Directorless and Abandoned Companies

I am considering this workaround of not paying increased disproportionate fees as I cannot afford th

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I have come to know for first time that U.k. govt Companies House has increased its fees disproportionately for limited company procedures. I am considering this workaround of not paying increased disproportionate fees as I cannot afford them. Please tell me if this workaround below is legal and successful. 

1. I resign as sole director of the company / companies and inform U.k. govt. Companies House that company has no director and to this strike off. Is this ok?

2. I thus do not have to pay any U.k. govt / Companies House fees of running company / companies. Is that ok?

3.  How long does it take for U.k. govt to strike off directorless company after information is received by me that company is / companies are directorless and to strike off the company?

4.  Am I still held legally liable for confirmation statement/s, confirmation statement/s fees, accounts etc or prevented from opening any new companies etc based on all the above paragraphs? 

5. The company / companies are all dormant, does that make any difference if I do the above? 

What happens to: 

Directorless companies ie. Abandoned companies and their ex/former resigned directors in terms of automated routine filings where fee is meant to be paid in order to file eg confirmation report?

From indirect unclear information I am getting it seems:

1) U.k. govt. Companies House continues to still blindly send automated reminders, claims for lateness, penalties issued to directorless ie. Abondoned companies thereby Companies House pretending that companies are still alivewithout examining if there are any directors there or if directorless.

2) Companies House even ignores requests by ex/former resigned directors to strikeoff their  directorless ie. Abandoned companies. 

 

 

Replies (83)

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By David Ex
22nd May 2024 20:17

A lot of effort to avoid (or not) £34 annual fees. If you "cannot afford them", that rather suggests you are operating a flawed business model.

Thanks (9)
Replying to David Ex:
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By handgel
24th May 2024 18:13

David Ex wrote:

A lot of effort to avoid (or not) £34 annual fees. If you "cannot afford them", that rather suggests you are operating a flawed business model.

Hello David Ex,

The £13 confirmation statement fees were the bee's knees for me.

Handgel

Thanks (0)
RLI
By lionofludesch
22nd May 2024 20:30

Worth pointing out that these increases are supposed to fund CH crackdowns on folk who seek to avoid fees. Like you.

It remains to be seen how successful that plan is, of course, but, nevertheless, what's happened in the past is not necessarily a guide to the future.

Meantime, why have you set up all these companies that you can't even afford a £21 fee increase for? What sort of fool should we take you for?

Thanks (11)
Replying to lionofludesch:
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By handgel
24th May 2024 18:26

lionofludesch wrote:

Worth pointing out that these increases are supposed to fund CH crackdowns on folk who seek to avoid fees. Like you.

It remains to be seen how successful that plan is, of course, but, nevertheless, what's happened in the past is not necessarily a guide to the future.

Meantime, why have you set up all these companies that you can't even afford a £21 fee increase for? What sort of fool should we take you for?

Hello lionofludesch,

The U.k. companies house agency increased the fees substantially without directly informing any of its customer like me even though it had customer email addresses. It used third party tools to inform and in a very mild style such as twitter and blog though companies house software developers e-forum got fee increase info in February 2024 from customer services manager posting there.

I put some effort when I could but sadly due to no interest or personal circumstances they are dormant.

Handgel

Thanks (0)
Replying to handgel:
RLI
By lionofludesch
24th May 2024 23:45

handgel wrote:

lionofludesch wrote:

Worth pointing out that these increases are supposed to fund CH crackdowns on folk who seek to avoid fees. Like you.

It remains to be seen how successful that plan is, of course, but, nevertheless, what's happened in the past is not necessarily a guide to the future.

Meantime, why have you set up all these companies that you can't even afford a £21 fee increase for? What sort of fool should we take you for?

Hello lionofludesch,

The U.k. companies house agency increased the fees substantially without directly informing any of its customer like me even though it had customer email addresses. It used third party tools to inform and in a very mild style such as twitter and blog though companies house software developers e-forum got fee increase info in February 2024 from customer services manager posting there.

I put some effort when I could but sadly due to no interest or personal circumstances they are dormant.

