Set Up UK Company Non Resident

With your exploration of the UK complete and all relevant visas acquired, you can begin the process of formally creating your new UK-based business. This guide will outline how to set up a UK company if you are a non resident.

Deciding on the legal structure of your business

When you set your business up in the UK, you’ve got two options for the kind of entity it can be. The first, a UK Private Limited Company, is known as a subsidiary and is a distinct legal entity separate from your operations overseas. The second, a UK branch, is known as a UK establishment and is an extension of your existing company.

Both entity types have the same legal requirements and responsibilities, but there are a few distinguishing features you may want to consider when making the choice.

Subsidiaries:

• Only need to file their own financials
• Can benefit from UK tax deductions on repayments of loans from the parent company
• Subject to UK Corporation tax on their worldwide profits

UK branches/establishments:

• Are more closely linked with your parent company, and require you to disclose the financials and details of that parent company to Companies House – the body that manages and oversees all companies created and operating in the UK.
• Benefit directly from the capital of the parent company, and can generally operate at a higher capital level as a result
• Subject to UK Corporation Tax on all parent company profits attributable to the UK branch

Learn more about UK entity types and registration at gov.uk/topic/company-registration-filing/starting-company.

Registering a new business at Companies House

Every new UK business is legally required to register with Companies House. The registration process is quick and can easily be completed online through the UK government website. Before you register, you’ll need:

• A suitable company name
• An address for your company
• At least one director
• Details of the company’s shares (at least one shareholder is required)
• A SIC code that identifies what your company does (a condensed list of these can also be found on the UK government website)

Registering as an overseas company

As an established overseas organisation, you may be eligible to register with Companies House as an overseas company. This is a simpler process, and only requires the completion of one form.

To register as an overseas business, you must fill in form OS IN01 and send it to Companies House within 1 month of opening for business. Registering this way carries a charge of £20. The form and all relevant addresses and information can be found at https://www.gov.uk/register-as-an-overseas-company 

You can find out more about setting up a business in the UK here.