Company Formation Services in London
Starting a limited company in London is straightforward when you have the right people guiding you. But company formation is only the beginning. The critical decisions that determine your tax efficiency, your personal liability, and your business structure happen before you incorporate and the ongoing obligations to Companies House, HMRC, and your accountant begin the day your company is registered. AccFirm provides a complete company formation services in London that goes far beyond simply clicking a button on the Companies House website.
At AccFirm, our company formation service is delivered by qualified accountants not a formation agent that hands you a certificate and disappears. We advise you on the right business structure before you incorporate, manage the complete Companies House registration and HMRC setup, provide a London registered office address at 86-90 Paul Street, EC2A 4NE, and then seamlessly transition into your ongoing accounting, tax, and compliance support all under one fixed monthly fee with no hidden charges.
Whether you are a UK resident starting your first limited company, an established professional converting from sole trader to limited company, or a non-UK resident looking to register a company in London, AccFirm handles every step from initial structure advice and Companies House incorporation through to Corporation Tax registration, VAT setup, PAYE registration, cloud accounting software configuration, and full Making Tax Digital compliance. Most companies are formed and fully set up within 48 hours.
What Our Clients Say About AccFirm
Many of our Customers have started their early careers with AccFirm
We’ve been working with this accounting team for over two years, and the difference has been incredible. From bookkeeping and VAT returns to corporation tax planning, everything is handled efficiently and on time. They keep us fully compliant with HMRC while helping us improve cash flow and profitability. I highly recommend their services to any business owner.
Sarah Thompson
Thompson Retail Ltd
As a contractor under the Construction Industry Scheme (CIS), I needed accountants who truly understand HMRC requirements. They managed my CIS registration, monthly returns, and self-assessment without any stress. Their guidance saved me both time and money. Professional, reliable, and always available when needed
James Patel
Self-Employed Contractor (CIS)
I had been a sole trader for four years and always assumed switching to a limited company would be complicated and expensive. AccFirm handled absolutely everything they advised me on the right structure for my income level, incorporated the company within 24 hours, registered me for VAT and Corporation Tax, and set up my Xero accounting. From the day I incorporated, I had a clear salary and dividend plan that saved me over £4,800 in my first year as a director. The process was completely stress-free
Daniel Okonkwo
Okonkwo Facilities Management Ltd
MTD Ready
Revenue Increase
Client Satisfaction
Do You Need a Limited Company? AccFirm Advises Before You Incorporate
One of the most important decisions a London entrepreneur makes is choosing the right business structure and it is a decision that has lasting consequences for your tax position, personal liability, access to investment, and ability to grow. Too many people incorporate a limited company because it seems like the right thing to do, without understanding the specific financial benefits and the additional compliance obligations that come with it. AccFirm advises on this choice before any formation work begins.
As the comparison table above demonstrates, the financial case for operating as a limited company rather than a sole trader becomes compelling once annual profits exceed approximately £25,000–£30,000. Below that level, the additional compliance burden of a limited company (annual accounts, Corporation Tax returns, confirmation statements) may outweigh the tax savings. Above that level and particularly at £50,000, £75,000, or £100,000 of profit the salary and dividend structure available to limited company directors generates savings that far exceed the accounting fee.
AccFirm free initial consultation identifies the right structure for your specific income level, your sector, your growth plans, and your risk profile. We will tell you honestly whether a limited company is the right move now or whether remaining a sole trader is the better financial decision for your current stage.
“Need Professional Business Support?”
Let our experienced accountants handle the compliance and financial complexities while you focus on growing your business.
Why AccFirm Company Formation Is Different From a Formation Agent?
There are dozens of online company formation agents in the UK, some charging as little as £2.99 to register your company with Companies House. And they do exactly that: they register the company. They hand you a certificate of incorporation and then you are on your own. No Corporation Tax registration. No PAYE setup. No VAT advice. No salary and dividend planning. No cloud accounting. No Making Tax Digital compliance. Just a PDF and a thank-you email.
AccFirm company formation service is fundamentally different because it is delivered by qualified accountants who understand that company registration is the beginning of a business relationship not the end of a transaction. As the process table above shows, AccFirm handles 10 distinct steps that a formation agent simply does not including mandatory HMRC Corporation Tax registration, PAYE and VAT setup, identity verification guidance under the new November 2025 requirements, and an optimised salary and dividend structure that saves the average AccFirm director between £3,000 and £8,000 in their first year.
