Setting Up a Ltd Company as a UK Content Creator (Step by Step)

Setting up a Ltd company is straightforward, but make sure it's the right decision first.

As covered in our sole trader vs Ltd guide, incorporation typically makes financial sense once your creator profits consistently exceed £35,000-£45,000/year. Below this, the tax savings are usually outweighed by additional accounting costs and admin.

What you need before starting:
- A company name (must be unique — check availability at Companies House)
- A registered office address (can be your home address, your accountant's address, or a registered office service)
- At least one director (you)
- At least one shareholder (you)
- A Standard Industrial Classification (SIC) code (59111 for video production, 90030 for artistic creation, or 73110 for advertising agencies are common for creators)
- An understanding that your company's details will be on the public register at Companies House

Privacy consideration: Your registered office address and director details are publicly visible on Companies House. If you don't want your home address published, use a registered office service (typically £30-£100/year) or your accountant's address.

Timing: You can incorporate at any point during the tax year. There's no requirement to wait for 6 April. Your accountant can handle the transition from sole trader income to company income seamlessly.

The actual registration process is surprisingly quick.

1. Register at Companies House (15 minutes, £12 online):
Visit gov.uk/set-up-limited-company. Choose your company name, enter your personal details (directors and shareholders), specify your SIC code, and set your registered office address. Online incorporation is usually processed within 24 hours. Same-day incorporation costs £30.

2. Receive your Certificate of Incorporation:
Companies House issues this electronically, confirming your company number, registered name, and date of incorporation. Keep this document safe.

3. Register for Corporation Tax with HMRC:
HMRC is usually notified automatically by Companies House, but confirm within 3 months of starting business activity. You'll receive a Corporation Tax UTR separate from your personal UTR.

4. Open a business bank account:
You need a bank account in your company's name (not a personal account). Options include Starling Business, Tide, Monzo Business, and traditional banks. Online banks are quickest — Starling typically opens accounts within 24 hours. You'll need your Certificate of Incorporation.

5. Set up accounting:
Connect your business bank account to accounting software. Xero or FreeAgent are the best options for Ltd companies. Your accountant will likely have a preference.

6. Register for PAYE:
If you're paying yourself a salary (which you should for tax efficiency), register as an employer with HMRC for PAYE. Your accountant typically handles this. You'll need to run payroll, even if you're the only employee.

7. Update your brand contracts:
Notify existing brand partners that future invoices will come from your company. Update your invoicing details and ensure contracts reflect the new entity.

Day-to-day operations are more complex than sole trading, but manageable with the right setup.

Paying yourself (the salary/dividend split):
The tax-efficient approach: pay yourself a salary equal to the NI Primary Threshold (£12,570/year in 2025/26) and take additional income as dividends. The salary is tax-free (within personal allowance) and maintains your NI record. Dividends are taxed at lower rates than salary (8.75% basic, 33.75% higher) and don't attract National Insurance.

Running payroll:
Even for a one-person company, you must run payroll to pay yourself a salary. Your accountant usually handles this (included in their fee) or you can use software like FreeAgent, which has integrated payroll. PAYE submissions to HMRC are required each time you pay yourself.

Corporation Tax:
Your company pays Corporation Tax on its profits (19% for profits under £50,000). The return is due 12 months after your accounting year-end, and payment is due 9 months and 1 day after year-end. Your accountant prepares this.

Annual accounts:
You must file annual accounts at Companies House (simplified 'micro-entity' accounts for small companies) and a confirmation statement (£13/year). Your accountant prepares the accounts.

Key dates to remember:
- Corporation Tax payment: 9 months and 1 day after year-end
- Corporation Tax return: 12 months after year-end
- Annual accounts at Companies House: 9 months after year-end
- Confirmation Statement: annually from incorporation date
- Personal Self Assessment: 31 January (for your salary and dividends)
- Monthly or quarterly PAYE submissions