
How to Register a Foreign Company in UK
Thinking of setting up a Foreign Company in the UK from India? The UK has a strong economy, a vibrant startup ecosystem and an investor friendly regulatory environment. But where do you start? From company registration to tax compliance this guide takes you through everything. So no need ro get delayed or caught up in unnecessary complexities. Let’s begin!
Step-by-Step Process to Register a Foreign Company in the UK from India
Setting up a foreign company in the UK from India involves a clear process, specific legal requirements and costs. Here’s a roadmap to get you started:
Pick the Right Structure
Choosing the right legal structure is critical for taxation and liability purposes. The options are:
● Private Limited Company (Ltd): A separate legal entity with liability protection.
● Sole Trader: A self employed individual responsible for business debts.
● Limited Liability Partnership (LLP): Two or more partners share responsibility while enjoying limited liability.
If you’re registering a private limited company the process is straightforward and can be done online.
Step 2: Companies House Registration
All limited companies and LLPs must undergo registration with Companies House. Registration process necessitates the following:
● A unique company name (check availability on Companies House).
● A registered address in the UK (virtual office or business service providers allowed).
● At least one director and one shareholder (the director and shareholder may be the same person).
● A Standard Industrial Classification (SIC) code that describes the business activities.
Step 3: National Insurance Number
To relocate and manage the business in the UK, one needs a National Insurance Number required for tax and employment purposes; application can be made through the UK government website.
Step 4: Open a UK Business Bank Account
The business bank account is a requisite for all transactions with a UK-compliant business. Most banks typically want:
● Proof of business registration (Companies House documents).
● UK address and identity verification.
● A director or authorized representative based in the UK; some banks allow opening of an account via remote procedures.
Step 5: Be Aware of Tax and VAT Obligations
When operating in the business world, keep the tax legislation in the UK still at the back of your mind. Some of the few things you should know are:
● Corporation tax: 19 percent-charged on profit.
● VAT (Value Added Tax): registration needed if the sales per annum exceed £85,000.
● Self-Assessment Tax Return: this is for sole traders and directors.
● PAYE (Pay As You Earn): your registration is required if you have employed people.
Step 6: Obtain the Necessary Licenses and Business Permits
Some types of businesses need extra licenses. Some examples of them would be:
● Food Businesses: Must be licensed for food safety.
● Import/Export Businesses: Need to comply with customs regulations in the UK.
● Financial Services: Exempt from registration from FCA (Financial Conduct Authority).
Please check the UK government site for licensing requirements specific to your industry.
Cost Involved in Setting Up a UK Company from India
The cost of starting a business in the UK from India is important to charge for budgeting purposes. So, here are the costs:
Documents and Legal Requirements for Company Registration in UK from India
To complete company registration in the UK India in a legalised manner, you require relevant documents and approvals. These include:
● Company Name Approval (Unique name as per Companies House database).
● Registered UK Address (Virtual office or physical address).
● Directors and Shareholders Details (At least one director can be Indian).
● Memorandum and Articles of Association (Company formation documents).
● SIC Code (Classification of business activity).
● Proofs of Identity (passport, driving license, or Aadhaar, if required by the bank).
● Tax Registration (Corporation Tax, VAT if applicable, and PAYE for employees).
In a Nutshell
The registration of a foreign company in the UK from India is an easy task, given that you follow the correct path. Setting up the appropriate legal structure, registering with Companies House, opening a UK bank account, and meeting tax and licensing obligations are all prerequisites of the same. Business consultants can be hired to help navigate and simplify the entire process for more compliance with UK affairs. We at E-startup help the businesses with various consultation services. Contact us Today 8881-069-069!!