One of the most important points regarding the memorandum is that as of the 1st October 2009, under the relevant provisions of the new Companies Act, the function and contents of the memorandum have changed significantly.
The memorandum is one of the documents that are required upon incorporation in the United Kingdom. Under the 2009 Companies Act the memorandum serves as a ‘historical snapshot’ of the company upon formation and now has a more limited purpose.
The purpose of the memorandum is to confirm each subscriber’s intention to form a private limited company and must state:
- The name of each subscriber (The first shareholder(s) of the company)
- The fact that they wish to form a company
- The fact that they wish to take shares in the company
When registering a limited company you will be expected to provide memorandum as well as articles of association. The articles of association set out regulations governing managerial and administrative matters. Also contained within the articles are provisions dealing with shareholder’s rights.
There are 3 ways in which a limited company can be formed including directly with Companies House, using an Accountant or Lawyer, or using a Formation Agent. If deciding to use Companies House it will cost £20 however you will need to fill in the relevant Companies House form yourself and provide your own copies of the memorandum and articles of association. The problem associated here is the extra cost and difficulty of obtaining the memorandum and articles. The next option of using an Accountant or Lawyer, who will complete the company incorporation for you, is the most expensive option and could cost you around £100 – £350.
We then move on to the third option of using a Company Formation Agent, such as Wisteria Formations, which just requires you to fill in a simple application form. Unlike using Companies House directly, by using a Company Formation Agent the relevant form is filled in and your application sent off without the hassle and cost of finding suitable memorandum and articles of association to use, as well as also being provided with other services such as hard copies of your documents should you require them. To add to this, using a Company Formation website costs nearly as little as doing it yourself without the added hassle. Wisteria Formations’ basic service offers to form your company for just £24.99 and is faster than paper filing with Companies House.
Wisteria Formations offers a quick, effective and inexpensive way with 10 short steps to form your company. Wisteria differentiates and benefits from being part of Wisteria Charted Accountants giving reassurance of high quality and professional service as well as being able to take advantage of a variety of complementary services including free telephone support as well as free consultation with a tax adviser or chartered accountant. On top of this there is a host of other extra services including:
- Accountancy and business advice
- Business Plans
- Tax advice
- Company Secretary
- Registered office and mail forwarding
- VAT registration / PAYE registration
To start your company formation now please follow the link below and for any further information on company formations please contact out support team on 0844 893 0808 or send them a message at formations@wisteria.co.uk and they will respond shortly.
https://www.wisteriaformations.co.uk/uk_company_registration.
