COREDO > Company Formation in the United Kingdom

Company Formation in the United Kingdom

Introduction

The United Kingdom is one of the world’s largest economies and a leading international financial centre. The country actively supports innovative projects and technology startups, offering a broad range of tax incentives, grants and subsidies.

COREDO has been operating since 2016 and provides company formation services in the United Kingdom for foreign entrepreneurs — from selecting the appropriate legal form to opening a bank account and registering for tax purposes.

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Cost of the service
from 2 150 EUR

Advantages of Company Formation in the United Kingdom

The United Kingdom offers a wide range of advantages for business. The jurisdiction is distinguished by its high level of prestige and economic stability, creating a reliable environment for long-term planning. The country has concluded double taxation avoidance agreements with more than 100 states, significantly simplifying international operations. Corporate legislation is transparent and progressive — the Companies Act 2006 provides a modern and clear legal framework for business. In addition, there is no currency control in the country, there is a developed lending market with favourable conditions and a high level of investment protection. The tax system is characterised by transparency and flexibility, and a reduced corporation tax rate is available for small companies. The United Kingdom is open to foreign investment — there are no residency requirements for directors or shareholders when registering a business.

Types of Companies in the United Kingdom

Several legal forms are available for foreign investors in the United Kingdom.

LTD

(Private Limited Company) — a private company with limited liability. The most common form for small and medium-sized businesses. Registration requires a minimum of one director and one shareholder (there are no residency requirements). The minimum share capital is £1. The company must appoint a Person with Significant Control (PSC).

PLC

(Public Limited Company) — a public company with limited liability. A minimum of two directors, two shareholders and a qualified company secretary are required. The minimum share capital is £50,000, of which at least 25% must be paid up upon registration. Suitable for large-scale projects and companies planning to raise investment on the open market.

LLP

(Limited Liability Partnership) — a partnership with limited liability. At least two partners are required — individuals or legal entities. There are no residency requirements for partners. An LLP combines the flexibility of a partnership with liability protection for its members and is suitable for professional services, consulting and joint ventures.

Foreign companies may also register a UK Establishment to conduct business in the United Kingdom without creating a separate legal entity. The branch is registered with Companies House and must submit annual financial statements of the parent company.

To conduct banking, insurance, reinsurance and trust activities in the United Kingdom, an appropriate licence is required. Financial companies are regulated by the Financial Conduct Authority (FCA) — an independent regulator ensuring consumer protection and financial market stability.

Comparison of Legal Forms

Form	Min. Capital	Founders	Liability	Suitable For
LTD	£1	from 1	Limited	Small and medium business
PLC	£50,000	from 2	Limited	Large projects, IPO
LLP	None	from 2	Limited	Professional services
UK Establishment	None	—	Per parent company	Branches of foreign companies

Registration Procedure

Company registration in the United Kingdom is carried out through Companies House — the registration authority operating under the Companies Act 2006. The process includes the following stages:

Choosing a company name

checking the availability of the company name through the Companies House register and ensuring compliance with the established requirements.

01

Determining the registered office

the company must have a registered office in the United Kingdom (England and Wales, Scotland or Northern Ireland).

02

Preparing incorporation documents

Articles of Association and Memorandum of Association, defining the rules of company management.

03

Identity verification

since November 2025, all directors and Persons with Significant Control (PSC) are required to undergo identity verification at Companies House under the Economic Crime and Corporate Transparency Act. This requirement applies to both UK residents and non-residents and is aimed at combating economic crime and enhancing the transparency of the corporate register.

04

Submitting the application

registration is carried out online through the Companies House portal. Since 1 February 2026, the registration fee is £100 (previously £50). Upon successful submission, the company is registered within 24 hours and a Certificate of Incorporation is issued. Paper filing is also available with an increased fee of £124.

05

HMRC registration

registering for tax purposes, corporate tax registration and, if necessary, VAT registration.

06

Required Documents

The following documents are required for registration:

passports or identity documents of all directors and shareholders;

proof of residential addresses;

incorporation documents (Articles of Association);

Standard Industrial Classification (SIC) codes;

details of the share capital structure.

All documents submitted to Companies House must be in English. For legal entities acting as founders, the parent company’s constitutional documents and an extract from the commercial register are additionally required.