Handgel

It's hardly Companies House's fault that you can't sell whatever you're selling. If a £21 increase in filing fees is a tipping point, your business plan is flawed. Assuming you have a business plan.

Thanks (2)
Replying to lionofludesch:
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By handgel
25th May 2024 19:49

lionofludesch wrote:

handgel wrote:

lionofludesch wrote:

Worth pointing out that these increases are supposed to fund CH crackdowns on folk who seek to avoid fees. Like you.

It remains to be seen how successful that plan is, of course, but, nevertheless, what's happened in the past is not necessarily a guide to the future.

Meantime, why have you set up all these companies that you can't even afford a £21 fee increase for? What sort of fool should we take you for?

Hello lionofludesch,

The U.k. companies house agency increased the fees substantially without directly informing any of its customer like me even though it had customer email addresses. It used third party tools to inform and in a very mild style such as twitter and blog though companies house software developers e-forum got fee increase info in February 2024 from customer services manager posting there.

I put some effort when I could but sadly due to no interest or personal circumstances they are dormant.

Handgel

It's hardly Companies House's fault that you can't sell whatever you're selling. If a £21 increase in filing fees is a tipping point, your business plan is flawed. Assuming you have a business plan.

Hello lionofludesch,

They are dormant companies and the dormant companies don't have any business plans.

Handgel

Thanks (0)
Replying to handgel:
RLI
By lionofludesch
25th May 2024 19:57

That's where you're going wrong.

Have you tried the UK Business Forum? Or Mumsnet?

Thanks (3)
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By FactChecker
22nd May 2024 22:14

Sell everything ... put cash in suitcase ... leave country on one-way ticket ... don't look back.

Thanks (6)
Replying to FactChecker:
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By handgel
24th May 2024 18:31

FactChecker wrote:

Sell everything ... put cash in suitcase ... leave country on one-way ticket ... don't look back.

Hello FactChecker,

The problem is substantial fee increases were not told directly by U.k. govt companies house agency to its customers. If they had directly informed I would have closed the dormant companies whilst strike-off company fee was very much less.

Handgel

Thanks (0)
Replying to handgel:
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By Paul Crowley
25th May 2024 14:42

Everybody on this site knew about it.
If you do not want the companies then just do nothing and they get struck off. Think how much you saved not paying the strike off fees that you would have paid if you had stayed up to date.

Thanks (1)
Replying to Paul Crowley:
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By handgel
31st May 2024 04:14

Paul Crowley wrote:

Everybody on this site knew about it.
If you do not want the companies then just do nothing and they get struck off. Think how much you saved not paying the strike off fees that you would have paid if you had stayed up to date.

Hello Paul Crowley

Actually I saw it today in March 7 email from U.k. govt companies house but it was buried at the end. I would have expected this disproportionate fee increase notice not to have been minimized in this fashion, email subject header was a must.

Handgel

Thanks (1)
Stepurhan
By stepurhan
22nd May 2024 23:04

That's not a workaround. That is more a case of jumping ship to avoid the responsibilities that come with running a company. If the companies are genuinely dormant, the chances of legal consequences are slim though not nil. Why would you even have multiple dormant companies in the first place? Should have struck them off yourself back when it was cheaper to do so if you don't need them.
As for

OP wrote:
Companies House even ignores requests by ex/former resigned directors to strikeoff their directorless ie. Abandoned companies.
There is a good reason for that. One that really isn't that difficult to work out if you think about it for a moment.
Thanks (8)
Replying to stepurhan:
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By handgel
24th May 2024 18:32

-

Thanks (0)
Replying to stepurhan:
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By handgel
24th May 2024 18:39

stepurhan wrote:

That's not a workaround. That is more a case of jumping ship to avoid the responsibilities that come with running a company. If the companies are genuinely dormant, the chances of legal consequences are slim though not nil. Why would you even have multiple dormant companies in the first place? Should have struck them off yourself back when it was cheaper to do so if you don't need them.
As for

OP wrote: Companies House even ignores requests by ex/former resigned directors to strikeoff their directorless ie. Abandoned companies. There is a good reason for that. One that really isn't that difficult to work out if you think about it for a moment.