The cost of using a formation agent plus a separate accountant for all the post-formation work typically exceeds what AccFirm charges for the complete service. And with AccFirm, you have one firm, one dedicated accountant, and one monthly fee covering your company formation, your ongoing accounting, your tax returns, and your year-round compliance
Our Company Formation Services in London
AccFirm provides a full suite of company formation and company secretarial services for London businesses all delivered by qualified accountants who continue to support you long after incorporation day.
Private Limited Company Formation
The private limited company is by far the most popular business structure in the UK and the most tax-efficient for most London entrepreneurs earning above £25,000 per year. AccFirm manages the complete incorporation process with Companies House, including company name availability check, articles of association, share structure design, director appointment, and registered office allocation at our Paul Street, London EC2A address. Simultaneously, we register your company with HMRC for Corporation Tax, advise on VAT registration and scheme selection, and set up your PAYE if you plan to take a salary. Most limited companies are fully incorporated and HMRC-registered within 48 hours of instructing AccFirm.
Sole Trader to Limited Company Conversion
Converting from sole trader to limited company is one of the most financially impactful decisions a self employed professional can make but it must be done correctly. AccFirm manages the full conversion: incorporating the new limited company, notifying HMRC of the cessation of sole trader activity, filing the final Self-Assessment return, transferring business contracts and assets where appropriate, and setting up the optimal salary and dividend structure for the new company. We also migrate your bookkeeping records to ensure your accounting history is preserved and your new company starts on a clean, accurate financial foundation.
Limited Liability Partnerships Formation
A Limited Liability Partnership (LLP) is the preferred structure for professional partnerships particularly law firms, accountancy practices, consultancies, and property investment partnerships because it combines the tax flexibility of a traditional partnership with the limited liability protection of a company. AccFirm forms LLPs with Companies House, drafts or reviews the LLP agreement setting out each member’s contribution and profit share, registers the LLP with HMRC, and advises on the tax treatment of member drawings and profits.
Non-UK Resident Company Formation in London
The UK remains one of the most attractive jurisdictions in the world for international entrepreneurs seeking to establish a business presence with a stable legal system, a well-regarded regulatory environment, and access to European and global markets. AccFirm forms UK limited companies for directors based outside the UK managing the identity verification process under the new Companies House ACSP requirements, providing a London registered office and directors’ service address, and assisting with HMRC registration, banking referrals, and ongoing accounting support for international clients.
Community Interest Companies (CIC)
A Community Interest Company (CIC) is a special type of limited company for social enterprises organisations that operate for the benefit of the community rather than for private profit. CICs must pass a community interest test and comply with an asset lock, meaning profits and assets must be used for the community purpose. AccFirm forms CICs with both Companies House and the CIC Regulator, drafts appropriate articles of association, and advises on the tax implications of CIC structures including Gift Aid eligibility and Corporation Tax reliefs.
Company Secretarial & Ongoing Compliance
Company formation is the start of an ongoing compliance relationship with both Companies House and HMRC. Every UK limited company must file an annual confirmation statement with Companies House, maintain accurate records of directors, shareholders, and persons with significant control (PSC register), and notify Companies House of any changes to the registered office, directors, or share structure. AccFirm provides full company secretarial services managing all annual filings, processing company changes, and ensuring your Companies House record is always accurate and up to date as part of your ongoing fixed monthly accounting package.
“Need Professional Business Support?”
Let our experienced accountants handle the compliance and financial complexities while you focus on growing your business.
Our Company Formation Process How AccFirm Registers Your London Company
Every AccFirm company formation follows the same structured approach ensuring your new limited company is correctly formed, fully registered with HMRC, and set up for tax efficiency from the very first day of trading.
Free Structure Consultation
We begin with a no-obligation consultation to understand your business goals, your expected income level, your sector, and any specific requirements (international directors, multiple shareholders, complex share structures, or CIC/LLP). We advise on the optimal business structure sole trader vs limited company vs LLP before any formation work begins. This is the most important step and one that pure formation agents skip entirely.
Company Name Check & Availability
We conduct a thorough Companies House name availability check, reviewing not only exact matches but also similar names that could create issues under the Companies Act. We advise on any restricted words that require permission from HMRC or other regulatory bodies, and help you select a name that is distinctive, available, and suitable for your sector.
