Blog

The director and the company secretary will usually change the life of a company. Changes can arise however, for a variety of things such as:

• Reaches retirement;
• The director's death
• Resignation due to prolonged illness;
• A director resigning to move to a new job;
• A disagreement that leads to corporate shareholders - for example, where the main shareholders re-appoint a director or a vote to remove a director from the company;
• Not seen as suitable as a leader.

How do I resign as a director?

In the first place to find answers, is the director`s service contract. This will help in answering questions on resigning as a director of the company. There will be both a time of notice needed, as well as other procedures.If the service contract is silent, the company's Articles of Association is a good guide on director resignations. Sometimes, the company board may be needed to approve of a resignation leaders - that can create unforeseen issues for small companies that, especially where there is some problems among the board.

It is a duty for the company to tell Companies House

In some circumstances, the director may also want to send the notice to the company registered office address - this will be useful where the content is or when the director believes that the company will soon update its records and notify Companies House of resignation. It is necessary to remember that it is a duty of the company, not the resigning director, to inform Companies House.

When a director resigns, they will usually have to think about other issues, such as:

• Is he or she a shareholder? If this is the case, then it is best to check for an agreement under the Articles of Association if the shares can be transferred.
• Have there been loans made to the company and need to be cleared?
• Does the company owe the leaving director any amounts?
• In many cases, the leaders (as well as the company) may seek legal advice on the matter.

How does the company manage after the director leaves?

The Director shall be required to serve a period of three months or more, and therefore the company will have plenty of time to become familiar with the change. However sometimes, for example, it can be quick and unexpected – take for example a sudden accident or death. Guidance and planning is therefore necessary for the company and it is best if this can be achieved in a way any disruption to a minimum.

When a director leaves, the company will need to consider:

• Will the work be covered appropriately in the interim period?
• Leaving agreement requirements;
• If the resigning is stop all work with the company directly or to go on leave indefinitely;
• Making it known to the bank and removing the director of the bank`s details and other mandates;
• Letting the staff know, as well as suppliers and customers;
• Letting Companies House know of the change;
• Talk with the officers' liability insurers;
• If the person is a company secretary, then there will need to be a change to the role;
• If this person is the only director, then a change will soon need to be in line with the needs of Companies Act 2006.

The company must report to Companies House within 14 days. Whatever outcome for the company, there must be communication with Companies House within 14 days of the date of their leaving. This is done by the showing forms TM01 for directors or TM02 for the company secretary.If you would like to discuss your company formation needs please contact Your Virtual Office London today. We have a wide range of industry experts who can help discuss any of your business needs, we have developed a broad range of professional services tailored for the start up business.

The area of public liability insurance can take on specific requirements, so if you`re not sure, then you should contact your local authority.For many industries, though, some customers or clients will need to be presented with proof of public liability insurance from yourself. When working with local authorities or other government institutions, this type of insurance is particularly common. Local authorities often require a minimum of £ 5 million of public liability cover.

The level of public liability insurance cover

Determining the level of cover required by insurance companies or insurance brokers can be difficult to determine. It depends on:

• The nature of your business;
• Members of the public and the dangers posed to your business premises and operations;
• Size or turnover of your business;
• The type of customers;
• The number of people you employ;
• Your insurance claims history.

These factors will also affect the cost of insurance

Reduce the likelihood of a claim and therefore carry out a proper and regular risk assessment to help keep the cost low. Minimise the chance of accidents by taking appropriate controls and have regular risk assessments completed and put in place.

Why insurance?

Everything is always understood and under control, even when business customers, visitors or others are involved in an accident that causes injury or loss of earnings. Should such an accident occur in which your business is responsible and you are not insured, the costs can be significant. If your business is unable to meet the expenses, it also gives you a bad name, and it may be hard for you to find new business in the future.If you found this blog interesting you can read more interesting and informative blog posts in our Your Virtual Office article archive library.

It could be said that the audit report is the most important aspect of the entire work process. You may have selected the correct area, evaluated the results effectively, analysed in depth the controls and recorded results elegantly in referenced work; but if the report does not reflect this excellence, you will not get the desired success. The internal audit report is perhaps the only tangible product that management can see in the work of this department.If you want to significantly improve the quality of your reports, apply the following tips:

1: Be Brief

The Brevity is probably the main key factor or characteristic of an excellent report. Brevity is not only about the number of pages to include in the report, but also to present only those aspects that are crucial for the user using the fewest words possible.

2: Highlight the Main Message

Readers prefer that the main message is placed first, and then read the reviews, details and explanations that support the main message. Studies on comprehensive reading support the basic principle of placing the main message first. These studies show that users absorb more information and better remember the details when the key message leads writing. The structure of the report should be developed intentionally and openly to push the main message forward.

