9 Reasons To Register A Business In The UK

You probably wouldn’t mind registering your business in the UK, but have you ever seriously considered it?

Just ask yourself this: If the process were simple enough for me, would I want to take advantage of the ample opportunities in the United Kingdom and register my business there?

A lot of entrepreneurs have asked themselves this question recently, which explains why they’re taking the right steps and expanding into the UK.

You can do the same.

In this article, I’m going to show you what you’ll gain from having a business in the UK, why it’s easier to run a business in the UK than in most developed countries, and why you should start the process now.

The United Kingdom has been ranked as the best place to live in Europe by the Economist Intelligence Unit (EIU). It’s also home to many successful companies, which makes it an attractive location for new ventures.

So you are not alone. There are other start-ups like yours in the country, and more importantly, they’re all getting the right support.

Let’s get started.

 

Top 9 Reasons To Register A Business In The UK

What advantages does your business have in the UK?

1. The UK has one of the lowest corporate tax rates in Europe.

 

Just like almost every other country round the globe, European countries require businesses to pay corporate income taxes on the profits they make.

But the UK’s corporate tax rate of 19% is the lowest among leading economies in Europe.

It is lower than the rates in

• Germany
• France
• Spain
• Portugal
• The Netherlands
• Italy

In fact, the country has the lowest corporate tax rate in Western Europe after Ireland. This means that in the UK you will pay less tax than you would in other countries.

The chart below shows corporate tax rates in Europe.

 

 

 

And not just in Europe either. The UK’s 19% corporate tax rate is far lower than the global average of 23.5%. It is also lower than the US average combined federal and state rate of 25.9% and is in fact the lowest in the G7, the world’s seven largest economies.

Here’s a chart showing maximum corporate tax rates among the G7. The United Kingdom is noticeably at the bottom.

 

 

2. There are tax reductions for SMEs.

 

The UK’s low corporate tax rate of 19% is scheduled to increase to 25% in April 2023. (Regardless, it will still be the lowest corporate tax rate among the G7.)

But here’s the good news for entrepreneurs: companies with less than £250,000 in profits will continue to be taxed at 19% – which is a reflection of the UK’s policy of supporting start-ups and small businesses.

This tax reduction will enable small business and start-up owners to work in a prime environment while paying rates that are among the lowest in the world.

 

3. The UK personal income tax is among the lowest in advanced countries.

 

If you’re registering a business in the UK, you won’t have to pay corporation tax unless you register as a limited company.

This means that you’ll only have to pay a personal income tax – that is, money charged on your personal earnings in the UK.

And although European income tax rates have been known to be among the highest in the world, British income earners actually enjoy among the lowest personal tax rates across Europe, the US and Australia.

The reduction in their income on a tax basis is roughly the same as in the US and Australia. It is roughly the same as in Spain as well, but a long way below that of other European bigheads like Germany and France.

The map below shows top personal income tax rates in Europe. Again, the UK is on the lighter side, showing that earners in the UK pay far less than their counterparts in most other countries.

 

 

 

4. The UK shows a lot of support for small businesses.

 

Another reason why people choose to register a business in the UK is the government’s support for small businesses.

The UK government offers grants and loans to help with setting up new companies. These schemes are available to both sole traders and limited companies. Besides, they are pretty straightforward. You can find out more about them on the UK government’s website here.

There are also tax reliefs and incentives available.

In order to promote fast-growing, innovative products and services, the government provides tax reliefs and incentives for businesses that handle projects making new advances in science.

If your business is working on a project that promises an advance in science and technology, it might be eligible for such benefits.

Find out about the criteria here.

It might also be eligible for one of multiple government-sponsored schemes available for SMEs. The detailed information is on this webpage.

All of this support is very attractive to entrepreneurs from different parts of the world.

 

5. The UK has advanced digital infrastructure to help your business grow.

 

The UK is one of the most technologically advanced countries in the world.

It has superb digital infrastructure that will help you scale up your business. With the right moves, you will be able to compete on a global level.

 

6. You’ll have access to major markets in Europe and North America.

From the UK, your business will be well placed to offer its products and services to a strong European and North American market with a lot of purchasing power.

In other words, there will be a lot of people willing and able to pay for the quality you provide.

 

7. It gives your business prestige and a reputation boost.

 

Registering your business in one of the world’s most advanced nations not only enhances the prestige of the business but also gives it a reputation boost.

You’ll be associated with an environment in which multiple world-changing industries and ideas have been established – and where many leading companies in the world are located.

Moreover, people trust the United Kingdom, in terms of business credibility, and people will come to trust your business too.

 

8. Owning a business in the UK can aid your visa application.

 

There are a number of business-related UK visas.

The Innovator and the Start-up visas require you to open up and run a unique business in the United Kingdom. With the Innovator visa you can apply for settlement in the UK after three years.

Under the Global Business Mobility bracket, there are the UK Expansion Worker visa, the Service Supplier visa and the Senior or Specialist Worker visa.

Besides, if your business kicks off and makes a significant impact, you may have an easier time fast-tracking any applications to the United Kingdom by showing them your positive achievements in the country.

 

9. It is easy to register a business in the UK.

 

The restrictions to starting and registering a new operation are pretty low in the UK compared to other developed countries.

You do not need to live in the UK to register a business there.

Moreover, a company like TRW Consult can help you with a smooth registration even while you’re in your home country.

And once you’ve started a business in the UK, it’s equally easy to run it since the government’s policies favour entrepreneurs.

 

Here’s the first move you should make.

 

Registering a business in the UK isn’t hard at all.

To get started, contact TRW Consult.

TRW Consult is a UK-based agency that helps businesses get registered in the United Kingdom.

This includes

• Registering your company name
• Providing you with a business address in London
• Getting you a UK phone number that people can call your business on
• Handing all necessary paperwork

 

If you would like the TRW Consult team to help you set up your business in the United Kingdom, CLICK HERE.

 

Conclusion

The UK offers great opportunities for entrepreneurs who are looking to set up their own businesses in the country.

If you can establish an overseas branch for your business, with a supportive environment and visa application potential, why not go ahead and take the steps now?