Welcome back to our Pro Masterclass on property investment through limited companies. In this lesson, I'm going to walk you through the practical steps of setting up your limited company. So whether you're just starting out or ready to make your first investment, I'll guide you through what you need to know to get your company off the ground smoothly and efficiently. Let's get started. Setting up a limited company might sound daunting, but the process is actually quite straightforward. Typically it takes about three to four working days to set up a basic company. If your situation is more complex, maybe need specialist support or customised legal documents, it might take up to ten days but even then, the process is designed to be relatively quick and painless. You might be wondering when is the best time to set up your company? Ideally, you should have everything in place before making an offer on a property. This ensures, you're ready to go without any last minute delays that could risk your deal. If you wait until you're in the middle of negotiations, you might find yourself rushing to get the paperwork done and that's never a good position to be in. Worse still, your mortgage could fall through if you leave it too late to set up a company or make a mistake when you do. To set up your limited company, you'll need to provide some essential information. First, you'll need a unique name for your company, something that represents your business and isn't already in use by another company. It can be as creative or as simple as you like. You'll also need to decide on a registered office address. This must be a physical address in the UK where legal documents can be sent and kept. It could be your home address, your accountant's office, or a dedicated business address. It's really important to note that if you use your home address as your registered office, this address will be publicly available on the company's house register. If you're concerned about privacy, Provestor offers a registered office service that keeps your home address off the public register, helping you to maintain your privacy. Next, you'll need to appoint at least one director and one shareholder. If you're a solo investor, you can be both the director and the shareholder of the company. Directors are responsible for the running of the company, making decisions and ensuring the company meets its legal obligations. Shareholders, on the other hand, own the company and have a say in key decisions, usually through voting rights attached to their shares. It's important to understand these roles because they come with specific legal responsibilities. When setting up your limited company, you'll also need to decide on the number of shares to issue and how they'll be distributed among shareholders. This is important because it determines ownership and control of the company. In our previous lesson we discussed different share structures such as alphabet shares which can be used to distribute income tax efficiently. When you set up your company you'll need to tell Companies House about this structure. It's also a good idea to check the structure with your mortgage broker to ensure your lenders will be comfortable with your setup. Additionally, your company will need a specific SIC code. This is a standard industry classification code that describes what your company does. For property investment, choosing the right SIC code is essential, otherwise a mortgage lender might reject your application. When you start up with Provestor, we'll take care of this for you, ensuring your company is correctly classified from the outset and mortgage lender ready. When you set up your company, there are a few key documents you need to have in place. The articles of association set out how your company will be run, outlining the rights of shareholders and the powers of directors. Companies House provides model articles that you can use, but they aren't tailored for property investments and might not be suitable for your specific needs. Customising your articles with the help of a professional ensures they're aligned with your investment strategy, future goals, and importantly, they support your share structure. Without the right documents in place, your company share structure could be invalid. There's also the memorandum of association, a simple but essential document confirming that the founding shareholders intend to form the company. These documents form the legal backbone of your company, so it's important to get them right from the start. When you start your company with Provestor, we'll prepare these important documents for you. Once you've got your documents and information ready, the next step is to register your company with Companies House, the official register of companies in the UK. When you register, you'll receive a certificate of incorporation. This document confirms the creation of your company and includes your unique company number. This number is your company's official identifier for all purposes, including tax filing and legal matters. Your company's details, including the name of directors and shareholders, your registered office address and financial statements, will be publicly available on the company's house register. This transparency is a legal requirement and part of doing business as a limited company in the UK. After registering with Companies House, you'll also need to register your company with HMRC for corporation tax, as your company will be liable for paying tax on its profits. The registration process is straightforward and can be done online. You'll receive a corporation tax reference number which you'll need when submitting your company's tax returns. Depending on your company's activities you might also need to register for PAYE or VAT. If you plan to pay yourself or any employees a salary you'll need to register for PAYE to manage income tax and national insurance contributions and if your company's taxable turnover exceeds the VAT threshold currently ninety thousand pounds you'll also need to register for VAT. When it comes to property investment buy to let income is VAT exempt, therefore it's normally only holiday let and commercial property owners that need to register for VAT. Mistakes happen. If you make an error during the company formation process, don't worry. Most mistakes can be corrected by filing the appropriate forms with Companies House. However, getting it right the first time is always best to avoid unnecessary delays or complications. It can be tricky to correct mistakes once your company has completed on a property purchase, so it's really important that you thoroughly check your company after it's been set up. This is one of those areas where professional help can make a big difference. Now you might be asking yourself if you can handle the process on your own. The answer is yes, you absolutely can, but the real question is why would you want to? Setting up a limited company involves lots of legal paperwork, decisions about structure and an understanding of your tax obligations. If you make a mistake it could lead to complications down the line, complications that could cost you time, money and even your investment opportunities. If you want a fast-start to tax-smart property investment then we're here to help. For as little as £59 we can take care of all the paperwork for you. We'll handle every aspect for you from choosing the right company structure to filing all the necessary documents with Companies House and HMRC. Our services are low cost and they're managed by a team of professionals who specialise in property investment companies. With our help, you can set up your company quickly, correctly and without any headaches. To wrap up, we've covered everything you need to know about setting up your limited company, from how long it takes and the information you'll need, why you might need tailored articles of association, managing your privacy, right through to why getting professional help might be the best option. As we've said already, there's no reason why you can't do it all yourself. But with a team of professionals by your side, you'll save time, avoid potential costly mistakes and start your property investment journey on the right foot. In our next lesson, we're going to talk about ongoing responsibilities once your company is up and running, so stay tuned for that. Thanks for joining me and I'll see you in the next lesson.