3: Divide the Report Sections

Many users do not read the full report. They jump and fly to certain sections of the report, seeking the information they need. The high-level users read the opinion (or conclusion) and stop there. Depending on the severity of the issues, the manager`s responsible for the area under review, the opinion, observation posts and recommendations - but could not read the comments completely.Readers are selective, so we should not view the reports as a continuous text, but as a series of layers or sections. Each section allows the reader to delve into more details and explanations, depending on your needs. A high-level message must lead each section. Then continue the supportive comments, summary`s and details.

4: Present a Clear Conclusion

This is essential. You need to ensure that the reader clearly understands what you think about the effectiveness and efficiency of the area under review. The need to develop a statement of opinion and being concise is the best way to achieve this goal.The findings may relate to the whole area of work or only certain aspects. They may cover issues such as determining whether the goals and objectives of programs and operations are consistent with those of the organisation. The opinion may include an overall assessment of controls or may be limited to certain controls or aspects evaluated during the internal audit work. For more expert advice on this, you can speak to an accountant today, Your Virtual Office London work with experienced and qualified accountants who are able to help with such important matters.

5: Effective following up on corrective actions

A draft internal audit does not end until the recommendations are implemented.The internal audit activity can be monitored effectively by receiving and evaluating:

• The management responses and the proposed observations and recommendations during the engagement or within a reasonable time after communication of the results. The answers are more useful if they include sufficient information to evaluate the adequacy and timeliness of the proposed actions.
• Periodic updates from management in order to evaluate their efforts to correct the observations and implement the recommendations.
• Information from other organisational units that are assigned responsibility for monitoring or corrective action.

In this guide, we take you step by step through the simple process of changing your limited company's name.Before filing a request to change the name:You first have to get permission to make changes before submitting the application to allow the change. A special resolution has to be passed, whereby all shareholders accept the change of name. This resolution is an effective way to formalise the approval of all those involved in varying degrees.1: You can customise and use the new name of the shareholder meeting to approve the name change. If you're a private company, it is necessary to organise a meeting of shareholders to approve the new name.2: After approval of the new name, change the name of the application you are ready to fill in and send it to Companies House. However, the implementation of this method takes a week or more.Instead, most companies now choose to apply directly online using simple dedicated solutions. Approval in general, just three hours on the Internet, the files can be obtained via Companies House. In just 3 simple steps you can complete and send the application directly, using the company's name change:3: Online applications are much faster and more reliable than the using Companies House via paper form. It varies depending on the number of applications received by Companies House at the time though - usually it can take just 3-5 hours for approval. This is to change the name of the company once the application is completed. Just remember to check the details before pressing "submit"!Getting started is easy. Just register for free, and then on the screen follow the instructions to complete the process of setting up your company. Changing this information is as easy as 1-2-3!Your Virtual Office London are a leading virtual office and company formation agent located in the heart of London, our services are designed for small businesses and new start up fledglings. Our wide ranging products have been expertly produced to help maximise the businesses chances of success in its early years of trading. Utilising our virtual office service can really help boost the chances of first year survival. Our corporate virtual mail forwarding address presents a professional image to your client, through use of a prestigious mailing address.A virtual office is a cost effective way of having a corporate address in London without the associated high costs of renting an office address. If you would like to find out more about our services please feel free to email or call our team, we are always happy to help.

If you've just set up your business, you should hold a board meeting of the new limited company. It is generally considered best to do this within a month of forming the company. As in all meetings of the board, you should produce the board minutes of the first meeting between the directors.The first meeting of directors should allow those present to discuss new commitments referred to in the Memorandum and Articles of Association. While there will be some similarities, the issues discussed at the first meeting of the board will vary between different companies. The following list, however, contains a number of issues discussed at a typical first meeting of directors:

• Appointment of Chairman
• The details of the formation of the company
• Disclosure by directors of the Company of any interest in contracts
• Appoint auditors
• Appointment of bankers of the Company
• Specify the date of the accounts
• Details of the initial capital of the company and the registration of members
• Register with HMRC VAT, payroll, etc.
• Other items of interest to the company
• Arrangements for the next meeting of the directors

It is a legal requirement to record what was discussed at the meeting and it is required as a formal record written over time. This document is the first minutes of the directors meeting.Although we must adapt our model of the meeting minutes to match the original contents of the first meeting of the board, you'll have a good idea of the kind of things that should be included in the following documents for minutes.

