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Company Formation

Private Company Limited by Guarantee

What is a Company Limited by Guarantee?

A company limited by guarantee is a type of company used mainly for non-for-profit organisations or charitable organisations. It could be used for a local charity or religious organization.

What are the main features of a Company Limited by Guarantee?

No shareholding or capital required. Instead members are needed who act as guarantors. The guarantors give an undertaking to contribute a nominal amount (typically very small) in the event of the winding up of the company. It is often believed that it cannot distribute its profits to its members but (depending on the provisions of the articles) this is not actually true. A company limited by guarantee that distributes its profits to members would not be eligible for charitable status. A limited by guarantee must include the suffix "Limited" in its name, except in circumstances specifically excluded by law. One condition of this exclusion is that the company does not distribute profits.

What comes with your package?

  • Same day online formation service
  • Printed certificate of incorporation Memorandum and articles by email
  • Selection of your first accountant with us Free incorporation service if you choose our accountants


Private Company Limited by Guarantee
Free with our one year Professional diamond accounting service package