Hello stepurhan,

If the U.k. govt. companies house agency did not inform its customers about substantial fee increases when it has a communications team and bottles this information why should its customers pay get forced fees imposed.

Many years ago I wanted to start ideas and so formed them. I hoped if not now then later.

Handgel

Thanks (0)
Replying to handgel:
RLI
By lionofludesch
24th May 2024 23:47

handgel wrote:

stepurhan wrote:

That's not a workaround. That is more a case of jumping ship to avoid the responsibilities that come with running a company. If the companies are genuinely dormant, the chances of legal consequences are slim though not nil. Why would you even have multiple dormant companies in the first place? Should have struck them off yourself back when it was cheaper to do so if you don't need them.
As for

OP wrote: Companies House even ignores requests by ex/former resigned directors to strikeoff their directorless ie. Abandoned companies. There is a good reason for that. One that really isn't that difficult to work out if you think about it for a moment.

Hello stepurhan,

If the U.k. govt. companies house agency did not inform its customers about substantial fee increases when it has a communications team and bottles this information why should its customers pay get forced fees imposed.

Many years ago I wanted to start ideas and so formed them. I hoped if not now then later.

Handgel

Mate -£21 isn't substantial.

You're only kidding yourself.

Thanks (2)
Replying to handgel:
Stepurhan
By stepurhan
27th May 2024 17:04

handgel wrote:

Many years ago I wanted to start ideas and so formed them. I hoped if not now then later.

If you formed limited companies for "ideas" many years ago, but those companies are still dormant, then even the £13 a year fees were too much. You have been paying £13 x however many companies a year for no good purpose.

Maybe the increase in fees shocking you out of your complacency has actually done you some good.

Thanks (1)
panda ketteringUK
By ketteringUK
22nd May 2024 23:25

I'm certain if you were to share the company number or name then some of us will be more inclined to help you with your query.

It's kinda minimum information task now without knowing more details.

Thanks (1)
Replying to ketteringUK:
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By handgel
24th May 2024 18:47

ketteringUK wrote:

I'm certain if you were to share the company number or name then some of us will be more inclined to help you with your query.

It's kinda minimum information task now without knowing more details.

Hello ketteringUK

Not sanguine, so can't put that info on this e-forum.

Handgel

Thanks (0)
DougScott
By Dougscott
22nd May 2024 23:33

Just submit form DS01 with the £44 fee and your company can be legally struck off - easy peasy. Then you won't have to pay confirmation fees etc.

You do realise that is cheaper than a night out for one?

Thanks (1)
Replying to Dougscott:
the sea otter
By memyself-eye
23rd May 2024 15:27

Cheaper?
I can have a whole week at Wetherspoons for £44!

Thanks (3)
Replying to memyself-eye:
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By handgel
24th May 2024 18:54

memyself-eye wrote:

Cheaper?
I can have a whole week at Wetherspoons for £44!

Hello memyself-eye,

For some people £34 confirmation statement fee from £13 does not seem much but I can't afford them in my circumstances.

Handgel

Thanks (0)
Replying to Dougscott:
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By handgel
24th May 2024 18:52

Dougscott wrote:

Just submit form DS01 with the £44 fee and your company can be legally struck off - easy peasy. Then you won't have to pay confirmation fees etc.

You do realise that is cheaper than a night out for one?

Hello Dougscott,

Legally struck off is also the workaround given in the o.p. if companies have been totally dormant and U.k. companies house agency bottled up / hushed the substantial fee increases by not telling directly its customers.

Handgel

Thanks (0)
Replying to handgel:
RLI
By lionofludesch
25th May 2024 12:15

handgel wrote:

Hello Dougscott,

Legally struck off is also the workaround given in the o.p. if companies have been totally dormant and U.k. companies house agency bottled up / hushed the substantial fee increases by not telling directly its customers.

Handgel

Poor you.

Maybe you should've joined this forum earlier because we all knew about it.

Well, most of us did, anyway.

Thanks (3)
Replying to lionofludesch:
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By Paul Crowley
25th May 2024 14:50

Apologies.
Just wrote the same further up.
Plagiarism only counts if I know that you already wrote it, I hope.