Companies House Incorporation
We complete and file your company incorporation application with Companies House including your memorandum of association, articles of association, share structure, director and shareholder details, and registered office allocation at our 86-90 Paul Street, London EC2A 4NE address. We also manage the mandatory identity verification process (ACSP check required from November 2025) for all directors and persons with significant control. Companies are typically incorporated within 24–48 hours.
HMRC Registration Corporation Tax, PAYE, and VAT
Within the same week as incorporation, AccFirm registers your new company with HMRC for Corporation Tax (mandatory within 3 months of starting to trade), PAYE (if you will pay a salary to yourself or employees), and VAT (if applicable based on your expected turnover or voluntary registration decision). We advise on the most tax-efficient VAT scheme for your sector and business model flat rate, standard rate, or annual accounting.
Cloud Accounting Setup & MTD Compliance
We set up your cloud accounting software Xero, QuickBooks, or FreeAgent connecting your bank feeds, configuring your chart of accounts, and ensuring full Making Tax Digital compliance from day one. We provide a walkthrough so you can track your invoices, expenses, and tax position in real time from any device. Your accounting records are structured correctly for MTD for ITSA quarterly submissions from April 2026.
Salary & Dividend Optimisation Start Saving From Month One
Before you draw your first payment from your new limited company, AccFirm establishes the optimal salary and dividend structure for your specific income level and personal tax position. This typically involves a salary at the National Insurance secondary threshold (£9,100 for 2025/26) to maintain state pension entitlement without triggering employer NI, with the remainder of your required income extracted as dividends from company profit after Corporation Tax. Most AccFirm director clients save between £3,000 and £8,000 in their first full year of operation as a result of this initial planning.
“Need Professional Business Support?”
Let our experienced accountants handle the compliance and financial complexities while you focus on growing your business.
Tax Advice and Planning for London Limited Companies
Forming your company is the beginning of a tax planning relationship, not the end. The decisions you make in the first few months of operating your limited company, how you pay yourself, how you structure your expenses, whether and when to register for VAT, and whether to make pension contributions through your company have a direct and lasting impact on your tax bill for years to come.
The AccFirm approach is to establish the optimal tax structure before your company starts trading, not after your first year’s accounts reveal how much tax you have overpaid. As the table above shows, a director earning £50,000 profit in their new limited company who takes advice from AccFirm in month one pays approximately £6,000 less in combined Income Tax, National Insurance, and Corporation Tax than the same individual would have paid as a sole trader and compared to a director who simply takes all their income as salary.
This proactive tax planning is included in every AccFirm company formation and ongoing accounting engagement not charged as an additional consultation fee. We review your salary and dividend structure every April when the new tax year begins, adjusting for changes in Corporation Tax rates, dividend allowances, and National Insurance thresholds. We also advise on pension contributions, business asset disposal relief planning for eventual company closure, and R&D Tax Credits for qualifying London businesses in technology, engineering, and innovation sectors.
AccFirm Company Formation Process
Every AccFirm company formation follows the same structured approach ensuring your new limited company is correctly formed, fully registered with HMRC, and set up for tax efficiency from the very first day of trading.
Structure Assessment & Tax Planning
Before we incorporate a single company, we conduct a thorough assessment of your personal tax position, your expected business income, your sector, and your long-term goals. This determines whether a limited company, LLP, or continuing as a sole trader is the optimal structure for you and if a limited company, what share structure, director arrangements, and salary/dividend plan will generate the best financial outcome. Most new AccFirm directors discover in this initial review that they will save significantly more than the cost of formation in their very first year.
Already Trading? Switch to AccFirm Seamlessly
If you already have a limited company but your current accountant is not providing the tax planning, proactive advice, and responsive service you deserve, switching to AccFirm is completely straightforward. We contact your existing accountant, request all company records, accounts, and HMRC correspondence, and complete the HMRC and Companies House agent authorisation transfer. Your company continues to operate without interruption throughout the transition.
Accounting Softwares
Register Your London Limited Company with AccFirm Today
Whether you are starting a brand-new business, converting from sole trader to limited company, forming an LLP with business partners, or registering a UK company as a non-UK resident. AccFirm provides expert, accountant-led company formation services in London that go far beyond what a formation agent can offer.
