Benefits of Electronic Incorporation

In 2001, Companies House introduced electronic filing for company incorporation documents - the next step in a continuing programme to move towards a fully electronic based information system.

This process utilises a state-of the-art electronic information delivery software system that can only be accessed by officially approved software. However, not only must the software used be properly authorised, but so must the presenter and user of the system.

Company Registrations Online Limited were one of the first few company formation agents authorised to use the system, and since late 2001, we have been successfully using the system on a regular basis. We now use this system for over 95% of our formations, and only some companies with designated “sensitive names”, guarantee companies and Limited Liability Partnerships are now submitted on paper. We are also unable to submit electronically for Scottish companies. To date, Companies House lists only around a dozen or so formation agents as approved users of this service.

So what does this mean for you, the client?

There are a number of key benefits:

• We incorporate over 95% of our companies within 24 hours. In fact, if you place an order before lunchtime, it will most likely be incorporated before close of business the same day.
• Electronic submission of information means that we can incorporate a company with the required director, secretary, registered office and shareholders. Instead of a signature on a form 288a for instance, an electronic signature is created by a PIN code created from the individual’s personal details. This means you don’t have to ask your clients to sign any forms at all. Of course, if you prefer, we can still appoint our nominees as we have done in the past, and have you supply signed 288a forms.
• With directors appointed and all their details lodged at Companies House at the moment of incorporation, there are no delays in opening a bank account. This was previously a common problem, as the bank would otherwise delay opening a new account until Companies House could verify the directors - an event often delayed by the postal submission of 288a forms.
• Subscriber shares are held by the appropriate shareholder, thus eliminating the need to raise stock transfer forms. Consequently there is no potential future confusion over the status of subscriber shares.

most importantly

• these benefits come at no extra cost to you