AT A GLANCE
Registration£100 online, usually within 24 hours
Share capitalyour choice, for example £1 a share
Peopleone person is enough, as shareholder and director
Residencedirectors may live abroad
Corporation tax19 to 25 percent
UpdatedNovember 2026

Why forming a company in the UK is easy

You form a UK limited company online, with no appointment and no waiting room. The Companies House fee is £100, and your company is usually registered within 24 hours. The law sets no minimum share capital: you choose the value of a share yourself, for example £1.

One person is enough. They can hold every share and be the only director, and they may live abroad. Your company then pays 19 to 25 percent corporation tax, and dividends reach you without UK tax deducted. More on the tax side in our piece on UK corporation tax.

Your formation in five steps

The order is always the same. Most of the steps take one sitting at your computer.

  1. 1

    1. The name

    You choose your company name. It ends in Limited or Ltd and cannot be the same as a company already on the register. A quick search of the Companies House register shows whether it is free.

  2. 2

    2. Directors and shareholders

    You decide who holds the shares and who becomes a director. One person can be both. Directors must be at least 16 and may live abroad. How many shares there are and what each is worth is up to you.

  3. 3

    3. Confirm your identity online

    Each director confirms their identity once online through GOV.UK One Login, free of charge and with a biometric passport from any country. They then have a personal code that goes into the registration. If the app does not work for you, a provider registered with Companies House can do the check instead, also from any country.

  4. 4

    4. Registration at Companies House

    Name, UK registered office, a company email address, directors, shareholders and shares go online to Companies House. The memorandum is created automatically, and model articles are there to use. The fee is £100, the company is usually registered within 24 hours, and you receive the certificate of incorporation with your company number.

  5. 5

    5. Your start with HMRC

    Registration normally puts your company on HMRC's corporation tax records straight away, and you receive its ten-digit Unique Taxpayer Reference (UTR). Once the company starts doing business, you add corporation tax to its online account; HMRC sends the activation code abroad within 21 days. If the company pays wages, even just to you as director, it registers as an employer before the first payday. VAT follows once the business meets the requirements, or earlier by choice.

Compared with a GmbH

In Germany, Austria and Switzerland, for example, a private company (GmbH) means a notary and capital paid in before it reaches the commercial register. Side by side:

CompanyHow it is formedMinimum capital
UK limited companyonline at Companies House, memorandum created automaticallynone, for example £1 a share
GmbH in Germanyarticles in notarial form, then filing with the commercial register€25,000, at least half paid in before filing
GmbH in Austriaarticles as a notarial act€10,000, at least €5,000 paid in cash
GmbH in Switzerlandformation by public deedCHF 20,000, fully paid in at formation

GOV.UK: Set up a private limited company; GmbHG ss. 2, 5, 7 (Germany); GmbHG ss. 4, 6, 10 (Austria); OR arts. 773, 777, 777c (Switzerland)

Who runs your company decides the tax

One thing belongs before registration: where the important decisions will be taken. A company incorporated in the UK is UK resident for tax. If it is run from your home country, though, that country may tax it too, and the treaty between the two decides. The comparison with a branch or subsidiary is in branch or subsidiary, and what you answer for as a director in directors' liability.

What to have ready

For a formation with one director, this is enough:

  • A passport for confirming your identity online
  • Your preferred company name and a fallback
  • An address for the UK registered office and a company email address
  • The shareholders and their shares
  • A short description of what the company will do
FAQ

Your questions about forming a company

Do I need to travel to the UK?

No. You confirm your identity online from any country, and registration is electronic.

Do I need share capital?

A UK limited company has no statutory minimum. You choose the value of a share yourself, for example £1.

Does the identity check cost anything?

Through GOV.UK One Login it is free, and in most cases you do it only once, even if you later become a director of other companies.

Can I form a company on my own?

Yes. One person can hold every share and be the only director.

Sources