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UK Company Formation

A UK limited company is one of the quickest and cheapest entities in the world to form, and can be done entirely remotely. The care is needed in what follows — UK filing obligations, and the Indian reporting on the other side.

Starts at ₹4,999 advisory + Companies House and agent fees at actuals

Formed in 24–48 hoursNo UK residency neededIndian ODI covered

Why Indian businesses incorporate in the UK

A private company limited by shares is the standard UK vehicle. It can be incorporated online through Companies House, generally within a day or two, at a modest fee, with no requirement for any director or shareholder to be a UK resident.

For Indian businesses the usual motivations are credibility with UK and European customers, access to UK banking and payment infrastructure, a familiar contracting entity for enterprise buyers, and a base for European operations.

The UK is a transparent, well-regulated jurisdiction rather than a low-tax one. Corporation tax applies to profits, accounts are filed publicly, and the register of persons with significant control is open to inspection. It is a good place to do business and a poor place to hide anything.

What you get, and what it requires

Fast, remote incorporation

Formation is typically complete within twenty-four to forty-eight hours, entirely online.

No residency requirement

Directors and shareholders can be resident anywhere. A UK registered office address is required, which can be provided by an agent.

Credibility in Europe

A UK entity is a familiar counterparty for European customers and simplifies contracting and payment.

Public filing obligations

Annual accounts and a confirmation statement must be filed, and become publicly visible on the Companies House register.

Corporation tax

UK corporation tax applies to company profits, with a lower small-profits rate and a main rate above a threshold.

Identity verification

Recent UK reforms have introduced identity verification requirements for directors and people with significant control.

Documents required

To incorporate

  • Passport copies of directors and shareholders
  • Residential address of each director and shareholder
  • Proposed company name and SIC code for the activity
  • Registered office address in the UK
  • Details of persons with significant control

For the Indian side

  • PAN and address proof of the Indian resident investor
  • Source of funds documentation
  • Proposed shareholding and investment amount

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How it runs

  1. Structure adviceDays 1–3

    Whether a UK company is the right vehicle, how the shareholding should sit, and what it means for your Indian tax position.

  2. IncorporationDays 3–5

    Filed with Companies House with the registered office and PSC details.

  3. Post-incorporationWeeks 1–3

    Corporation tax registration, and VAT registration where you expect to cross the threshold.

  4. BankingWeeks 2–8

    UK bank or fintech account opened. Non-resident directors should expect more diligence here than at incorporation.

  5. Compliance calendarOngoing

    Accounts, confirmation statement, corporation tax return and the Indian reporting all diarised.

Transparent pricing

Advisory

4,999

structure and tax opinion

  • Structure recommendation
  • UK and Indian tax position
  • Substance considerations
  • Written opinion
  • Formation handling
  • Annual filings
Choose Advisory
Most popular

Formation

24,999

incorporated and registered

  • Everything in Advisory
  • Companies House incorporation
  • Registered office for year one
  • Corporation tax registration
  • Banking introduction
  • Annual accounts
Choose Formation

Managed

74,999

per year, both sides

  • Everything in Formation
  • Annual accounts and confirmation statement
  • Corporation tax return
  • VAT returns where registered
  • Indian ODI reporting and Schedule FA
Choose Managed

All prices are professional fees exclusive of GST at 18%. Government fees and stamp duty are charged at actuals and shown before you pay.

What to get right

Incorporation is easy; the filings are not optional

A UK company must file annual accounts and a confirmation statement with Companies House, and a corporation tax return with HMRC. Late filing attracts automatic penalties, and persistent failure leads to the company being struck off — with any assets, including bank balances, potentially passing to the Crown.

Your accounts are public

Companies House filings are open to anyone. Small companies file abbreviated accounts, but the register of directors and persons with significant control is visible, along with residential addresses unless a service address is used. Founders expecting privacy should understand this before incorporating.

Identity verification requirements

UK company law reform has introduced identity verification for directors and people with significant control, tightening what was historically a very light-touch regime. Overseas directors should expect to complete verification, and should plan for it rather than being surprised by it.

Where the company is managed matters

A UK-incorporated company is UK tax resident, but if it is in substance managed and controlled from India it may also be treated as resident in India, creating dual residence resolved under the treaty. Incorporating in the UK while running everything from Bengaluru is not a neutral act, and should be structured deliberately.

Indian obligations continue

An Indian resident holding shares in a UK company must route the investment under the Overseas Direct Investment framework or the Liberalised Remittance Scheme, and disclose the holding and any UK bank account in Schedule FA of the Indian return every year.

Incorporation and filings are handled through Companies House, with tax administered by HM Revenue & Customs.

Running the company

In the UK: annual accounts to Companies House, the confirmation statement, the corporation tax return to HMRC, and VAT returns once registered. Dates are driven by your accounting reference date, which is set at incorporation.

In India: report the overseas investment, disclose the shareholding and any foreign bank account in Schedule FA, and include dividends or salary in your Indian return with treaty relief where applicable.

Where the UK company transacts with an Indian entity you also control, transfer pricing applies in India and the intercompany agreement should be in place before the invoices are raised.

Frequently asked questions

Can an Indian resident form a UK company?

Yes. There is no residency requirement for directors or shareholders. A UK registered office address is required and can be provided by a service agent.

How long does it take?

Incorporation is usually complete within twenty-four to forty-eight hours. Bank account opening takes considerably longer and involves more diligence for non-resident directors.

What are the ongoing UK obligations?

Annual accounts and a confirmation statement filed with Companies House, and a corporation tax return with HMRC. VAT returns apply once you register. Late filing attracts automatic penalties.

Are the accounts public?

Yes. Companies House filings are open to public inspection, as is the register of directors and persons with significant control. Small companies may file abbreviated accounts.

Will I pay tax in both countries?

Possibly, with relief. A UK company pays UK corporation tax on its profits. As an Indian resident you are taxed on worldwide income, with foreign tax credit available under the India-UK treaty.

Do I need to report it in India?

Yes. The investment must be routed under the Overseas Direct Investment framework or the Liberalised Remittance Scheme, and the shareholding and any UK bank account disclosed annually in Schedule FA.

Reviewed by Vijay DhawanManaging Partner, LexVerge LLP · reviewed for accuracy under the Companies Act, 2013 and current MCA/GST/Income-tax rules

Official references

The statutory sources behind this page. We keep our guidance aligned to them — verify anything time-sensitive directly.

Content on this page is reviewed by a chartered accountant or advocate at LexVerge LLP. It is general guidance, not advice on your specific facts.

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