COMPANY LIMITED BY GUARANTEE UK

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A company limited by guarantee is an alternative type of corporation used primarily for non-profit organisations that require legal personality.

COMPANY LIMITED

BY GUARANTEE

This is the type of company commonly used for a club or an association.This will have limited liability – the liability of its members being limited to the amount each member undertakes to contribute to the assets of the in the event of its being wound up, this is normally £1.

Very often this type of company will eventually register itself as a Charity with the Charity Commission and if you are considering this course of action we can prepare the Memorandum and Articles with this in mind, but please advise us when you order.

No shares are issued. This type of limited company has members. The members agree to contribute a membership fee or subscription, normally have equal voting rights and elect a board of directors. Any profits (often known as “surpluses”) are not distributed as dividends, but may be used to support the activities for which the club is formed.

Guarantee companies are all sent out by post and include a Company Register

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