All posts by maplelcs

Setting Up A Limited Company

By | 4th July 2017 | Uncategorised | No Comments

Private Limited Companies are governed by the ‘Companies Act 1985’. A Private Limited Company is a legal entity in its own right; separate from those who run it, the shareholders. The limited liability, potential tax advantages and simplicity in running a private limited company make it the most common form of registered business in the UK. As a shareholder, your personal assets remain separate (unless they are secured against the business for borrowing) and your risk is reduced to only the money you have invested in the company and any shares you hold which you have not paid for.

There is no minimum capital requirement for a Private Limited Company. Private Limited Companies are required to have a minimum authorised share capital of GBP1 (or its currency equivalent) and are formed with both authorised and issued share capital. The minimum issued capital is one share but additional capital is usually issued to reflect the stability of the company. Unissued shares can be issued at any time by the directors, subject to prior approval from the shareholders. Shares in a Private Limited Company are transferred by private agreement between the seller and the buyer.

The three main reasons of trading as a limited company are status, tax efficiency and limited liability.

Limited Liability: It is the biggest benefit of running your business as a limited company. In case the company goes in to financial difficulty, the assets and personal finances of shareholders are protected beyond value of their shareholding. This means that if a company is unable to pay debts, the shareholder will only have to contribute according to the nominal value of their shareholding. It can be as small as £ 1.

If you want to provide high value services or supply which can lead to liability claims and/or operate in public domain then limited liability is important. In such situations, your personal finances and assets are protected. Operating as a sole trader does not have this benefit.

Tax efficiency: More opportunity and great flexibility is offered by limited companies in the case of taxation on profits and on personal income. The profits of companies have a rate of 20% Corporation Tax regardless of the size of profit. On the other hand, sole traders pay 40% income tax if their profits are between £31,868 and £150,000; and the rate is 45% for profits above £150,000.

The directors can keep their income level below the higher bands through taking remuneration in combination of dividends and salary. This results in more money being available for reinvestment or distribution among the shareholders and directors. Sole traders don’t have any such strategy to save tax.

Professional Status: A professional and corporate image is created by a limited company, thus boosting the value of business. More corporations and industries like to do business with companies, instead of sole traders. This is because limited companies are considered to be more established, credible and committed. Sense of security is also provided by limited liability to certain industry professions while choosing to use the services of new business or while investing.

Documents required for company formation:

  • In order to register a Private Limited Company the company name must be officially approved by the Registrar of Companies. Once approved the following documents are required:
  • Certified proof of ID for directors / shareholders and beneficial owner
  • Certified proof of address for directors / shareholders and beneficial owner
  • Completed Application Form (supplied by Maple Leaf)

The formation of a Private Limited Company is a very quick process and we can even offer samed day incorporation (once all documents are received and approved),

The following documents will be received upon incorporation:

  • A Certificate of Registration
  • Memorandum and Articles of Association
  • Minutes of the First Meeting of Directors
  • Share Certificates and Company Register

At Maple Leaf we provide a high-level service that will ensure your limited company is set up and registered correctly. Our team of experienced professionals can offer bespoke advice tailored to your needs.. Start your limited company with Maple Leaf and we will hold your hand through the process. www.mapleleaf.global

Ltd Company - Maple Leaf Global

 

4 Tactics to Begin Your Business Legacy


Maple_Leaf_Mayfair_TacticsNow that you have chosen your company’s name and registered it with Companies House UK it’s important to know what the next key steps are that you could be taking when beginning your business legacy.

Here are 4 tactics to help you get your Start-Up up and running:

Think Rationally

To make your company a success you need to think rationally about where you want to be.

The best way to organise your thoughts and the thoughts of your associates is to create a straightforward business plan to convey your ideas to potential investors and your directors. It doesn’t need to be overly complex or include musings on all potential eventualities but ideally it should contain well-reasoned facts that you think support the potential you see for business such as, a Market Sector Analysis; Three Year Estimated Cashflow; Current and Expected Overheads; and the Projected Profits.

Additionally one important thing to keep asking yourself is: what are your main assumptions; or in other words, what is it about your product or service that you think makes it something people will buy from you and not from your competitors?

Getting all your business ideas down into a single document allows others around you to grapple with them critically and find a solution to the challenges that will naturally arise from its execution.

Get Online

Once you have a clear and rational plan for your business the next thing to do is get yourself online.

Whether you decide to build it yourself or hire a professional it’s inconceivable in the modern technological environment that you would want to miss out on the opportunities that marketing online can offer, since it’s now estimated that around 78% of Internet users conduct their product research online[1].

So, getting online as soon as possible will most likely give you a massive competitive edge.

Any business website that you do create should aim to serve these three ideal functions:

1. Promotion of your Product or Service

Essentially you want to let your potential customers know what is good about making their purchase from you as opposed to somebody else.

You can do this by listing all the features and benefits of your product or service and illustrating why it competes in the market place.

So, it could be that your product’s price is less or that your service is faster but what ever it is that you think puts you a cut above the rest you should ideally aim to let your customers know that information in as clear and as concise way as possible.

2. Broadcasting of your Key Messages

Other than just the promotion of your product, your website could be used as a platform to add an additional awareness about what your business is about.

Creating some rhetoric that extends beyond your product or service can do this by reinforcing your brand image and culture around your product, service and company.

So, you might want to create original content like videos, interactive programs, music or write an article like this one, but what ever you do choose, it should preferably support what your business is all about.

3. Generation of Revenue for your Company

There will inevitably be running costs for keeping your website online however, there are ways that you can offset those costs by maximizing the amount of money that your website can make for you.

One of the easiest and most measurable ways to see your website generating cash for you is through selling advertising space on the site.

This way not only will the people who end up buying from you make you money, but so will the people who are just browsing on your site as well.

A second money making function that your website can serve is as an online shop for your products or services. By including an eCommerce function to your website you can make sales at anytime of day and it automatically allows you to see how effective your website is at generating you those specific sales.

These features and many more are great ways to turn your website from a liability into a true cash generating asset.

Tell the World

Modern marketing is dominated by Social Media, and online ad campaigns, however picking up the phone can still be just as an effective method for drawing in business and telling the world that you’re there.

By discussing your business ideas with friends, family, former colleagues and other business contacts and asking them what they think, you can get a powerful insight into exactly how others see your professional ideas.

If you actively listen and write down their feedback you will gain Read more