Minutes of the first meeting of the board

A copy of the minutes will be distributed to each of the directors present at the same meeting. Depending on the precise content of the meeting, there may be documents that must be filed with Companies House.You must be available for inspection at the registered office of the company (or single alternative inspection location if selected).Going forward, you should also make arrangements for the regular meetings of directors and for writing files, which will be generated for each meeting.Your Virtual Office London are experts in company formations, we offer specialist services for small businesses in the UK, Europe and the Rest of the World. Our services comprise of creating a London corporate business image, through prestigious mail forwarding services and business class call handling. Your Virtual Office London also provide other services such as fast track Barclay's business banking, company accounting and website design services for small companies. We have an experienced team on hand ready to take your calls, if you enjoyed our blog post you can find more interesting articles on our blog page.

When setting up a company with family or friends, it is easy to assume that in the future nothing can go wrong. We hope that in the future nothing can go wrong. However, family members and friends fall out, and if the worst should happen, you may end up with nothing.Therefore, you should focus on the business of the company in order to protect your own investment and consider the introduction of a shareholders agreement.As you might expect from an agreement between the shareholders of the company, it`s important to establish a reasonable relationship between the shareholders for its purpose, to help protect the investments of the company's shareholders.

The agreement will be:

• Sort out the rights and duties of shareholders.
• Control the company's shares.
• Describe how the company operates.
• Protect minority shareholders of the Company.

Without the agreement, minority shareholders (less than 50% of shares) will not have much control or say on how the company is run. There are laws that provide limited protection of minority shareholders, but it can be expensive to implement and would not achieve the desired compensation.A majority shareholder who wants to sell their shares may come up against a minority shareholder who doesn't agree. Therefore, the majority shareholder can force minority shareholders to sell their shares, known as a ‘drag along`. This is an important arrangement, but of course, the sales price and other fees for all shareholders, including minority shareholders, have to be fair.It is always a good idea to put together a shareholder agreement as early as possible, usually close to the formation of the company to avoid confusion. For everyone on board to have a shared understanding can really make all the difference further down the line.Your Virtual Office London are experienced company formation agents. We have been forming companies for over 40 years and have a vast amount of industry experience when it comes to the more intricate parts of limited companies and the best way to run them. A shareholders agreement is a very important document and we are able to help assist in the formation of a company and the creation of such mentioned agreements.

Some companies have been inactive since the day they were formed. Many companies, however, will actively pursue activities for a while, but not the trade side - at least for a period. These businesses may be eligible to become dormant. This is a status where the responsibilities of the current company presentation will be reduced. To become inactive, there are first some things that the company will have to do. First, however, it is worth thinking if it's right to make your company dormant.You should also be sure that the best option is not only to dissolve the company. If you are sure that you will not trade again in the future, there is usually little benefit in keeping the company in existence. While latency can greatly reduce the effort and cost involved in maintaining the business, there will still be some time and expenses required.

What should I do for my business to become dormant?

• Pay outstanding bills and cancel others. These prospective business contracts may, for example, include the rental of buildings and equipment, insurance, utilities, telephone and Internet services used previously.
• Reconciling the amounts received as a result of the customers. All payments to be made to customers to deliver products and services.
• Pay the VAT due to HMRC and (usually) cancel the VAT registration of the company.
• Reconcile wages owed to employees and close the scheme company payroll.

While sifting through all documents and data can be time consuming, it is important to, because if you choose to continue paying for utilities or insurance, the company is still active in the eyes of HMRC, so be careful what you choose to delete or shred.

How do I tell HMRC my company is now inactive?

To confirm with HMRC, you should contact your Local Tax Office, indicating the date on which the company has been, or will be, inactive.HMRC then go to their head office with a "Notice to a provider of Declaration." This refers to the duration of activity immediately before the company became dormant. You must complete and file the return and pay any tax due.HMRC will normally confirm in writing within three weeks. From the date your company is dormant, HMRC stop treating your business as active - this means that you will not receive a lot of correspondence from them and in most cases, you will not need to, until the re-trading of the company (if you choose to) begins.

Do you need to inform Companies House?

You do not have to tell Companies House that your business is inactive until it is time to establish your accounts to them. Remember, the full accounts for the period must be presented as usual.For the first full year for which the company is inactive, you need to present the simplified accounts within 9 months of the accounting reference date. This can greatly reduce the administration and preservation of the company and is the reason many people make their business inactive.On a continuous basis, dormant companies must remain a number of other Companies House filing requirements, including:

• The annual return, which differs from the accounts, but must still be submitted.
• When a new director or secretary of the company was appointed or terminated an appropriate form needs to be sent off.
• The changes in the registered office of the Company or, if available, a SAIL address should be submitted on the form.

What if the dormant company will be active again?

Most dormant companies will become active again at some point in their lives. If your company is (for example, starting with trade), then you must notify actively within three months. The easiest way is to contact HMRC and inform them that the company is now active. There is also an online registration service of HMRCYour Virtual Office London are leaders in company formation and professional services since 1971.

