What you need to set up a limited company
Before you begin your application, gather the following information. Having everything ready can make the process clearer and easier to complete.
- A unique company name (checked for availability at Companies House)
- A UK registered office address
- Full name and date of birth of each director
- A service address for each director (can be the registered office)
- Full name and nationality of each shareholder
- The number and value of shares each shareholder will hold
- A SIC code describing your business activity
- Your email address (for Companies House correspondence)
Step-by-step: setting up your company
Choose your company name
- Must be unique — no other company at Companies House can share it
- Must end in "Limited", "Ltd", "Limited Liability Partnership", or "LLP"
- Cannot be offensive or imply a connection to government
- Cannot include certain sensitive words without approval (e.g. "Royal", "Bank")
Appoint director(s)
- At least one director required, aged 18 or over
- Directors must not be disqualified from acting as such
- Directors' names and service addresses appear on the public register
- One person can be both sole director and sole shareholder
Set up your share structure
- Most new companies issue ordinary shares of £1 each
- You can issue any number — 1 share or 1,000 shares both work
- Shareholders own the company in proportion to their shares
- A single founder typically holds 100% of the shares initially
Choose a registered office address
- Must be a physical address in the UK (England, Wales, Scotland, or Northern Ireland)
- Appears on the public Companies House register
- All statutory mail from HMRC and Companies House goes here
- Can be your home, office, or a professional registered office service
Review business banking options
- A Tide account is optional and is a separate application
- Review current Tide pricing, account criteria, and partner terms
- Banking approval is decided by the provider
- Choose the account that fits your company and circumstances
Receive your documents
- Companies House processing times vary
- Certificate of Incorporation confirms your company is legally formed
- You also receive your Memorandum, Articles, and share certificates
- Any partner offer is subject to Tide’s current terms and eligibility
After your company is set up — what to do next
Once your Certificate of Incorporation arrives, your company is legally formed. There are a few immediate next steps:
- 1
Register for Corporation Tax
You must inform HMRC within 3 months of starting to trade. You can do this online via the HMRC website using your Company Registration Number.
- 2
Open a business bank account
You're already sorted if you opened a Tide account as part of your formation. Keeping company finances separate from personal accounts is a legal requirement.
- 3
Consider VAT registration
If your annual turnover will exceed £90,000, VAT registration is mandatory. Below that threshold, it's optional — but voluntary registration can sometimes be tax-efficient.
- 4
Set up PAYE if you'll pay a salary
If you intend to pay yourself or employees a salary, you'll need to register as an employer with HMRC and run payroll.
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Frequently asked questions
What do I need to set up a limited company?
You need a unique company name, a UK registered office address, at least one director aged 18 or over, at least one shareholder, a SIC code describing your business, and details of your share structure. That's it — the entire process is handled online.
How long does it take to set up a limited company?
The time required to complete an application depends on your company details. Companies House processing times vary, and your Certificate of Incorporation arrives by email once the application is approved.
How much does it cost to set up a limited company in the UK?
Check the current Companies House filing fee and any provider fee in the application journey. A Tide partner offer may be available, but it is subject to Tide’s current terms and eligibility criteria.
What is a SIC code and how do I choose one?
A Standard Industrial Classification (SIC) code is a five-digit number that describes your business activity. Companies House publishes a full list at their website. You can choose up to four SIC codes. If you're unsure, pick the one that most closely matches what your company will do.
Can I use my home address as a registered office?
Yes, you can use your home address as your registered office. However, this address appears on the public Companies House register and on all official correspondence. Many founders use a professional registered office service for privacy reasons.
What happens after my limited company is set up?
Once incorporated, you should register with HMRC for Corporation Tax within 3 months of starting to trade. You'll also need to file an annual Confirmation Statement and statutory accounts each year. Consider whether you need to register for VAT (mandatory above the £90,000 turnover threshold).