To start a limited company during COVID-19, you must first understand what exactly a limited company is. These companies are essentially those that limit their liabilities to a certain level. These limited liabilities are such that are taken upon by those people who have acquired shares of the company. Although, surely one cannot limit every liability that comes with starting a company. Therefore, the liability that is taken upon by the subscribers and members of the company is limited to what they have invested their funds in. Limited companies are then further divided into private or public companies. In other words, a limited company is a separate entity from the people who are running it. The best part about a limited company is that its finances will be completely separate from your personal finances.
Support Of Government For Company Initiation
Ever since COVID-19 has hit countries all over the world, the government of each country has announced relief measures. These measures are of different varieties that relate to safety, health-care, and even companies starting up. The government of the United Kingdom announced they will be deferring the payments of self-assessments as well as VAT.If you are someone who is planning to start a limited company, make sure to search all of the business-related measures that your country’s government has taken.
Step By Step Guide
To equip you with the best way of starting a limited company from home, in the UK, here are all the steps that you will need to follow.
Step 1
Of course, the first step to starting a limited company is to decide what the nature of your business will be. It should be such that it suits the nature of limited companies. This is important as many businesses have not made it as their business would’ve worked better as an unincorporated association, a social enterprise, or even an overseas company.
Step 2
The second step is to decide a name for your limited company. You must ensure that your name complies with the rules. Your name should not be the same as any other registered company. It also required that your name should end with ltd. or limited. The name of your company should by any means be offensive. All the other requirements should be studied in-depth to avoid any issues that may occur.
Step 3
The third step is to form your company’s board of directors. Legally, you are required to appoint at least one director, where they should be over the age of sixteen. The directors that you have appointed are required to provide a service address. This address is where all correspondence with the directors will be done. At this stage, you should appoint a company secretary.
Step 4
This is the step where you must decide your shareholders or your guarantors. Of course, both of which depend on whether your company is limited by shares or by guarantee. It is also required that at least one of your guarantors or shareholders should be a director.
All of these steps can be done from home, which is the best part. Starting a company is made even easier with Seed Formations. So, start your journey of becoming a company founder by following the link. Seed Formations