Initial Company Registration - online or form IN01?

[pastie321]

Hello,

First post so please be gentle....

I'm just registering my Ltd company and want to allocate different classes of Ordinary shares to my wife and son as follows:

Me - 80 Ordinary shares with full voting rights and right to receive dividends
Spouse and son - 10 'A' Ordinary shares with no voting rights but right to receive dividends

I've gone through the online registration process on the .GOV website, but stopped just before I pay my fee as it only seems to allow me to initially allocate Ordinary shares.

The alternative is to use the old IN01 paper form which has a more detailed section under the Statement of Capital which will allow an initial allocation of differing share types.

Is the only way to achieve this via the IN01 form? Higher fee for this route so wanted to check first.

[Darren at Fox-Bartfield]

Co Formation

Before @NLUK chirps in, have you spoken to your accountant about the share structure and whether it's appropriate?

[northernladuk]

No voting rights? Your son? Your accountant not doing it for you? Oh dear oh dear...

That is unless you're from Wales and 'your spouse and son' is one and the same person in which case it's not so bad.

[northernladuk]

Before @NLUK chirps in, have you spoken to your accountant about the share structure and whether it's appropriate?

and if he does think it's appropriate get a new accountant.

[stek]

Son!!

Investigation-tastic!

[northernladuk]

[pastie321]

No voting rights? Your son? Your accountant not doing it for you? Oh dear oh dear...

That is unless you're from Wales and 'your spouse and son' is one and the same person in which case it's not so bad.

I am Welsh as it happens, but I won't take offence.

Now get back on t'whippet ye rode in on and tek yer loaf of hovis back t'missus

[pastie321]

Thanks for pointing out the naivety on my part - I assume this is S660?

Is setting my son up as an employee and paying him a small salary to perform admin tasks a better option or will this also attract unwanted attention?

[northernladuk]

Thanks for pointing out the naivety on my part - I assume this is S660?

Is setting my son up as an employee and paying him a small salary to perform admin tasks a better option or will this also attract unwanted attention?

Bearing in mind it's a piss take then yes it will. Leave your kids out of your business. If you want to give them some money for working do it out of your own pocket. Don't make them your tax mules.

If you don't have an accountant, get one. If you do, spend more time talking to them.

[TheCyclingProgrammer]

Thanks for pointing out the naivety on my part - I assume this is S660?

Is setting my son up as an employee and paying him a small salary to perform admin tasks a better option or will this also attract unwanted attention?

How old is your son? If he's under 18, then you'll be liable for tax on any dividends he receives. If he's over 18, then not really any greater risk than giving shares to any other non-spouse.

If you want to pay your son a *small* salary for doing some work, then that might be OK, depending on what he does and what you define as small. Speak to an accountant.