Register Ltd company to be dormant

mragent

I'm looking at perhaps registering a Ltd company, to remain dormant for now. I will do this to secure the name as I trade as a sole-trader under the same name at the moment.

My questions are:

1) Apart from the £15 filing fee to company house each year is there anything else to consider?
2) Would it be a problem to sign off e-mails for example with the company name? (to simply add credibility - nothing more).

In around 1 years time I will probably make the company "active" at which point I will open a Ltd company bank account etc..

I am new to all of this, but wish to get it right and not rush into something which seems a good idea but then live to regret.

Many thanks in advance to any replies!

zax47

Did the same myself a few years ago, what you've said is correct. You have to file your annual return (£15) and confirm dormant (no accounts) every year but that's it.

p00hsticks

mragent wrote: »

2) Would it be a problem to sign off e-mails for example with the company name? (to simply add credibility - nothing more).

Unless things have changed from when I had my own company, there are rules about the information a limited company must include in their communications (e.g. company number and registered address)

So if you intend the the company name to be exactly the same as the trading name you are using now (can you do that ?), then I think that whilst you continue to deal as a sole trader rather than via the company, you would be better off specifically stating that on your mails in conjunction with the name, both to avoid misleading people who might otherwise think they are dealing with a limited company and to avoid companies house thinknig that you are not complying with their rules.

texranger

i have 3 Ltd companies all dormant just to protect the business names.

once you start signing emails etc. under the ltd company name then you are trading under that name

you must show on all websites/paperwork etc as "<company name> registered in England and Wales Reg. No. ********"

c-m

To those of you who have set-up dormant companies yet acting as sole traders, who did you list as the director and secretary? It's my understanding that you need at least one directory and secretary, or two directors

texranger

c-m wrote: »

To those of you who have set-up dormant companies yet acting as sole traders, who did you list as the director and secretary? It's my understanding that you need at least one directory and secretary, or two directors

rules changed now, you no longer need to list a secretary and can just have 1 director

mragent

texranger wrote: »

i have 3 Ltd companies all dormant just to protect the business names.

once you start signing emails etc. under the ltd company name then you are trading under that name

you must show on all websites/paperwork etc as "<company name> registered in England and Wales Reg. No. ********"

Aha I feared that this might be the case I just wanted to do it to appear more "credible" to a potential client, even though any transactions/invoices would be issued as a sole-trader if they decide to do business with me.

texranger

mragent wrote: »

Aha I feared that this might be the case I just wanted to do it to appear more "credible" to a potential client, even though any transactions/invoices would be issued as a sole-trader if they decide to do business with me.

what you wanted to do could be construde as fraud.

you wanted to display on emails etc. that you are a ltd company, just to attract customers, but when it comes to someone doing business with you then you would do this as a sole trader.


being a ltd company does not make you more "credible" than a sole trader these days

Premier_2

mragent wrote: »

I'm looking at perhaps registering a Ltd company, to remain dormant for now. I will do this to secure the name as I trade as a sole-trader under the same name at the moment.

My questions are:

1) Apart from the £15 filing fee to company house each year is there anything else to consider?
2) Would it be a problem to sign off e-mails for example with the company name? (to simply add credibility - nothing more).

In around 1 years time I will probably make the company "active" at which point I will open a Ltd company bank account etc..

I am new to all of this, but wish to get it right and not rush into something which seems a good idea but then live to regret.

Many thanks in advance to any replies!

It's £14 a year online now (or £40 if you do it the paper method )

You need to file annual accounts, even if they are dormant ones. Just saying the company is dormant isn't good enough.

You also need to file an annual return (which is what the £14 fee is for)