Advantages of a Limited UK Company

Incorporating a Limited UK Company offers a number of business advantages, including:

  • The Limited UK Company is recognized as a separate legal entity and as a result both shareholder and director personal assets and wealth are protected.
  • Corporate tax is zero up to profits of £10,000, there is then marginal relief for companies with a turnover up to £50,000, then the small company rate is 19% up to profits of £300,000.
  • Once the company is formed there is no requirement for immediate trading.
  • Only one shareholder is needed and there is no restriction on the number of shares a shareholder owns.
  • Only one director is required.
  • There are no restrictions on foreign nationals being shareholders or directors, however the company must have a registered address in the UK.
  • There is no need to use a lawyer to set up company. All paperwork can be handled by Crossfort Partners.
  • The cost of incorporation and maintenance and service fees are relatively low while the time required to set up the company is minimal.
  • Share capital needed is very low, usually around the £1,000 mark and there are no limitations on capital movements once incorporated. 
  • There is no capital duty either on formation or on capital increases.
  • Earnings can be withdrawn through dividends
  • No withholding tax is paid on the dividends of the limited UK Company
  • There are specific requirements regarding meetings and the running of the company including an Annual General Meeting.
  • Various returns must be filed including accounts and an annual return among others.
  • Incorporating in the UK is a much more prestigious solution compared to other offshore jurisdictions
  • UK limited Companies offer a gateway to doing business in Europe.