Limited by Guarantee Package

Companies that can register as limited by guarantee include but are not limited to Clubs, Cooperatives, Social Enterprises, Membership Organisations and Non-Governmental organisations.

• Limited by guarantee companies are separate legal entities from their guarantors.
• The guarantors are only liable to the company’s debts to the value of the guaranteed amount agreed upon at incorporation.
• A guarantor can be an individual or a corporate body. Only a single guarantor and director is needed to register a company limited by guarantee.
• A guarantor unlike a shareholder cannot take profits out of a company through dividends as such company profits or the excess of income over expenditure is often reinvested in the activities of the company.

The process of incorporating a company online is simple and straightforward. Documents, signatures and legal consultations are not required. To incorporate a company online you would need the following:

• The Proposed Name of the Company to be incorporated. There are strict rules and regulations by Companies House in respect of acceptable names. You cannot use a name similar to that of an existing company neither can you reserve a company name for future use. The best way to ensure a company name becomes yours is by incorporating a company using that name.
• The Names of the Directors and Guarantors. Often in small non-profit organisations, these roles exist in the same person.
• Registered Office Address and Directors’ Service Address
• A Guarantee Amount to be contributed by each guarantor in the event of winding up or insolvency

Accountants, Estate Agents, Solicitors and other professionals including Formation Agents such as ourselves are required by the law-The Money Laundering and Terrorist Financing (Amendment) Regulations 2019 and previous Money Laundering Regulations to check proof of ID and Address. We carry out digital ID checks on our customers and most do not have to do anything else except complete the online formation forms. A very minute percentage of our customers may need to supply further information if they fail the digital ID tests or are not eligible for one.