Do you live in the EU or elsewhere in the world? Are you eager to start a business, but you have no idea where it’s more advantageous? Or are you already a business, but you can’t get approval from the payment gateway administration? If so, we recommend you to learn more on how to register a business in the UK even if you’re a foreigner. Don’t miss a piece of really valuable information!
In some cases, business owners from around the world have to find the most promising options to register their business. We have already discussed how to register your business in the US and gain from this.
However, there is one more country that is extremely tempting in terms of setting up a business in the view of many entrepreneurs. This is all about the United Kingdom.
Today we’re going to shed some light on this topic so you will learn the following:
1) in which cases it’s a great idea for you to register a business in the UK
2) how to register a business in the UK if you’re a foreigner
3) if it’s worth starting a business in the UK and how you can benefit from this
Actually, the British government provides business newbies from all over the world with extremely favorable terms to start their business in the UK. WHATEVER country you live in, you’re welcome to do business in the UK.
So let’s find out if you should consider registering a business in the UK right now and what you can get from this.
Disclaimer: Please note that the process of so-called Brexit (UK leaving the EU) finished only in 2020. There still can be some changes related to your particular place of residence or British law amendments because of Brexit.
Why register a business in the UK if you’re a foreigner?
Nowadays it’s really tempting to register a business in the UK for both UK residents and foreigners. And this is reasonable.
The United Kingdom is one of the recognized business and cultural centers. This is why it’s extremely prestigious to have a business registered in the UK: this can make you a desirable business partner for entrepreneurs from all over the world.
Here is one of the most important thing entrepreneurs worldwide wish to register a business in the UK, especially online business: while business owners from lots of other regions suffer from the main worldwide payment gateway rejections, those who register their businesses in the UK get the Stripe’s approval and run their business in a lot more convenient way.
In case you’re running a dropshipping business, there are a lot more benefits you can count on: a set of British laws can provide British entrepreneurs with unprecedented business opportunities if they register a business in the UK.
Some important features of the corporate law and taxation system of Great Britain allow considerable savings on taxes and other contributions.
- The process of registering your business is simple, convenient, and it doesn’t take you tons of time. You can register your business in the UK even online.
- The UK is characterized by the low level of the corporate tax.
- Due to the British law, a set of tax deductions and tax benefits are available to you.
- The UK government doesn’t interfere in the business sector.
- In some cases, governmental backing is available.
And so on, and so forth. Conditions look so tempting as you’re ready to register a small business in the UK right now? Wait a minute. First of all, let’s learn more on how to apply for this and who is able to do this.
Can a foreigner register a business in Great Britain?
So, are you able to register a business in Great Britain if you’re not a UK-resident? In a nutshell, yes, you are! The United Kingdom hospitably opens the doors for entrepreneurs from around the world.
Whatever country you live in, you can appeal for registering a business in the UK. You don’t need residential status or even to be living in the country. The only stipulation is that the company must be registered to a UK address.
How much does it cost to register a business in the UK?
Here comes the next key question: is it worth registering a business in the UK? How much does it cost to register a business in the UK? Actually, it’s really worth registering a business in the UK since it lets entrepreneurs from around the world get a number of advantages. But how much money are we talking about?
According to an official UK government website, it will cost you only £12. It’s highlighted that it can be paid by debit or credit card or PayPal account. A company is usually registered within 24 hours.
You should understand that this is the minimum expenses registering a business in the UK will take you. In this case, you will have to go through a registration process on your own.
Do I have to register my business in the UK on my own?
If you feel uncomfortable about doing it by yourself, or you worry it’s too difficult and time-consuming for you, you can always appeal to companies that specialize in registering business in the UK. For a relatively low fee, they will move through all the stages of your business registration for you.
Just put a keyword ‘register a business in the UK’ to your browser’s search bar and choose the option you like more. Some companies promise to register a business for you within 24 hours at a reasonable cost.
Please note that AliDropship itself doesn’t apply to such companies and we don’t provide business registration services.
Since nowadays there are lots of fraudsters working in the area, please be careful when choosing a company that will help you register your business in the UK. We recommend you deal only with trustworthy companies.
5 easy steps for a foreigner to register a business in the UK
So if you finally decide to bring your business to a whole new level, meantime, get some tax benefits, we’ve prepared a checklist to register a business in the UK.
Here are 7 easy steps for a foreigner to register a business in the UK!
1. Resolve the visa issue
Firstly, you need to consider obtaining a visa. If you live in the UK on a work or other visa or you’re a UK citizen and you would like to start a business in the UK, no problem! You need to skip this stage.
If you’re a EU citizen and you’re eager to register a business in the UK, here is what you should know: Brexit finally ended in 2020, and this means that in 2021, there are no privileges EU citizens may count on when appealing for a visa.
By the way, please note that a few years earlier the process of obtaining a visa changed significantly. Due to Brexit, the UK government has established a new procedure for obtaining a visa. An entrepreneur visa is no more available to appeal for!
At the moment, there are other visas available for people who want to register their business in the UK:
If you want to learn more about them, feel free to move to the Official UK Government guidance. It remains for us only to point out that your business needs to have some unique features and be beneficial for the UK citizens if you count on getting a visa.
By the way, we recommend you to pay attention to the fact that the UK government has established a list of rules for entrepreneurs who are going to sell products or services online. Feel free to learn more about them on the UK government website.
2. Consider your business legal structure
After you get a visa, it’s completely legal for you to register a business in the UK. The next stage is to choose your business legal structure. Please note that it’s the amount of tax you will have to pay on your income that will depend on the choice of your business legal structure.
If you’re going to put your business under your name and you are not eager to engage third parties in your business management, a perfect option for you is to set up as a Sole Trader or create a Limited company.
3. Choose a name for your business
In accordance with the UK government, you can name a company in a way you want. It’s highlighted that you don’t actually need to register a company name.
Your company name may be required for invoices, business letters, etc.
When choosing a name for your company, pay particular attention to the fact that in case you set up as a Sole Trader, you must not include ‘Limited’, ‘LTD’, ‘LLP’, and ‘PLC’, be offensive, choose a name similar to an existing trade mark.
4. Open a bank account
To successfully run your business registered in the UK, you need to open a bank account.
If you are targeting not only the UK or US citizens only, we would recommend you open a multi-currency bank account for convenient currency exchange at favorable terms.
5. Register your business for tax
Here is one more measure you need to take in order to register your business in the UK and let it flourish: it’s a registration in the Tax Inspection.
As soon as you register a business in the UK, the government agency responsible for handling the national register of companies – Her Majesty’s Revenue and Customs HMRC will instruct you what you need to do if your business relates to tax matters, and you’re supposed to pay taxes.
NOTE: After you get a smooth start with your dropshipping business, you’ll need to do the following:
- Keep records of your business’s sales and expenses
- Send a Self Assessment tax return every year
- Pay Income Tax on your profits and Class 2 and Class 4 National Insurance – use HMRC’s calculator to help you budget for this
In fact, that’s it! As soon as you get through all these stages, your new business is supposed to receive a boost through lots of barriers, tax deductions, brand awareness issues, etc.
It doesn’t matter what country you’re going to target, It’s really a good idea to register a business in the UK in a pursuit of favorable tax conditions, governmental backing, and other benefits the British government is ready to offer. Moreover, it’s not supposed to take you lots of time and effort to appeal for registering a business in the UK: you’re only 5 steps away from getting a smooth start in dropshipping and creating a company in the UK 🙂
Read the source: https://alidropship.com/register-a-business-in-the-uk/