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Accountants in Preston

Limited Companies

Registering a limited company is a specialist subject, please contact us with your requirements.

A Limited Company is a "separate person" in law. So it is not the same as being a trader or in a partnership under self-assessment.

A Limited Company pays Corporation Tax, not Income Tax.

A Limited Company must file its Accounts with Companies House - which means that the Accounts become a public document - anyone can get a copy.

It is called "Limited" because the liability of the company owners - the shareholders - will only be their paid up value of their shares if the company gets in financial difficulties. The main exceptions to this are if the shareholders have acted illegally or have been negligent.

Identity Theft

You may have heard of Companies being stolen. This is where someone illegally changes the names of the directors and shareholders which are registered with Companies House. They are then in a position to divert the assets of the company.

Companies House say that there are 50 to 100 cases every month.

Companies House have provided means of reducing this risk - but you should continue to be watchful - because by their own admission it is not water tight.

  • Firstly, register with WebFiling to file many of your documents online - but note you can still file by paper forms if you wish

  • Secondly, sign up for 'PROOF' - whereby you "Opt In" to only file online. However - here's where it is insecure - if someone files paper forms with an "Opt Out" from - then they will be accepted !!

  • Thirdly, sign up for 'Monitoring' - for 5 per month - so that you will receive an email every time changes are registered

Recommendation: Keep your security and authentication codes very safe.