, whatever is more convenient for you.
- Can Registered Office Address service be used for business mail?
No, the Registered Office Address service can only be used for service of process mail (legal correspondence from Companies House, HMRC and other official bodies). Clients who want to have their business mail forwarded should consider our  Mail Forwarding Service.
- How much does it cost to renew the service for another year?
Second and subsequent years renewal cost is £59.99 per year.
Help and advice
We have tried to answer as many common questions as possible on these pages, but if you do require further assistance
or have any other questions then please give us a call on +44 (0) 20 7060 7326 and we will be happy to help.