Possible to use existing Co. for different purpose?

N

nktile

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Afternoon all,

I wonder could anyone advise me. I have a company set up as providing a tiling service. As you can imagine it has got very quiet on that end, still some work , but not much. I have started another business, and was planning on setting up another company, however it just occurred to me: is it possible to use the existing company , although it is a different service and would trade under a different name?

Obviously I would prefer to do this as time are tight, plus it would help admin wise. Could anyone advise if this is possible and what is the correct way to go about this?

Thanks in advance.

Nick
 
The short answer is yes. The slightly longer answer is that you have to jump through a couple of hoops.

1. In the Memorandum of Association, there is a statement of the objects of the company; this will probably need to be altered, and the alteration notified to the Companies Office.

2. You need also go through procedures to change the company name, and notify the Companies Office of that too. [There is a simpler thing you might do, which is to register a business name as a name the company uses, so you can have "XY Tiling Ltd trading as XY Interiors": for all but formal purposes, you can call the business "XY Interiors".]
 
Padraig, Many thanks for your reply.

Tw0 things i should have asked first off:

Will the fact that the2 services have different VAT rates make things very complicated?

And second , would you have any adive as to what would the best way to get invoice off to a company for the new service as quickly as possible? The big issue is that on payment of that invoice I will have more time, breathing space, and cash(!) to sort out all these problems.

Many thanks
 
It is standard procedure for the Memeorandum of association to be so widely drawn that you can carry on any business you like through the company.

You should be able to invoice through your existing company as of now,the fact that your new service is subject to a different vat rate is irrelevant

If your existing company name you feel is not suitable for promoting your current business then do as the previous poster recommended and register a new business name but there is nothing stopping you in the mean time invoicing out of the existing company

I presume you have done the work based on a verbal agreement with your customer rather than based on a formal contract and that he will accept the invoice from your company
 
There is no requirement to change the name of the company.

His current name maybe unsuitable in terms of telling the story of his new venture but thats not a given.His co. could be Tony Travers ltd or Acme ltd.

He may need to change the memorandum if it is not sufficiently widely drafted.
 
Because of the 'Ultra Vires' rule you will most likely need to change the objectives of the company by doing a special resolution (requires 75% of votes) and changing the Memorandum & Articles of Association. PM me for more info or contact us through the website below if you require assistence with same. Unless the company has a generic name and you are trading under a different same, I would recommend passing another resolution to change this also. You will need to talk to a professional accountant or tax advisor about the VAT & accounting issues...Hope it works out.
 
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