Company trading question

[Newbie22]

Not the easiest question in the world…
I have a company called ABC Ltd which does all my day to day trading, i.e. paying and receiving money etc.. But I have another company called JJJ which has a world wide branding.. Basically, I use JJJ as a brand but invoice in the name ABC…
My financial year runs jan-dec etc.. and what I want to do is cease trading as ABC and start trading as JJJ as I feel this would be better for me in the long term. The company ABC is a limited company…
And because my other company JJJ is doing minimal trading if any, credit checks and other reports are coming back bad…. So I am looking at moving everything to JJJ… Is this an easy process? Can anyone advise on the necessary actions or what routes to look down for further information etc.
Thanks and regards
Newbie!

 

[QuickHomeBuyers]

I dont have any knowdelege but common sense says

I would start invoicing from JJJ

Unless ABC owns assests which you may want to transfer to JJJ.

Ask an accountant.

 

[elaine@cheapaccounting]

good lord - a bizarre set up.

My advice - get an accountant to discuss and sort this out.

With respect I am never sure why people set up multiple companies, with complex structures for pretty straight forward business affairs.

Tends to just cost in accounting fees! Plus your time in trying to work out how to operate it all

 

[GillespieBS]

If I understand correctly you trade through company ABC Ltd and have a dormant co called JJJ Ltd which is the brand name. This is not all that uncommon and larger companies tend to do it to protect the brand name. Running a dormant company does not cost very much.

Have you considered changing the company name of JJJ Ltd to JJJ (Holdings) or similar or just closing it down whilst simulatenously renaming ABC Ltd to JJJ Ltd? This would maintain/protect ABC's good credit rating and cost you very little to do?

 

[elaine@cheapaccounting]

be careful:

Holding A company wishing to use this word must be a holding company as defined under section 1159 of the Companies Act 2006. The Companies Act can be viewed on the publications page of our website at www.companieshouse.gov.uk

If the company cannot satisfy these conditions on registration, when it returns the application, it must confirm that it will do so within 3 months.

 

[Ozzy]

GillespieBS has just said pretty much exactly what I was going to say, but expanding on it...

I didn't pick up in your original post that JJJ is another Limited company, if anything I interprete your message that it is just a domain name or "brand" that you trade as. In effect a trading name (style) of ABC.

This being the case just change the name of ABC to JJJ as GillespieBS ha ssuggested. It is a pretty straight forward process but if you get stuck *plug* contact me.

 

[elaine@cheapaccounting]

And I assume you mean close JJJ down or rename to release the name to ABC.

My point was why register two companies in the first place (sorry Richard - less business for you I know ) but surely registering the domain name, brand, limited company all as one name would have sufficed?

 

[Ozzy]

No I mean reading the OP, he uses the term "company" but doesn't use "Ltd" for his JJJ business whereas he does mentioned "Ltd" for his ABC business. So I read into that as JJJ Ltd does not exist hence no company to close down, simply change the name of ABC Ltd to JJJ Ltd and job done.
No need for any new company formation in any case no matter what he does (the plug was we can help with the name change if needed - but as I say it is straight forward)

 

[elaine@cheapaccounting]

I think I have been reading posts on here too long - when someone says company I take it to mean just that. So I have assumed he has two and you have assumed he has one

Let's split the difference

 

[Ozzy]

Either way, he has the correct answer for whether he has one or two Limited companies