ready made company- under 18...

[matt_15]

Hello, I am looking for some advice, from all you experienced people!

I am 16 and i'm considering purchasing a ready-made-company. I have already weighed up the pro's and con's of ready-made companies; I am decided on a ready-made-company.

But because I am 16, this means that I dont count as a real person... and anything I sign can't be enforced in court. Or in other words it's useless.

How can I get round this un-neccesary obstacle? Should I get one of my parents to sign the relevant documents, so they become the shareholders, and I myself sign as a managing director. It is possible to become a director under the age of 18. But I'm not sure about signing as a company proprieotor; under the age of 18... Any help?

Thankyou.

 

[owbe]

You have to be 16 to be a director.

I'm 15, and my brother (21) is the 'Managing Director' but it's my company and I do all the work. Parent's arn't too impressed, but after I offtered to start paying a few hundred pounbds a year to rent the spare room for an office, they saw that I was doing well, and furnished it for me, and let me use it for nothing, provided I pay the internet and phone bill (I have a dedicated line for the office).

Certainly look into using older siblings, and parents are useful as well.

 

[Zeno]

If you are 16 then you can be a company director. You can also be a shareholder regardless of age. You should make sure you understand the difference between these as it is very important. There are numerous threads on the subject.

The trouble will come from entering into contracts with customers/suppliers, opening bank accounts and so on. Technically, it is the company that enters into contracts however you will still likely find these things a problem.

I would be wary of appointing an older relative to act as a director unless they will fully understand their responsibilities. Even if they have no involvement with the company they will still have duties, rights and responsibilities under company law.

 

[computerservices]

Do you really need to set up a Ltd company? Have you been running this business as a sole trader to begin with to see how it goes? It's a lot of hassle to set up a Ltd company to find out 2 month later your doing no trade.

Having said that, best of luck! It is hard work setting up business when you're 16 and it can seem age is the only thing against you. Work hard at it and you'll do well.

 

[matt_15]

Thankyou very much; everyone who replied.