Thanks (0)
Replying to lionofludesch:
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By handgel
31st May 2024 04:20

Hello lionofludesch

Only today I saw it in March 7 email from U.k. govt companies house lurking at the bottom. They should have put some gumption in it by having dedicated email and subject line.

Handgel

Thanks (0)
Replying to handgel:
RLI
By lionofludesch
31st May 2024 06:24

handgel wrote:

Hello lionofludesch

Only today I saw it in March 7 email from U.k. govt companies house lurking at the bottom. They should have put some gumption in it by having dedicated email and subject line.

Handgel

So they told you but you couldn't be bothered to read the email.

Thanks (1)
By Duggimon
23rd May 2024 09:47

How many dormant companies do you have that the increase in fees is prohibitively expensive? Why do you have so many, what are they for?

The answers to these are required for a sensible answer to your questions, the best course will depend on what these entities actually are.

Thanks (1)
Replying to Duggimon:
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By handgel
24th May 2024 19:00

Duggimon wrote:

How many dormant companies do you have that the increase in fees is prohibitively expensive? Why do you have so many, what are they for?

The answers to these are required for a sensible answer to your questions, the best course will depend on what these entities actually are.

Hello Duggimon,

Even for 1 company the £34 confirmation statement is too expensive. £13 fee was manageable financially by me. £34 is really over the top. U.k. companies house agency followed the dot-com / dot.co.uk internet domain domain name pricing when confirmation statement fee was only £13 but £34 fee is just no go. There were some ideas I wanted to process, it did not happen so companies are dormant.

Handgel

Thanks (0)
Replying to handgel:
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By Paul Crowley
25th May 2024 14:53

The UK has the cheapest company formation and annual fees.
If you cannot afford UK fees then waste of time looking elsewhere.

Thanks (3)
Replying to Paul Crowley:
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By handgel
25th May 2024 20:08

Paul Crowley wrote:

The UK has the cheapest company formation and annual fees.
If you cannot afford UK fees then waste of time looking elsewhere.

Hello Paul Crowley,

The European mainland countries have an expensive system but after the U.k. govt companies house agency substantial fee increases, it's becoming ditto.

Handgel

Thanks (0)
Replying to handgel:
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By Paul Crowley
26th May 2024 17:27

Complete BS.
If you cannot do basic arithmetic then maybe companies are not your thing.

Thanks (2)
By JCresswellTax
23rd May 2024 10:15

What an absolutely brilliant idea!

Thanks (4)
Replying to JCresswellTax:
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By handgel
24th May 2024 19:05

JCresswellTax wrote:

What an absolutely brilliant idea!

Hello JCresswellTax,

The U.k. govt companies house agency bottled up the fee increases and did not inform directly by email the customers. Some customers are not able to afford the fee increase.

Handgel

Thanks (0)
Replying to handgel:
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By Leywood
25th May 2024 09:57

You’ve repeated your ridiculous answer several times.

The changes were in fact publicised.

It’s hardly a fortune, if you can’t afford the fees then you are doing something very badly wrong.

Just pay the pittance they charge to shut all of your companies down properly without trying to bend and break laws.

Thanks (2)
Replying to Leywood:
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By handgel
25th May 2024 11:50

Leywood wrote:

You’ve repeated your ridiculous answer several times.

The changes were in fact publicised.

It’s hardly a fortune, if you can’t afford the fees then you are doing something very badly wrong.

Just pay the pittance they charge to shut all of your companies down properly without trying to bend and break laws.

Hello Leywood,

Please give some proof to back your claims:

1) substantial fee increases were publicised in the dailies not some unknown blog or twitter handle?

Nope nothing there.

2) that I am trying to bend and break laws - which legal clause is that?

Nope nothing there either.

Handgel

Thanks (0)
Replying to handgel:
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By Leywood
25th May 2024 16:47

A bit demanding of folk, when you have no right to be.
Not even a please in sight.

Your research skills need refining and you really have no excuse for not understanding your position as Director/Shareholder.

