The English or Scottish holding company of overseas subsidiary companies already performs creditably as an international holding company. Consider the following: the United Kingdom has the widest network of double tax treaties in the world, and is also a signatory to the EU Parent / Subsidiary Directive. Given the quality and extent of the UK's tax treaty network, it is arguably the best performer in the important discipline of extracting overseas dividends at the minimum tax cost. Whilst the United Kingdom offers no exemption from UK corporation tax on foreign income dividends, it grants double tax relief by way of a credit for foreign corporation tax underlying the dividends provided that the company holds, directly or indirectly, at least 10% of the share capital of the company from whom the tax credit is claimed.
Where the underlying foreign corporate tax rate is 30% or more, then the credit will normally be a complete relief from UK corporation tax - and therefore as good as an exemption. It is significant that the UK has lower rates of corporation tax than most other industrial nations. The United Kingdom is remarkable in not imposing any withholding tax on dividends distributed by companies to UK non-resident shareholders. It therefore outperforms the other leading holding company locations in this regard.
The investing company must be a qualifying trading company or a qualifying holding company throughout the period beginning with the start of the last twelve month period in which the substantial shareholding condition is met and ending at the time of the disposal and also immediately after the disposal.
The definition of a qualifying trading company is one which does not carry on to any substantial extent non-trading activities such as holding intellectual property and ownership of land or assets as investments. A qualifying holding company is one which together with its 51% subsidiaries does not carry on to any substantial extent non-trading activities.
Coddan CPM LTD - specialists in United Kingdom, Scottish and Irish Holding business start up advice, resources and solutions. With Coddan your business start up idea can literally become a reality in hours! We offer everything a business incorporation or growing business needs right from free advice through to electronic Holding company formation & Holdings company registration, Irish company formation, Scottish company creation, business stationery/business cards, website templates, domain registration, compliance software, virtual offices, accountancy, financial services, trademark registration, marketing, e-commerce plus much more.
British Holding company formations should be quick and painless - whether you are an accountant for whom company start-up is a frequent activity or an individual ordering your first Holding company registration. We were the first incorporation agent in the world to offer a complete online UK Holding company incorporations service and we continue to refine our ordering system, which has been widely praised for ease of use. If you want to become familiar with the description and the contents of limited companies filing packages, offered by Coddan CPM LTD and to find above, what kind of service is included in this or that British companies registration package, to get an idea about the price of annual renewal of the service, and about the general legal requirements to the company incorporation within United Kingdom, please, select the package you need from the list, situated below the banner.
The information in the banner will be renewed according to the package you've chosen.
Holding Company is a company that usually confines its activities to owning stock in and supervising management of other companies. A holding company usually owns a controlling interest in the companies whose stock it holds. In order for a corporation to gain the benefits of tax consolidation, including tax-free dividends and the ability to share operating losses, the holding company must own 80% or more of the voting stock of the company. A company may own one or more other companies which are its subsidiaries. The relationship between parent and subsidiary depends on majority control of the voting rights of shares or the ability to appoint the majority of directors.
The precise definition of a holding company is in section 736 of the Companies Act 1985. In June 2002 the UK government introduced a capital gains tax exemption for UK companies with substantial shareholdings in another company. The new rules have now been clarified and apply to UK registered companies, foreign registered companies resident in the UK for tax purposes, as well as UK branches of companies registered outside the UK. If you want to become familiar with the description and the contents of UK holding companies formation packages, offered by Coddan CPM LTD and to find above, what kind of service is included in this or that holding companies incorporation package, to get an idea about the price of annual renewal of the service, and about the general legal requirements to the holding company registration within United Kingdom, please, select the package you need from the list, situated below the banner.
The information in the banner will be renewed according to the package you've chosen.
UK holding companies as companies the purpose of which consists exclusively or primly in the administration of assets or in participation in or the permanent administration of interest in other enterprises. A standard limited company may be used as a holding company of any kind of entity anywhere in the world. Such a structure enhances the owner's privacy, facilitates ultimate sale of the underlying business and may have other practical benefits in the course of day-to-day operations. For example, the holding company could be used to provide loans to subsidiaries in various countries, on which the subsidiaries may obtain the benefit of tax deductions on interest paid.
This is our most popular package with UK residents, and includes: -
The registration of your company from scratch using your own registered office address, and appoint your own candidates to the roles of director, secretary (if needed), and shareholder;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The following documents, which need to be printed and signed, will be emailed to you upon formation of your company: -
A certificate of incorporation (requires PDF file reader);
The memorandum & articles of association (requires MS-Word file reader);
The first meeting of the board of directors (requires MS-Word file reader);
Share certificates and a company register (requires MS-Word file reader).