Registration Timelines

Online registration through Companies House typically takes 24 hours. Including document preparation, identity verification and bank account opening, the overall process may take from 5 to 14 business days. Opening a corporate bank account in the United Kingdom takes up to 7 days. It should be noted that many banks have tightened their customer due diligence requirements as part of anti-money laundering efforts, which may increase the timelines. COREDO specialists coordinate all stages and help minimise the timelines.

Taxation

The UK tax system includes several key elements. Corporation Tax is 25% for companies with profits exceeding £250,000. For small companies with profits up to £50,000, a reduced rate of 19% applies. Companies with profits in the range of £50,001 — £250,000 pay tax at a marginal rate. The standard VAT rate is 20%, and the registration threshold is £90,000 in annual turnover.

The United Kingdom has concluded double taxation avoidance agreements with more than 100 states. This allows structuring international operations with a minimal tax burden.

Companies are required to submit an annual Company Tax Return to HMRC within 12 months of the end of the accounting period. Corporation tax payment is due within 9 months and one day after the end of the financial year. In addition, each company must submit an annual confirmation statement to Companies House — since 1 February 2026, the fee is £50 when filed online.

COREDO Service Fees

Service	Fee
Company formation in the United Kingdom (full package)	from EUR 2,150 + VAT
Annual maintenance (from 2nd year)	EUR 1,400 + VAT/year

The registration package includes: preparation and submission of incorporation documents to Companies House, obtaining a Certificate of Incorporation, a registered office for 1 year, apostilled corporate documents and a company seal. The exact cost depends on the chosen legal form and the scope of additional services — contact our specialists for an individual estimate. COREDO also offers related services: opening a bank account, legal support and document preparation.

COREDO Methodology

The process of company formation in the United Kingdom with COREDO comprises four key stages. At the first stage, specialists conduct a consultation: they analyse the client’s business objectives, recommend the optimal legal form and draw up an action plan. At the second stage, we prepare the incorporation documents, organise identity verification for directors and prepare the application for Companies House. The third stage involves submitting the documents, obtaining the Certificate of Incorporation and registering with HMRC. At the final stage, we assist with opening a bank account and ensure the company is ready to commence operations.

Our Experts

Pavel Kos

Head of Legal. Pavel has been working at COREDO since June 2017 and has extensive experience in corporate law and company formation across European jurisdictions. He coordinates legal support for business registration projects in the United Kingdom, including selecting the legal form, preparing documentation and liaising with Companies House and HMRC.

Frequently Asked Questions

Can a foreigner register a company in the United Kingdom?

Yes, the United Kingdom is fully open to foreign investors. LTD registration does not require director or shareholder residency. However, since November 2025, all directors and PSCs are required to undergo identity verification at Companies House. The COREDO team helps organise this process remotely.

Which company form is best suited for small business?

For most small and medium-sized enterprises, the optimal choice is an LTD (Private Limited Company) — minimum capital of £1, one director, limited liability for participants. This form provides management flexibility and minimal incorporation requirements.

What taxes does a company pay in the United Kingdom?

Corporation Tax is 19% for companies with profits up to £50,000 and 25% for companies with profits exceeding £250,000. The standard VAT rate is 20%. The United Kingdom has concluded more than 100 double taxation avoidance agreements.

How long does company registration take?

Online registration with Companies House typically takes 24 hours. Including document preparation and bank account opening — from 5 to 14 business days. COREDO specialists help optimise the timelines.

Case Study: Registration of a Fintech Startup in the United Kingdom

An entrepreneur from continental Europe planned to launch a fintech project based in London. COREDO specialists helped determine the optimal form — an LTD with minimum share capital. The team prepared the incorporation documents, organised remote identity verification for directors, submitted the application to Companies House and obtained the Certificate of Incorporation within 24 hours. In parallel, the process of opening a corporate bank account was initiated, which was completed within 7 days. The client commenced operations within 10 business days of the initial enquiry.

Get Expert Advice

COREDO specialists have been working since 2016 and help foreign entrepreneurs register companies in the United Kingdom and other jurisdictions. We handle all organisational and legal matters — from selecting the legal form to obtaining the Certificate of Incorporation and opening a bank account.