IT Contractor Tax Limited Company Accounts Accounting

Free impartial start-up advice
From pcg.org.uk, the association
supporting freelance contractors

Can anyone become a limited company director?

Posted Oct 14, 2009

Are there any restrictions on who can become a limited company director, and do you need any qualifications?

The UK is well known for the ease with which you can set up a new business. You can form a limited company online within a matter of minutes, and have the entire incorporation validated by Companies House in a matter of hours during the working week.

Alongside various naming restrictions, and rules governing the running of UK companies, there are also some legal restrictions on the appointment of company directors.

Broadly speaking, unless told otherwise by the Courts, you can become a director unless you are:

1) Disqualified from being a company director
2) Bankrupt
3) Under the age of 16

All limited companies must have at least one director, and may also decide to appoint a company secretary (although this is optional).

You do not have to have any specific qualifications to be appointed as a company director or company secretary, although you should be aware of your responsibilities as a company director before taking the position on.

It is worthwhile reading the Companies House guide to company incorporation and naming rules.

Please scroll down for related articles

Contractor Services


Related Articles

Contractor limited company naming tips
If you have decided to contract via your own limited company, one of the first tasks you need to do is choose a suitable name for your new enterprise.

Limited company contractors - what are dividends?
A guide to dividends for contractors and small businesses. How to calculate them, when to distribute them and what paperwork you need to complete.

Contracting via a limited company - advantages and disadvantages
We look at the advantages and disadvantages to contracting via a limited company, the most tax efficient way to contract.

As a company director, can I keep my home address private?
As part of the final implementation of the Companies Act 2006, limited company directors can now provide a 'service address' to appear on the public record, and keep their residential address private.

How to change the name of your limited company
At some stage during your contracting career, you may decide that you would like to change the name of your limited company.

How to incorporate a limited company
If you are thinking of contracting via your own limited company, there are typically three ways of incorporating your new company.

Companies House and limited company contractors
Limited company contractors will communicate with Companies House in a number of ways each year, from submitting their annual returns, to providing company information updates.

Steps to becoming a limited company contractor
If you have decided to set up as a limited company contractor, there are a number of steps you will need to take before you're ready to start in business.

Can anyone become a limited company director?
Are there any restrictions on who can become a limited company director, and do you need any qualifications?

Limited company dividend vouchers and board meeting minutes
A limited company must record its intention to issue dividend payments via board meeting minutes, and issue each shareholder with a dividend voucher. A simple guide to getting the paperwork right.

New Companies House forms for limited company contractors
Limited company contractors will need to get used to a new set of forms when they inform Companies House of any changes to their circumstances.

Limited company contractors - Companies House form changes from 1st October 2009
Many of the forms limited company contractors have previously used to interact with Companies House will change format on 1st October 2009 following the final implementation of the Companies Act 2006.

How do I switch from an umbrella company to a limited company?
Moving from an umbrella to limited company structure should be a hassle free process - here are some things to bear in mind before making the move.

Companies Act changes for limited company contractors
Limited company IT contractors should take note of the latest implementation of Companies Act changes, which come into force on 1st October 2009.

How to set up a limited company
How to set up a limited company - what the legal requirements are, and your responsibilities as company director.

Qdosconsulting