The internet is littered with proof.

I and others received several emails from Co. house over the last few months. Pretty sure I had a letter too about pending changes. Not that they are obliged to give you that much notice of a small fee increase.

On the legal side start here https://www.legislation.gov.uk/ukpga/2006/46/contents

Thanks (2)
Replying to Leywood:
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By handgel
31st May 2024 04:39

Hello Leywood

I am not being complacent.

Abandoning companies that have sole director and have no activity is possible. No rules bar it. Please have some empathy because the disproportionate fee increases are a force majeure.

Handgel

Thanks (0)
Replying to handgel:
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By Leywood
31st May 2024 07:00

Get a grip!

Suggest you get another job alongside your existing one if you can’t afford the tiny fee that is due. Plus read the legislation properly.

Utterly ridiculous post that the mods should have shut down from the get go.

Thanks (1)
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By Tom+Cross
23rd May 2024 10:48

Why am I always the last to think of these schemes?

Seems a failsafe, winning formula to me.

And Companies House get rid of some of the deadwood, in the process. Seems a win, win, to me.

Thanks (4)
Replying to Tom+Cross:
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By handgel
24th May 2024 19:09

Tom+Cross wrote:

Why am I always the last to think of these schemes?

Seems a failsafe, winning formula to me.

And Companies House get rid of some of the deadwood, in the process. Seems a win, win, to me.

Hello Tom+Cross,

The communication team at U.k. govt companies house agency were kept out of the fee increase loop or they minimized the fee increase issue. Previously the pricing was not much - like dot com / .co.uk internet domains names, now that pricing has vanished.

Handgel

Thanks (0)
Replying to handgel:
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By Tom+Cross
25th May 2024 20:08

In 1985, the equivalent fee was £32.
I think you need to climb off the perch, which you seem to have attached yourself too.

Thanks (3)
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By Paul Crowley
23rd May 2024 11:01

You have a company but cannot afford to pay the extra £21 annual fee?
Why did you buy it?
And why did you do it more than once?
My guess is than you are looking to use these company names to impress people.

Thanks (2)
Replying to Paul Crowley:
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By handgel
24th May 2024 19:16

Paul Crowley wrote:

You have a company but cannot afford to pay the extra £21 annual fee?
Why did you buy it?
And why did you do it more than once?
My guess is than you are looking to use these company names to impress people.

Hello Paul Crowley,

Yeah, pricing confirmation statement at £34 is sky high for me. Yeah, I had some ideas that I wanted them to function, sadly did not happen but I thought hey! I might get another chance. I'd have closed the dormant companies if I was directly emailed by U.k. companies house agency telling me about the substantial fee increases.

Handgel

Thanks (0)
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By More unearned luck
23rd May 2024 11:39

Bona vacantia

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Replying to More unearned luck:
RLI
By lionofludesch
23rd May 2024 11:56

More unearned luck wrote:

Bona vacantia

You think there'll be some?

Thanks (1)
Replying to lionofludesch:
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By More unearned luck
23rd May 2024 17:52

There must be a reason for keeping the companies alive to date, although I accept it might be to reserve the name. If the cost of any IP never hit the BS (or did but was then w/o), the assets might be invisible.

Thanks (0)
Replying to More unearned luck:
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By handgel
25th May 2024 11:59

More unearned luck wrote:

There must be a reason for keeping the companies alive to date, although I accept it might be to reserve the name. If the cost of any IP never hit the BS (or did but was then w/o), the assets might be invisible.

Hello More unearned luck,

To make use at later time / have another chance.

Handgel

Thanks (0)
Replying to handgel:
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By Leywood
25th May 2024 15:00

Well pay up the and stop griping!

Thanks (2)
Replying to More unearned luck:
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By handgel
24th May 2024 19:20

More unearned luck wrote:

Bona vacantia

Hello More unearned luck,

The U.k. govt companies house agency hushed up on the substantial fee increases by not informing customers directly by email.

Handgel

Thanks (0)
Replying to handgel:
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By Paul Crowley
25th May 2024 14:58

They were rubbish at hushing it up. Either that or I should be in the spy gamer.

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