If you are going to be working on Contracts which are ‘Outside IR35’ you may be interested in registering your own Contractor Limited Company and structuring your income to gain a tax advantage. To register a company you, or your accountant, will need to file a Limited Company registration with Companies House.
This following guide explains the steps involved for Individuals who are interested in forming their own Contractor Limited Company. If you would prefer to engage a professional Contractor Accountant to manage the process you will normally have to do nothing more than pick a name and sign a form.
If you are a highly skilled professional and you are considering going into business with your own Contractor Limited Company Commonwealth Contractors can help. We partner with Chartered Accountants who specialise in contractor accounts and can help to maximise your net contract retention.
To speak to an experienced advisor call Commonwealth Contractors now on 0800 294 4388 or Submit your Details and we will get right back to you!
Opening a new Limited Company
You can register (‘incorporate’) a limited company online if it’s a private company limited by shares and you use model articles of association.
There are three main ways of registering a Contractor Limited Company. You can either;
- Register the company online using the Government Companies House Service. OR
- Use a Private Formation Agent OR
- File paper based Form IN01 with Companies House.
The quickest, easiest and cheapest way to register a new Limited Company is to use the online Companies House Service. However, if you are looking to bundle Limited Company services together (i.e. additional online functionality services, web domains, email addresses etc) you may find it easier to pay a little bit more and use a private formation agent.
To register a Company online using Companies House Service you will need to;
- Provide a Company Name & Registered Address – It is important to ensure that the company name has not already been taken, AND
- Provide details of Company Directors and also a Company Secretary (where applicable), AND
- Provide personal details relating to each shareholder and also details of their individual shareholding, AND
- Pay for the service. Companies House charge an administration fee of £15 to register a company. Payable by Debit / Credit Card or PayPal Account. Online Service is usually registered in 24 hours.
To register a Company by post you will need to;
- Complete Form IN01 and
- Send a cheque to £40 made out to Companies House. Postal Applications take 8 to 10 days.
Find out More
To find out more about Commonwealth Contractors call now on 0800 294 4388 or Submit your Details and we will get right back to you!