10 Steps to Starting Your New Company

Top Tips from Wisteria Chartered Accountants

Step 1 – Incorporate your CompanyHow will you incorporate your company?

1. Directly with Companies House – the cheapest but slowest and most difficult option.

2. Use a Company Formation Agent – slightly more expensive, but can do it quickly and easily.

3. Solicitor or Accountant – most expensive.

Most people choose to register a company online with a formation agent. They are experienced in doing so and an agent backed by a firm of Chartered Accountants offers you peace of mind without excessive costs.

Step 2 – Company Register Following the formation of your company one of the most important things to prepare is your company register. Your formation agent can normally help with this.

It is a legal requirement for the company secretary to keep an updated version of the company registers as laid out by the Companies Act 2006.

Step 3 – Bank Account In order to carry out transactions you will need a business bank account.

Your formation agent may offer the service of referring your details to a bank which makes the process easier. This way, the bank will normally contact you directly.

Step 4 – Website/URL

When you have formed your new company you may need a website to advertise your products or services to existing customers.

It is important to reserve the URL that you desire from as early on as possible so that it is not taken by someone else.

Step 5 – Trademark

Registering a company gives you some protection over your company name; mainly so that no-one can register with exactly the same name or a very similar one.

However you may want to register a trademark to protect your logo, branding or style.

Step 6 – Insurance It is a legal requirement for you to obtain employer’s liability insurance and public liability insurance to protect employees of the company as well as third parties.

You may also need to consider other types of insurance, such as:

• Buildings and Contents Insurance• Health Insurance

• Professional Indemnity Insurance• Product Liability Insurance• Cash In Transit Insurance

Step 7 – Appoint an Accountant An accountant can be an invaluable source of advice and support in your first year of business so it is important to engage one as early as possible.

They can also help you with numerous filing requirements and make sure you do not miss due dates, helping to make sure you are compliant and up to date, plus helping you to avoid any nasty fines or penalties.

Step 8 – VAT & PAYE Registration VAT registration may be compulsory or voluntary. If you do not have to compulsorily register you may wish to register voluntarily depending on your circumstances.

PAYE registration involves registering as an employer with HM Revenue & Customs. This will allow you to ensure that you deduct the correct tax and National Insurance from all payments to employees and directors of the company.

Step 9 – Information Commissioner The information commissioner can help you comply with the Data Protection Act. If you are holding personal information about your clients or customers it is a legal requirement to register with them.

Step 10 – Marketing & Promotional Materials

As well as beginning the marketing and promotional activities for your new business, it is a legal requirement for you to include your company details on the following:

• With-compliment slips • Websites

• Invoices • Letterheads • Purchase orders

Where can I go for more information?

For further information and to form your limited company visit Wisteria Formations at

www.wisteriaformations.co.uk .

Or contact us on:0844 893 0808

Email formations@wisteria.co.uk