Your company is formed correctly, registered with HMRC, set up for tax efficiency, and supported by a dedicated qualified accountant from day one. Most companies are incorporated within 48 hours. Your free initial consultation takes just 20 minutes. Contact us today and start your business on the strongest possible financial foundation.
FAQs About Company Formation Services in London
How much does it cost to form a limited company in London?
Forming a limited company with Companies House costs £50 in government fees (the standard online filing fee). Formation agents charge additional fees on top of this typically £2.99 to £150 depending on the package. AccFirm includes company formation as part of our ongoing accounting engagement, meaning the formation itself is covered within your first month’s fixed fee which includes everything from Companies House registration and HMRC setup to cloud accounting software and your initial salary and dividend planning. Contact us for a written quote based on your specific requirements.
How long does it take to form a limited company in London?
Companies House processes electronic applications within 24 hours on working days and sometimes within a few hours. AccFirm can have your company incorporated and your certificate of incorporation issued within 24–48 hours of receiving your instructions. The full HMRC registration process (Corporation Tax, PAYE, VAT) takes a further 5–10 working days as HMRC processes the applications separately from Companies House. AccFirm manages all of this simultaneously so your company is fully operational as quickly as possible.
What is a registered office address and do I need a London address?
Every UK limited company must have a registered office address a physical UK postal address where official correspondence from Companies House and HMRC can be received. This address appears on the public Companies House register and on all official company documents. You are not legally required to have a London address but a London registered office enhances your company’s professional image, particularly for B2B services, financial services, and international clients. AccFirm provides a London registered office address at 86-90 Paul Street, EC2A 4NE for all company formation clients all official mail is received and forwarded digitally on the same working day.
What is the new identity verification requirement for company directors?
From 18 November 2025, Companies House introduced mandatory identity verification for all new and existing company directors, shareholders, and persons with significant control (PSC). New directors must verify their identity before or immediately after their company is formed using GOV.UK One Login or through an Authorised Corporate Service Provider (ACSP) such as AccFirm. AccFirm guides every company formation client through this process, ensuring compliance with the new requirements without delay or confusion.
Do I need to register for VAT when I form my company?
VAT registration is mandatory when your taxable turnover exceeds £90,000 in any rolling 12-month period. It is optional below that threshold, but voluntary registration can be beneficial in some circumstances particularly for businesses supplying VAT-registered clients (who can recover the VAT you charge). AccFirm advises on whether voluntary VAT registration is advantageous for your specific business model, and if so, which VAT scheme is most tax-efficient. The most common options are the standard rate scheme, the flat rate scheme (which can generate a cash benefit for service businesses), and the annual accounting scheme.
What is the difference between a sole trader and a limited company for tax purposes?
A sole trader pays Income Tax and National Insurance on their total business profits through Self-Assessment with no distinction between business income and personal income. A limited company pays Corporation Tax on its profits (19–25% depending on profit level), and the director extracts income through a combination of salary (taxed under PAYE) and dividends (taxed at the lower dividend tax rates of 8.75% for basic rate taxpayers). For most London professionals earning above £25,000–£30,000 in annual profit, the limited company structure generates a meaningful tax saving. AccFirm calculates your specific saving in your initial free consultation.
Can AccFirm form a limited company for a non-UK resident?
Yes. There is no requirement for a UK limited company’s directors or shareholders to be UK residents. AccFirm forms UK limited companies for international clients providing a London registered office address, managing the identity verification process under the new ACSP requirements, completing all HMRC registrations, and advising on the UK tax obligations that arise from trading in the UK. We also provide referrals to UK business banking providers that accept non-resident directors.
What ongoing obligations does a limited company have after formation?
After formation, a UK limited company has several ongoing legal obligations: annual accounts must be filed with Companies House within 9 months of the company’s accounting year end; a Corporation Tax return (CT600) must be filed with HMRC within 12 months of the accounting year end; Corporation Tax must be paid within 9 months and one day of the year end; an annual confirmation statement must be filed with Companies House once per year; director’s Self-Assessment tax returns must be filed by 31 January following each tax year; VAT returns must be filed quarterly if registered; and RTI payroll submissions must be made on time for every payroll run. AccFirm manages all of these obligations as part of your fixed monthly accounting package every deadline tracked, every filing completed on time.