Economy Package
£ 82.00
Annual Maintenance Fee £50.00
This is our most popular package with UK and EU residents, and includes: -
The registration your company from scratch using one of our registered office addresses, and appoint your own candidates to the roles of director, secretary (if needed), and shareholder;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The provision of a registered office address for 12 months is also included in the price of this package (our registered office address service is charged annually);
The following documents, which need to be printed and signed, will be emailed to you upon formation of your company: -
A certificate of incorporation (requires PDF file reader);
The memorandum & articles of association (requires MS-Word file reader);
The first meeting of the board of directors (requires MS-Word file reader);
Share certificates and a company register (requires MS-Word file reader).
Premier Package
£ 207.00
Annual Maintenance Fee £175.00
This is another one very popular package for small and medium size businesses, such as those being run by a sole director from home, and for companies owned by overseas residents who still need a local registered office address but would rather not open local offices;
This package is often chosen by such customers, who are looking to minimise a sole director personal liability (and who are not quite familiar with the new UK corporate legislation), because this package includes a provision of a nominee secretary for 12 months. This package is also includes: -
The registration your company from scratch using one of our registered office addresses, and appoint your own candidates to the roles of director, and shareholder;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The provision of a registered office address for 12 months is included in the price of this package (our registered office address service is charged annually);
The provision of a nominee secretary for 12 months is also included in the price of this package (our nominee secretary service is charged annually);
The following hard bound copy of corporate documents, will be posted to you upon formation of your company: -
A laminated copy of the certificate of incorporation of your company;
A hard bound copy of the memorandum and articles of association;
A hard bound copy of the minutes of the first meeting of directors;
Share certificates, and your company register.
Deluxe Package
£ 557.00
Annual Maintenance Fee £525.00
The Deluxe limited company package is a fast and easy option, it is ideal for the UK, EU, and international small to medium businesses who wish to appoint a nominee director and a nominee secretary in order to maintain anonymity, and it includes: -
Incorporation of your company from scratch using one of our registered office addresses in London, our nominee director and nominee secretary. We can appoint your own candidate(s) to the role of shareholder(s), or you can appoint a nominee sharholder provided by Coddan;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The provision of a registered office address for 12 months is included in the price of this package (our registered office address service is charged annually);
The provision of a nominee secretary for 12 months is included in the price of this package (our nominee secretary service is charged annually);
The provision of a nominee director for 12 months is also included in the price of this package (our nominee director service is charged annually);
The following two hard bound copies of corporate documents, will be posted to you upon formation of your company: -
A laminated copy of the certificate of incorporation of your company;
A hard bound copy of the memorandum and articles of association;
A hard bound copy of the minutes of the first meeting of directors;
Share certificates, and your company register;
The general power of attorney signed by a nominee director;
Pre-signed, undated resignation letter from a nominee director;
The agreement for the provision of nominee service and indemnification of nominee.
Legal Requirements to Register an LTD
A private company limited by shares in England and Wales must have at least one director, one shareholder, and may have a secretary.
You need at least one person to form this type of company. If there is only one director, and that director is a natural person in your company, that director can also act as the secretary.
A company must have at least one director who is a natural person. This requirement is met if the office of director is held by a natural person as a corporation sole or otherwise by virtue of an office.
You can register a sole director' company, if you are familiar with the secretaries duties and responsibilities, because all of them belongs to a sole director.
The directors and secretary of your company can also be shareholders.
The Companies Act imposes no restriction on the minimum age of company directors. However Companies House will actively discourage the appointment of anyone under the age of 16 from taking up a company directorship on the grounds that the individuals concerned may not fully understand the legal liabilities that go with the position and for the most part will not have the experience necessary to perform the duties of a company director.
Under the Companies Act 2006, there is no restriction on any or all of the members/shareholders being from an overseas country (i.e. outside the United Kingdom in terms of residency, domicile, citizenship, place of incorporation or all or any of those concepts).
There is no requirement for the officers of your company to be UK citizens or residents, nor for them to hold valid work permits.
Owning, or being an officer of a UK company does not, however, grant you any right to live or work in the UK if you are a foreign national.
Your company must have a registered office address within England or Wales; this is the official address of your company and will be on the public record as such.
Your company must hold its official company documents at its registered office address: its register of shareholders, and its constitutional documents.
So long as you maintain a registered office address in England or Wales, you can conduct your business from any place in the world: you do not have to run your business from your registered office address.