Public liability insurance is crucial for business owners who own or rent retail space to have. This is because customers, suppliers or other people, including members of the public will frequently visit your premise and it is especially important if you or your employees have direct contact with them while on the job.If they are injured or if the property is damaged as a result of your business activities, then claims can be made, even if passers-by are affected.Public liability claims against your business can be made by members of the public as a result of a range of accidents in a variety of places such as:

• Your business premises;
• If you operate your business from your home;
• A customer's home or their place of work;
• An off-site event or activity organised by your business.

If the insurance for your business is found to be responsible, to which members of the public claim compensation for any damage, injury or death, then you will be covered for certain aspects of your business. These include:

• Loss of earnings;
• Correcting any damaged or broken goods;
• Their medical fees for injuries;
• Your legal costs.

This more than any claim by you or your business will need to pay the total amount payable by the insurer under the policy, and will be limited to a set amount.Public liability insurance for your employees, such as any death, injury or loss does not cover your business. The premises however, are covered by employers' liability insurance.

Examples of public liability claims that may arise:

Trips, slips and falls are the most common claims for compensation, but such claims may have to factor in other events too. The public liability claims against your business can be witnessed in events from the following examples:

• A customer in your store trips over a box, which causes injury and they are left lying on the floor;
• Your employee causes injury to a customer by spilling a drink on them;
• Someone slips on a handrail and falls down some stairs;
• Trips from repairs being carried out, such as exposed piping, carpentry work etc.
• Trip hazards from tiles coming off the floor;
• Tiles from the roof being unstable and causing injury;
• Your electrics are wired incorrectly and they cause a fire in a customer's home;
• A customer suffers from food poisoning after eating at your restaurant.

If you are starting a business Your Virtual Office London can help you get off on the right footing. We provide professional business services to small and start up businesses, our services include mail forwarding, virtual office, telephone answering, company formations and accountancy services. We aim to provide a wide range of diversified services which are vital to most small businesses. Your Virtual Office London have been providing important corporate services for over 40 years and are leaders in the business support industry. If you are interested in finding out more about our services please do get in touch with us today.

Whitbread has experienced a large sales growth in the first half of 2014. Strong figures from Costa Coffee and Premier Inn have helped Whitbread see a huge rise of 12.8% in new sales.Costa Coffee saw a large increase in sales up 7.3%, Premier Inn also saw a large jump to 9.2% increase in the first half of the year.Premier Inn has increased its market share; total occupancy has hit a new record high for the company and is looking to open 4,500 new rooms in the coming year.Costa is also on the expansions radar, it is looking to open 76 new Cota stores inside the UK and a further 300 stores worldwide. Global sales were up 15.3% which in monetary terms is £602.4 million.

Having a online success in business is difficult nowadays, but not impossible. Creating a business plan is one of the best steps that should come first. The importance of the business plan is that it helps to launch ideas into action. Ideas are what separate success from failure much of the time, so rushed ones will not suffice.In difficult times, no one is guaranteed financial success, especially those with poor ideas. To avoid being part of that group of people who set themselves unrealistic targets, who make excused, or those that procrastinate, you need to eliminate thoughts such as:

• I can not create an online business, it is something only for very smart people
• I've already tried it and it didn`t work
• I can`t pay for the product, I'm broke
• It's too hard for me ... you have done it because you are geniuses!
• To make money online? It is impossible. ... it may not work
• This is not for me, I'm happy as I am
• That's all talk ... tell me how to get rich quickly without working much

The important thing is not to get to retirement age and realise that you have not tried, and lost too much time in your life doing something that didn't allow you to live as you dream.Obviously creating a business online is not the only way to get to get rich, there are many other options, and what really matters is that you work hard and consistently to get it.There is an effective formula for becoming a successful person, for a person to get a windfall throughout his life, and it is therefore necessary to have beneficial and real ideas to achieve good profits.Your Virtual Office London can help your new business flourish and thrive. We provide innovative business services aimed at professionals and business owners. Our wide ranging product portfolio can help your business idea turn into a reality sooner than you may think. We provide company formation services to help get your business idea up and running and we then help to improve the chances of success in the first year by offering complimentary services to enhance your corporate image. Our virtual office services can really boost your companies image, it gives your company a real presence in the heart of London.Our mail forwarding service can help give your business the London look, if you want to impress clients there is no better way then showing them a business card or website address with a prestigious London address. It adds instant prestige to any business and it helps you save costs when compared to renting an address in London for a physical office space. Similarly a registered office address can help make sure your Limited company has an official address in London providing your company with a corporate image in a commercial area of the city.