Skip to main content
Glossary

Glossary of UK company terms

Plain-English definitions of UK company terms: shelf company, dormant company, VAT registration, EORI, PSC, confirmation statement, registered office and more.

Last reviewed

Aged company
A limited company incorporated one or more years ago that has never traded. Its older incorporation date can help with some checks, but it has no trading or credit history. Read the guide →
Articles of association
The written rules for running a company: how directors are appointed, how decisions are made and how shares work. Most small companies use the standard “model articles”. Read the guide →
Authorised Corporate Service Provider (ACSP)
A firm registered with Companies House that can verify people’s identity and file documents for companies. Read the guide →
Certificate of incorporation
The document Companies House issues when a company is formed. It shows the company name, number and date of incorporation. Read the guide →
Charge
Security a company gives a lender over its assets, registered at Companies House. A shelf company should have none. Read the guide →
Commodity code
The code that classifies goods for customs. It decides the customs duty rate and any import controls. Read the guide →
Companies House
The UK government registry of companies. It holds each company’s public record: officers, owners, accounts and filings. Read the guide →
Company number
The unique 8-character number Companies House gives each company. It never changes, even if the name does.
Confirmation statement
A yearly filing confirming a company’s details (officers, shareholders, PSCs, SIC codes) are up to date. Due at least every 12 months. Read the guide →
Corporation Tax
Tax a UK company pays on its profits: 19% up to £50,000, 25% over £250,000, with marginal relief in between. Read the guide →
CT600
The Company Tax Return form filed with HMRC for each accounting period. Read the guide →
Customs declaration
The information given to customs about goods being imported or exported, usually filed by a customs agent. Read the guide →
Director
A person legally responsible for running a company and making sure it meets its legal duties. A UK company needs at least one director who is a person aged 16+. Read the guide →
Dormant company
A company with no significant transactions in its financial year. It files dormant accounts and a confirmation statement. Read the guide →
E-money institution
A regulated payments firm that holds customer money in safeguarded accounts rather than as bank deposits, for example Wise. Read the guide →
EORI number
Economic Operators Registration and Identification number: the ID UK customs uses for businesses importing or exporting. GB format is GB plus 12 digits. Read the guide →
Identity verification
The Companies House requirement for directors and PSCs to prove who they are, online with GOV.UK One Login or through an ACSP. Read the guide →
Import VAT
VAT charged on goods brought into the UK, usually at the same rate as on the same goods sold in the UK. Read the guide →
Incorporation date
The date a company was formed at Companies House. It stays the same when the company is sold. Read the guide →
Making Tax Digital (MTD)
HMRC’s rules requiring VAT-registered businesses to keep digital records and file VAT returns through compatible software. Read the guide →
Memorandum of association
A short statement signed by the first shareholders agreeing to form the company and take shares. Read the guide →
Nil VAT return
A VAT return showing zero sales and purchases, filed when a VAT-registered company did not trade in the period. Read the guide →
Person with significant control (PSC)
Someone who owns over 25% of a company’s shares or votes, can appoint or remove most directors, or otherwise controls it. Read the guide →
Postponed VAT accounting
A way for VAT-registered importers to declare and reclaim import VAT on their VAT return instead of paying it at the border. Read the guide →
Private limited company (Ltd)
A company owned by shareholders whose liability is limited to what they paid for their shares. The most common UK business structure. Read the guide →
Registered email address
An email address every company must give Companies House for official messages. It is not shown on the public register. Read the guide →
Registered office
The company’s official UK address on the public register, where legal documents can be delivered. It must be an “appropriate address”, not a PO box. Read the guide →
Share certificate
A document showing who owns shares in a company and how many. Read the guide →
Shelf company
A limited company registered at Companies House, kept dormant and never traded, so it can be sold. The buyer takes over its shares and becomes director. Read the guide →
SIC code
Standard Industrial Classification code describing what a company does. Shown on Companies House and updated through the confirmation statement.
Stamp Duty on shares
A 0.5% tax on share transfers paid for with over £1,000, rounded up to the nearest £5. Read the guide →
Stock transfer form
The form used to transfer shares from one owner to another (often called J30). Read the guide →
UTR (Unique Taxpayer Reference)
A 10-digit number HMRC gives a company for Corporation Tax. Read the guide →
VAT number
The 9-digit number (shown with a GB prefix) HMRC gives a VAT-registered business. It belongs to the company and stays with it when the shares are sold. Read the guide →
VAT registration threshold
The taxable turnover above which a UK business must register for VAT: £90,000 in a rolling 12 months since 1 April 2024. Read the guide →