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Can a sole trader own a dormant company and still trade as sole trader?

Discussion in 'Legal' started by imprint, Feb 16, 2009.

  1. imprint

    imprint Guest

    0 0
    I want to register a dormant company, mainly to protect the business name and to make sure that nobody else gets it. I currently trade as a sole trader and don't want to change status as it wouldn't make economical sense right now.

    From what I've read, registering a dormant company seems quite straight forward but I can't find any info that comes from the point of veiw of someone that's self-employed already.

    Cheers. :)
     
    Posted: Feb 16, 2009 By: imprint Member since: Jan 1, 1970
    #1
  2. Zeno

    Zeno UKBF Newcomer Free Member

    4,501 1,223
    Yes, there is no problem doing that.
     
    Posted: Feb 16, 2009 By: Zeno Member since: Jun 12, 2008
    #2
  3. i234i

    i234i UKBF Ace Free Member

    2,285 243
    I do this - Lease held by LTD Co.
    and i run as Sole Trader.

    Gives security.
     
    Posted: Feb 16, 2009 By: i234i Member since: Jul 16, 2007
    #3
  4. mahutchinson

    mahutchinson UKBF Newcomer Free Member

    1,058 110
    Your status as a sole trader is entirely irrelevant. Just make sure you reply to HMRC and inform them that the company is dormant so that they don't ask you for CT returns.
     
    Last edited: Feb 18, 2009
    Posted: Feb 18, 2009 By: mahutchinson Member since: Mar 17, 2008
    #4
  5. mrkeogh

    mrkeogh UKBF Newcomer Free Member

    1 0
    I have been working for a company for 3 years which has been registered as dormant since 2009. The company regularly took cheque payments in the company name from clients, but I beleive they where trading as a 'Group' of companies.

    The reason I ask is because the company director made all the staff instantly redundant leaving us with no income, we started a rival company and I informed some clients that the old company was 'NO LONGER TRADING'. The director of the old company is threatening me with legal action.

    Any advise would be much appriciated?
     
    Posted: Feb 6, 2011 By: mrkeogh Member since: Feb 6, 2011
    #5
  6. vik2009

    vik2009 UKBF Newcomer Free Member

    47 0
    Hi I did the same 4 years ago. I started trading as a sole trader to see If the business will work..after a year I saw it was progressing so I registered a limited company (to protect name)

    Now I am in a position to cease sole trader and activate limited company.

    Don't forget you will need to fill dca annually and a annual return for the limited company.
     
    Posted: Mar 24, 2011 By: vik2009 Member since: Jun 30, 2009
    #6
  7. DeanCo

    DeanCo UKBF Newcomer Free Member

    460 105
    A simpler and cheaper option would be to just protect your Trading Name. See http://www.start.biz/business_names/protection_information.php
     
    Posted: Mar 24, 2011 By: DeanCo Member since: Feb 19, 2011
    #7
  8. VeryMark

    VeryMark UKBF Newcomer Free Member

    1,610 235
    Registration of a dormant company will not protect your business name.

    You can register a name at Companies House but this gives no protection, it simply stops anybody registering the identical name in the same way.

    The register of business names run by the National Business Register at start.biz also has no legal effect or statutory authority, it is simply a private register run by a commercial company for profit.

    Trade mark registration, however, protects all forms of commercial usage of a name, whether as a company name, business name, product name, shop name, domain name, website name, in fact any form of commercial activity under the name which is likely to lead to confusion.

    Our website has plenty of free information and initial consultations are also free. Further information on the power of trade mark registration can be found here.
     
    Posted: Mar 24, 2011 By: VeryMark Member since: Sep 20, 2004
    #8
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  9. kulture

    kulture UKBF Legend Staff Member

    7,558 2,057
    All true, but it does not hurt to register the company domain name to make sure someone does not take it. It can save a lot of future grief for £2.99 a year.
     
    Posted: Mar 24, 2011 By: kulture Member since: Aug 11, 2007
    #9
  10. VeryMark

    VeryMark UKBF Newcomer Free Member

    1,610 235
    Oh I would agree entirely, kulture, always obtain domain name registration for the most obvious variations of your name to keep them out of other people's hands; it's simple and cheap and well worth doing.
     
    Posted: Mar 24, 2011 By: VeryMark Member since: Sep 20, 2004
    #10
  11. -Chris-

    -Chris- UKBF Regular Free Member

    195 6
    Hi Philip, I know it's an old thread, but still relevant. This is exactly the info I'm looking for. What is the lowest cost to setup the trade mark registration for the name of the company please?
     
    Posted: Feb 5, 2018 By: -Chris- Member since: Oct 1, 2009
    #11
  12. -Chris-

    -Chris- UKBF Regular Free Member

    195 6
    Hi, just to clarify, were you trading as a sole trader at the same time as having a dormant company, in the same company name as both?
     
    Posted: Mar 6, 2018 By: -Chris- Member since: Oct 1, 2009
    #12
  13. Scalloway

    Scalloway UKBF Legend Free Member

    13,233 2,862
    Vik was last seen 6 years ago.

    You can use the same name as your limited company, just don't mention the word limited. SO you can register ABC Trading Ltd and use ABC Trading as your sole trader name. You have to disclose your own name on business documents.
     
    Posted: Mar 6, 2018 By: Scalloway Member since: Jun 6, 2010
    #13
  14. -Chris-

    -Chris- UKBF Regular Free Member

    195 6
    Thank you very much Scalloway. So, in your example above, you could keep ABC Trading ltd as a dormant company, not transacting any money at all, and at the same time, conduct a business in the name of ABC Trading - as sole trader, transacting money?

    In general terms, how much does it cost upfront and annually to have a dormant company registered with Companies House? Paperwork - under 5 hours a year? Is anyone from any professional services needed when setting up the dormant company with CH? Like solicitors or accountants etc? Sorry for all the questions, I've never been down this route before.
     
    Posted: Mar 6, 2018 By: -Chris- Member since: Oct 1, 2009
    #14
  15. Scalloway

    Scalloway UKBF Legend Free Member

    13,233 2,862
    You need to do an annual confirmation statement which costs £13 to file online and file dormant accounts each year which can be done by filling in a few lines on a standard form.
     
    Posted: Mar 6, 2018 By: Scalloway Member since: Jun 6, 2010
    #15
  16. -Chris-

    -Chris- UKBF Regular Free Member

    195 6
    Thank you very much Scalloway, you're a gem.
     
    Posted: Mar 7, 2018 By: -Chris- Member since: Oct 1, 2009
    #16