Business names are no longer registered with any government departments. But there are laws about using certain names and disclosing certain details of ownership. 1982 many business names had to be registered under the Registration of Business Names Act 1916. This Act was repealed on 26 February 1982 when new rules on business names came into force in the Companies Act 1981. This law was replaced by the Business Names Act 1985. This allows the Secretary of State to have certain controls over the name you choose for your business and what you must tell others about the ownership of the business.
Some words and expressions are controlled by other laws. These rules protect the rights which persons may have in relation to names or words. (In law, "person" includes individuals and companies.) Any business names shown in this section for the sake of example are intended to be fictitious.
Important Links
Coddan is one of the foremost and most economical providers of limited companies formation and new business entity registration services in the UK. Coddan is a leading company set-up agent that has expertise in off the shelf companies, ready-made companies, own name company formation as well as company search, credit checking, company secretarial, accounting and bookkeeping, tax advice & charity registration. Simple cost effective limited company set-up. No paper forms to complete, all information provided electronically. Coddan offer a range of services for business, including business company set-up, virtual office services, mailing address, and company secretarial services.
Suggested Reading
WHAT IS A 'BUSINESS NAME'?
It is a name used by any person, partnership or company for carrying on business, unless it is the same as their own name.
WHAT CHECKS SHOULD I MAKE BEFORE USING A BUSINESS NAME?
It is advisable to consult with Coddan CPM before using a business name. You should also check local phone books and any relevant trade journals or magazines, to see if any other business is already using the name. If it is, you could face legal difficulties. If you have any intention to trade goods or services, you would be well advised to ensure your business name does not conflict with a registered trademark. It does not have to be identical with a trade mark to cause possible conflict. Problems can arise if a name is judged to be confusingly similar. For further advice, including how to search the Trade Marks Register, contact the Trade Marks Registry of the Patent Office.
WHO DOES THE BUSINESS NAMES ACT APPLY TO?
It applies to: a company which trades under a name which is not its corporate name, for example, "XYZ Limited" trading as "Fish Antiques". A partnership which does not trade under the names of all the partners. An individual who trades under a name which is not his or her surname. It makes no difference whether the individual's first names or initials are added. So the Act would apply to Mr JQZ Singh if he traded as "Singh Antiques" but not if he traded as "Singh" or "JQZ Singh".
WHAT HAPPENS IF THERE IS A CHANGE OF OWNERSHIP?
When a business with a name that includes a prescribed word changes hands, the new owner must obtain further approval within 12 months to use the name. This applies whether the name was previously registered under the Registration of Business Names Act 1916, or approved under the Companies Act 1981.
DO THE DISCLOSURE RULES APPLY TO ALL BUSINESSES?
For example, if Mr W Jones trades as "W Jones Bakery", then the disclosure rules of the Business Names Act apply. Disclosure rules also apply to incorporated companies that trade under a different name, for example, ABC Foods Limited as ABC Foods. Incorporated companies must also comply with the disclosure rules in the Companies Act.
WHAT DETAILS MUST BE DISCLOSED ABOUT A BUSINESS?
You will need to disclose (as appropriate):
The corporate name. Or the name of each partner. The individual person's name; and in relation to each person named, an address at which documents can be served.
WHERE MUST THIS INFORMATION BE SHOWN?
Where must this information be shown? The places where you carry on your business and where you deal with customers or suppliers. Business letters. Written orders for the supply of goods or services. Invoices and receipts. Written demands for the payment of business debts.
MUST THE INFORMATION BE GIVEN TO ANYONE ELSE?
If asked for, the names and addresses that must be disclosed must also be given immediately, in writing, to anyone with whom you are doing business.
MUST ALL THE NAMES BE DISCLOSED?
If the business has more than 20 partners, you need not put all the partners' names on your business documents. However, you must give the address of the principal place of business and say that a full list of the partner' names and addresses can be inspected there.
WHAT HAPPENS IF I DO NOT COMPLY WITH THE REQUIREMENTS?
You commit a criminal offence if you use a business name that requires prior approval, and you have not obtained that approval. Similarly, you are committing a criminal offence if you do not disclose the business details that the Act requires. Remember, if you do not make your business details available, or you do not display them, you may not be able to enforce a contract that you have entered into.
Check Your Order Status
£ 32.00
This is our most popular package with UK residents, and includes: -
The registration of your company from scratch using your own registered office address, and appoint your own candidates to the roles of director, secretary (if needed), and shareholder;
The provision of a registered office address for 12 months is also included in the price of this package (our registered office address service is charged annually);
