CIMA BA4 Syllabus D. COMPANY ADMINISTRATION - The Procedure For Registering Companies - Notes 7 / 12
A company is formed when it is issued with a Certificate of Incorporation from Registrar: The following documents must go to the Registrar of Companies House first:
| Document | Description |
|---|---|
| Memorandum of Association | Historic record of initial subscribers |
| Application for registration | Name, address, members' liability & company type |
| Section 9 documents | Share capital and initial shareholdings |
| Statement of compliance | Statutory declaration of compliance |
| £20 | Registration Fee |
In order to form a plc theres more needed - A Trading Certificate - which needs:
to apply for a trading certificate which requires submission of the following evidence:
Allotted share capital is at least £50,000
£12,500 of which must be paid up
Details of promoters expenses
A statement of compliance regarding payment of nominal values and share premium
What if a PLC trades without the necessary documentation?
The transactions are still valid however
The company and its directors are punishable by a fine
After 12 months the company may be compulsorily wound-up and the veil of incorporation lifted.
"Off-The-Shelf" Companies
Here enterprises register a stock of companies and make them ready for sale
This enterprise will be the first secretary and director - however on sale - the registrar is informed of their resignation
So with no need for all the registration docs - its much easier