Book a free consultation to discuss the number of shares to issue for your company.
How many shares to issues with a new Limited Company:
A minimum of one share must be issued upon incorporating. Additionally, if you plan on having more than one shareholder, then you must issue at least one share per shareholder.
Often, individuals who wish to be sole owners issue a single share in order to own 100% of their company. However, if they later wish to split the ownership, or change the structure of the business, having only 1 share could lead to complications down the line.
A common practice is to issue share capital which is easily divisible in the future (for example it may be best to issue 50 or 100 shares upon incorporation). By doing so this will allow you to change the ownership of shares more easily down the road. Many businesses tend to issue 100 shares of £1 each, with each share representing 1% of the business.
Book a free consultation to discuss the number of shares to issue for your company.
Read more limited company set up guides
Our sole trader vs limited company calculator helps you determine the most tax-efficient business structure by comparing your potential take-home income, National Insurance contributions, and Corporation Tax liabilities. Simply input your expected annual profit to receive an instant comparison showing which option could save you money with HMRC.
We walk through every step of the Limited Company registration process to help you understand whether you should start the limited company registration process.
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