Advantages of UK Business Setup:

• Quick and Simple Registration Process: Foreigners can register a new company online, reducing travel expenses. Requirements for incorporation are straightforward, and the process is fast.
• Globally Reputable Jurisdiction: The UK is recognized as one of the top 10 most competitive economies in the world (World Economic Forum). Evaluated based on infrastructure, macroeconomic stability, financial system, market size, and human capital.
• Attractive Tax Regime: Corporate tax rate is one of the lowest in Europe. No withholding tax on dividends and various tax relief schemes are available.
• Global Financial Hub: London provides access to international markets and sophisticated financial services.
• Business-Friendly Environment: Stable political system, strong rule of law, and a comprehensive legal framework protect business interests.
• Easy Market Access: Gateway to European markets and Commonwealth countries with preferential trade agreements.
• Skilled Workforce: Access to highly educated and skilled professionals across various industries.
• English Language: Business is conducted in English, eliminating language barriers for international companies.

Potential Challenges:

• Compulsory VAT Regime: VAT is charged on goods and services produced in the UK and imported from outside the European Union.
• Limited Scope for Cryptocurrency Businesses: UK banks generally avoid onboarding corporate accounts for cryptocurrency-related businesses; alternative jurisdictions may be more suitable.
• Complex Banking Application Process for Foreigners: While it’s not mandatory for directors or shareholders to be UK residents, having the majority as UK residents increases the chances of bank account approval.
• High Setup Costs: Office rental, professional services, and compliance costs can be significant, especially in London.
• Complex Regulations: Navigating UK regulatory requirements, including GDPR, employment law, VAT, and industry-specific regulations.
• Brexit Impact: Post-Brexit trade arrangements may affect access to EU markets and increase compliance requirements.
• Competition: Highly competitive market environment across most business sectors.

Typical UK engagement steps

UK private limited company can be incorporated within 1 week with 1 director and 1 shareholder.

• Complete incorporation form IN01;
• File company incorporation application with the Companies House;
• Register for VAT and PAYE with the UK tax office HMRC;
• Apply for a corporate bank account;

1. Corporate Bank Account Opening

• Healy Consultants Group recommends HSBC, Citibank, Barclays, Lloyds Bank, ANZ, and Bank of China.
• UK banks comply with Money Laundering Regulations 2007 and FATCA.
• We assist clients in preparing high-quality applications with all necessary documentation to meet UK bank requirements.

2. Accounting & Tax Considerations

• Corporate Tax: 25% starting 1 April 2023.
• VAT Rate: 20% in the UK.
• Withholding Tax on Dividends: 0%.

3. UK Visa Assistance

• Innovator / Start-up Visa: For non-EEA/non-Swiss citizens approved by a UK authorised organisation.
• Representative of an Overseas Business Visa: For non-EEA/non-Swiss sole representatives of a branch office.
• Investor Visa (Tier 1): For investors contributing at least £2,000,000.
• Intra-company Transfer Visa (Tier 2): For employees moving to a UK branch; includes long-term staff & graduate trainees.
• General Work Visa (Tier 2): For anyone offered a skilled job in the UK.

Q: Why register a company in the UK?

A: The UK’s internationally-renowned legal system, low 25% tax rate and highly-skilled labour force all make the UK a fantastic investment destination. The UK’s EU membership also increases its attractiveness for foreign direct investment and Healy Consultants supports keeping the country within the European Union.

Q: What is the name of the UK companies registry?

A: Companies House manages company registration in each of the UK’s three company law jurisdictions: i) England & Wales; ii) Scotland and iii) Northern Ireland. All UK companies are incorporated through this method.

Q: I want to know how to start a company in the UK. How do I register my business?

A: To incorporate an English private company limited by shares, the shareholders must file information on i) the company directors, at least one of whom must be an individual (additional directors may be companies); ii) the shareholders; iii) the memorandum and articles of association; iv) the company’s registered address and v) the share capital and number of shares to be issued. The shareholders sign the company’s memorandum and articles of association and submit the package to Companies House. The entire process of establishing a business in the UK can be completed within a week.

Q: Do you have a guide to UK company registration?

A: Yes – our “Incorporation Steps” page has a useful guide on setting up a company in the UK.

Q: Does a private company require a company secretary?

A: English companies may appoint a company secretary, although there is no requirement to do so, nor are there any prescribed qualifications. Public limited companies do need a company secretary, whose qualification requirements are set out by the Companies Act.

Q: Can foreigners register a company in the UK?

A: Yes, although companies with any foreign-resident directors or shareholders must used a paper-based application. Such applications take more time to complete than the online applications and attract slightly higher government fees. Even so, setting up an English company remains a quick and inexpensive option for registering a UK company.