Has anyone used Companyformations247.co.uk?

CeeBeeDeeBee

Hi

My wife is looking to start a Ltd company and we have been quoted around £500 from our solicitor for an 'off the shelf' Ltd Co.

Has anyone used companyformations247 or any of the other online company formation co's?

Thanks

Snakeeyes21

I haven't used them but I know a few people who have, in the past Ive used
https://www.company-wizard.co.uk

£500 for an off the shelf is a rip off.

You could of course file the forms with companies house yourself for around £15, but its pointless when companies are doing it for a few quid extra.

CeeBeeDeeBee

Thanks snakeeyes. I almost spat my coffee out when they said £500 lol I know its v cheap to actually file with Companies House.

Do these companies that do it for you all use the same basic structure for the Companies with the same Articles of Association etc?

I'll check out thank link now thanks

Snakeeyes21

they use a standard set of memorandums and articles of association, which pretty much cover any company.

CeeBeeDeeBee

Marvelous thanks. Did you use their registered office, she is thinking of doing so to prevent junk mail - does it help when the Co is credit checked?

Snakeeyes21

I didn't use a registered office as i had a small industrial unit i was using.

It probably wont help with any credit checking because that's usually done based on trading history, accounts filed with companies house etc, having an office address in Mayfair or at the Gherkin wont mean people chucking credit at a new company

The junk mail shouldn't be any worse than what you get at a private address.

The only real reason people use a registered office address is if they need a UK based point of contact because they are base overseas, for privacy reasons like they run the business from home or they are based on the road and need a fixed contact point.

CeeBeeDeeBee

Thanks for your help

ToughLocks

I've used Companyformations247.co.uk in the past and they were very quick, very professional, and very helpful - not to mention cheap as well.
I'm not sure but I think they get a payback from Barclays if you open the free account with them, but not a bad thing really if you also need a business bank account.

You will only get the basic documents that are needed to start your Ltd company though and other documents such as 'company records' etc you will need to sort out yourself. Saying that they're not that hard to do.

CeeBeeDeeBee

Thanks ToughLocks.

Is it worth using their registered office service as my wife and I have really bad credit ratings at our home address?

luckyluke7

Just to echo above, i used companyformations247 to set up my ltd and found their service very good. The documents turned up next day. When i spoke to my business account manager at Barclays after they said a lot of people are using them to set up companies and she'd only heard good things about them.

Vomityspice

Whilst £500 does seem like a lot of money for an 'off the shelf' company, in reality it is approx 3 hours of legal charge out rate.

Depending on the company formation (i.e. No's of Directors, rules on share transfer etc) an 'off the shelf' company could need a range of modifications to suit (and more importantly not breach any CA legislation! - specifically for Single director Ltd's but there are lots of potential problems). Whilst many people will happily ignore their Articles of Association (possibly because they don't really understand them), this can lead to expensive problems in the longer term. This usually only raises its head when there is a problem and everyone then rushes off to see the solicitor. Once you get into a dispute, the original £500 is 'petty cash' type of sums.

If you understand what your doing, then buying a company from CH for £25 is the cheapest solution. If you don't know much about Company Law then £500 to a solicitor to advise you, may be the best £500 you have ever spent.