The UK is one of the easiest places to do business in the EU zone. The country was ranked on the sixth most business-friendly country in the world according to the World Bank Group’s Doing Business report.

If you want to expand your business to the UK, setting up a UK subsidiary is the best option for you to expand your business overseas networks. Your subsidiary is formed in the UK and must meet the local rules on company formation and registration; and the authority to deal with your incorporation is the Companies House.

The rules for registering an oversea company are strict in the UK and you must register within the timeframe since the date of opening your business. The parent company can own the subsidiary’s capital or you can cooperate with local companies and partners to run your subsidiary. The company that owns the subsidiary is known as a parent company or a holding company.

When you choose us to form your subsidiary in the UK, we have a handy corporate ownership structure and this would allow you to setting up a subsidiary company through our online formation software.

It is important to know that it must conform to UK rules and regulations, and not those of the jurisdiction wherein the parent company operates. Your subsidiary needs at least one director for the new subsidiary and this can be the same director as the one for the parent company. It is not necessary for the directors to stay in the European Euro Union Area then you have to purchase a non-EEA residents’ bond before setting up your subsidiary. The UK is now formally leave the European Union.

The director is responsible for managing the company on behalf of its shareholders. In very small companies, the directors have the same functionalities with the shareholders and the directors and shareholders are almost the same. All subsidiaries are required to have a registered office address. We can offer office address services to ensure your subsidiary complies with the UK laws and requirements.

HMRC will still need to know where exactly your business trades from for tax purposes. To setup one a subsidiary, you only need a sole director. The requirement for a company secretary was waived some years ago. The only restriction is that the sole director cannot then act as the company secretary. When you register as a director, you will enter both your residential address and a service address. Only the service address will appear in the public records. One of the main advantages of a UK subsidiary is that it remains legally independent from its parent company at all times. This makes it easier for the UK subsidiary to carry out business independently and it also gives the UK subsidiary more creditability when it comes to seeking investment from banks and other sources, as well as when entering into contracts.

As a UK subsidiary is a completely independent body, neither the parent company nor the parent company’s shareholders are liable for any debts or obligations that the UK subsidiary takes on, and this limited liability can be beneficial when launching a new venture in another country. As a company model, the subsidiary also offers a great deal of flexibility and is able to both issue and transfer shares and bonds to partners, investors, staff, managers, or the public and can even apply for a quotation on the UK stock exchange.

Depending on the size of your company, the subsidiary will have to register for corporation tax and UK payroll tax, if your sales are above the threshold you have to register for VAT. Opening a UK subsidiary can have great benefits to an international organisation. Our team have advised on many different types of arrangements and can help guide you through the process of incorporating a new company in the UK and help you steps by steps from statutory compliance, law requirements and accounting and tax matters .

The process of setting up a UK subsidiary is not straightforward, so you need a specialist to guide you all the steps as well as a number of documents such as the Articles of Association and this is the subsidiary’s governing document and will show the structure of the subsidiary and relation between company and shareholders.

We are experts bringing foreign companies to the UK. With our extensive experience and highly reputable specialists, we have been recognised as a company that has the skills and experience to help overseas businesses establish themselves from the UK’s Government Investment Support Directory

we can definitely help you to set up a subsidiary smoothly in the UK and ensure everything is correct and meet the requirements from authorities and regulators, supporting you all the tax and accounting matters.