Register a Holding Company in the UK from £52.00

What is a holding company?

The holding company registration with Coddan trustworthy experts: a holding company is a company to own shares in and oversee the management of multiple other companies (registered in the UK or oversea). The new tax breaks for the holding company’s existing for shareholding purposes make the United Kingdom a very attractive place to register a holding company.

How to register a holding company?

To register a holding company in the U.K., you need to find a suitable business name (that will be acceptable to Companies House and doesn't clash with any existing companies), to have a prestige registered address (we can provide you a legitimate registered address in England, Scotland and in Northern Ireland), nominate at least one company officer as a director (who does not need to be British citizen, or be a resident of the U.K.). Company director must be a private individual over sixteen years of age.

The company shareholder can also be a private individual or another legal entity. You can set-up a holding company with any amount of share capital, and issue at least one share.

How to form a holding company with us

Take the advantage of our vast experience in holding company formation in the UK. To form a holding company with us, you will need to complete our easy one-step application form. You will need to to provide us the company name, the name of the applicant, details of the registered address, who is the person with the significant control, and nominate your officers. It is really very easy to incorporate a holding company with us.

Take a look at our range of incorporation options for the registration of a holding company. we offer the standard low-cost UK holding company formation options for those, who has the registered address; otherwise, we can setting-up a holding company with one of our own registered addresses in London, Edinburgh or Belfast. We're confident that we can offer the reasonable holding company set-up package that's exactly what you need.

If you've any questions or concerns about the holding company establishment in the U.K., then please get in touch with the reputable experts from Coddan! Mail: info@coddan.co.uk. We aim to reply to all emails within 24 hours. If you are rushing please feel free to call us between 9.30am-6.00pm Monday to Friday by telephoning + 44 (0) 207.935.5171 or (0) 330.808.0089 (national rates) and chat further. We do the registration of holding companies on-line, means, that your company will be ready to go within just a one day.

Holding company registration procedure

As soon as your application and payment received by us, one of our professional member of the team will review the details of you order, and will start the preparation of the constitutional documents for your holding company. We will prepare and file for the setting-up of your holding company our own version of the memorandum and articles of association, especially designed for the holding company activities, your company will not be registered with the model of articles.

When we complete the required forms, then, we will send them to the Companies House electronically, because we are fully recognised companies formation agent by Companies House and HMRC. Before the Covid-19 restrictions, the formation of a holding company took from six up to 24 hours, but now, the registration process normally takes at least 24 hours. We still can offer the fast holding company registration, for a small fee, you can apply for the same day incorporation.

Uses of the UK registered holding company

A holding company usually exists to own stock (usually a controlling interest) in and to supervise the management of other companies. The UK is the ideal location to register a holding company, because companies with substantial shares in other companies are now exempt from capital gains tax.

There a number of reasons for a holding company establishment, most of these relate to taxation, commercial and legal reasons. From a taxation perspective, holding company allows access to various forms of tax relief. In particular, this type of arrangement can benefit businesses that receive dividends from foreign subsidiaries, and there are other benefits for companies with international activities. The public conscious is very much focused upon corporate tax affairs at the moment, and Coddan can make sure that all arrangements comply with complex legislation.

Holding companies and subsidiaries: if company A owns more than 40 per cent of the issued shares of company B, it is clear that A is B's holding company, and B is therefore a subsidiary of A. However, the definition of "low-priced subsidiary" and "holding company" in the Companies Act goes beyond that simple example and covers a number of other situations. B will be a subsidiary of A if: -

A holding company with more than one trading activity has the choice of carrying on all its trades under the umbrella of one holding company, or splitting them between a numbers of trading subsidiaries. Its decision will probably depend on the factors below.

Risk mitigation – having a number of companies in the group, each with the benefits of limited liability, can be advantage. If one subsidiary gets into financial difficulties, there is nothing in law that obliges its parent to continue supporting it, unless it has guaranteed the subsidiary's liabilities or otherwise agreed to help.

Tax – as a general rule, whatever trading structure is used, the effect should be tax neutral, but there are numerous examples where some advantages or disadvantages, can arise from keeping separate activities in separate subsidiaries or, conversely, from lumping them together in one company. Some tax relief's may depend on whether there is a 51 per cent or 75 per cent relationship with the group companies involved.

Administration – the more companies you have, the greater the administration burden the greater the cost and more paper is generated.

Complexity – there can also be a conflict between the way a court will look at a group of companies, and the everyday practicalities of running at a group: the court will see a number of distinct legal entities, each with its own legal rights and obligations; the executives running the group may view the lot as one business with reporting lines and managerial responsibilities crossing those legal boundaries. Superimposing a different management structure on an existing corporate group structure can cause problems if those boundaries are not respected.

In addition to its definitions of subsidiary and holding company, the Companies Act introduces definitions of "subsidiary undertaking", and "parent undertaking". These are wider definitions used in accounting and encompass not only ordinary subsidiaries and holding companies but also other situations where there is effective control and the accounts or two or more companies should be consolidated. They can also include entities other than companies – such as partnerships and unincorporated associations.