Companies trading as

[wood1e]

Hi,

I am looking into the legal ramifications of ABC ltd trading as XYZ Ltd

They are both separately registered as companys. Can the company ABC ltd have on its invoice etc, ABC Ltd trading as XYZ ltd. The shareholders and directors of both companies are the same. Also the XYZ Ltd will remain dormant, the shareholders of ABC Ltd decided to register XYZ ltd to stop anyone else having it.

So the trading company will be ABC Ltd, trading as XYZ Ltd, the returns done will be under the ABC Ltd.

Sorry if this is long winded, I just want to find out adn about this scenerio.

 

[Ian J]

ABC Ltd can trade as XYZ but not as XYZ Ltd

 

[Cornish Steve]

What about Doing Business As? Could only ABC be registered but use the name XYZ? Could ABC do business as DEF at the same time?

 

[Joyous]

A company can trade under a trading name other than its registered name but it cannot trade as another company.

So you could say that "XYZ is a trading name of ABC Ltd", but you can't say that "XYZ Ltd is a trading name of ABC Ltd".

I'm sure the legal bods on here will give you a fuller explanation.

Regards

Joy

 

[Joyous]

What about Doing Business As? Could only ABC be registered but use the name XYZ? Could ABC do business as DEF at the same time?

A limited company can do business as any number of trading names as long as its headed paper discloses it's actual registered name, usually as a footnote.

For example Diamond Insurance and elephant.co.uk are different trading names of Admiral Insurance.

Regards

Joy

 

[multilingual]

Might sound like an obvious question here, but if you only bought XYZ Ltd to stop someone else from buying it, and it will be dormant anyway, then why do you need to trade as XYZ anyway?

Why not just carry on as ABC and leave the other one alone?

:?

JB

 

[Joyous]

Might sound like an obvious question here, but if you only bought XYZ Ltd to stop someone else from buying it, and it will be dormant anyway, then why do you need to trade as XYZ anyway?

Why not just carry on as ABC and leave the other one alone?

:?

JB

Possible reasons that spring to mind are:

Want to use the name but don't want to have to go through the expense and compliance issues of accounting for a company that is no longer dormant.

Dormant companies can be excluded when completing group accounts and will not affect the tax bands for the small company rate.

Regards

Joy

Note to self- Get off this forum and do some work :roll:

 

[wood1e]

hi , many thanks for all that...I know the simple answer is to trade as one company or the other...but then I am not the business owner!!!