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UK Private Limited Company (Ltd)

United Kingdom

Last verified 2024-09-01

UK limited companies are incorporated via Companies House in as little as a few hours using the online filing system. Annual filing obligations include a Confirmation Statement (GBP 34) and statutory accounts. The UK corporation tax rate is 25% for large companies, with the Small Profits Rate at 19% for profits under GBP 50,000. Directors and shareholders are listed on the public Companies House register. Despite Brexit, the UK remains a top jurisdiction for credibility, common law protections, and global banking access. Particularly favored by tech startups, e-commerce businesses, and consultants. Banking has become harder post-Brexit and post-money-laundering crackdowns; challenger banks like Wise Business, Revolut, or Tide are commonly used by non-resident directors.

Formation Details

Setup Time
4 hours
Setup Cost
$50
Annual Cost
$400
Corporate Tax
25% (19% for profits under GBP 50,000; marginal relief between GBP 50,000–250,000)
VAT Threshold
$106,000
Nominee Directors
Allowed
Public Register
Yes
Residency Required
None. No requirement to be UK resident. A registered UK address is required (can be a registered agent service).
Banking Difficulty
Moderate

US Person Considerations

US persons must file FinCEN 114 (FBAR) if account balances exceed USD 10,000 and Form 5471 for controlled foreign corporations. UK Ltd companies owned by US persons may be treated as CFCs. Recommend consulting a US tax advisor. The US-UK tax treaty provides some benefits.