International Business

The UK is a popular destination for international business owners—and you don’t need to live in the UK to be a director of a UK company. But there are important legal, tax, and operational considerations to be aware of.This article explains whether a non-resident can be a UK company director, what’s required by law, and how Dragonfly Associates supports international clients with compliant company formation and administration—subject to agreement.

Can a Non-Resident Be a Director of a UK Company?

Yes. There is no legal requirement for a UK company director to be a UK resident. A non-resident can:

• Act as a sole director (if over 16 and not disqualified)
• Own shares in the company
• Manage the company from abroad

However, you must still meet all compliance requirements under UK law and be able to receive official correspondence reliably.

Legal and Administrative Requirements

To act as a director, you must:

• Provide a valid service address (can be in the UK or overseas)
• Submit your personal details to Companies House (e.g. name, date of birth, nationality)
• Comply with your director duties under the Companies Act 2006
• Ensure your company has a registered office address in the UK

Dragonfly Associates offers UK-based registered office and service address support for non-resident directors, subject to agreement.

 

Registered Office Requirement

While directors can reside anywhere in the world, the company’s registered office must be located in the UK (and in the jurisdiction of incorporation: England & Wales, Scotland, or Northern Ireland).

This is where official government correspondence will be sent. We provide this service to clients as part of our compliance and virtual office packages.

Tax Considerations

Being a non-resident director does not automatically create UK tax obligations—but your company may be affected based on where management and control are exercised.

• Corporation Tax: Your company will usually pay tax in the UK on its profits, regardless of where directors live
• Permanent Establishment Risk: If major decisions are made abroad, it could raise questions about tax residency in another country
• Double Tax Treaties: These help avoid being taxed twice on the same income

We recommend seeking international tax advice. We work with tax partners to guide non-resident directors through risk and compliance.

Banking and Financial Access

Opening a UK business bank account as a non-resident director can be more challenging. Some traditional banks require:

• UK-based directors
• In-person identity verification

However, digital banking options exist for non-resident companies, and Dragonfly Associates helps explore compliant solutions—subject to agreement.

Maintaining Control and Communication

As a non-resident director, it’s important to:

• Use secure digital communication tools
• Maintain clear internal records
• Appoint a reliable UK address provider
• Keep up with annual filings and deadlines

We act as a communication bridge between non-resident directors and UK authorities through our secretarial and compliance services.

Frequently Asked Questions

Do I need a visa or UK tax ID to be a director?

No. There is no requirement for UK residence or tax registration to serve as a director.

Can a company have only non-UK directors?

Yes. A UK company may have all directors based outside the UK, provided it maintains a UK registered office.

Can Dragonfly Associates help me run a UK company from abroad?

Yes. We support international directors with company formation, registered office, mail forwarding, and ongoing compliance—subject to agreement.

Lead a UK Company from Anywhere

You don’t need to live in the UK to take advantage of its business environment. With the right structure and support, non-resident directors can operate legally and efficiently.

Dragonfly Associates helps non-UK residents register, maintain, and grow their UK companies—with address services, filings, and regulatory support available through our international service packages.

To set up or manage your UK company from abroad, contact our team today.

Raising early-stage capital can be challenging—but in the UK, the government offers powerful tax incentives to encourage investment in startups and growing companies.

The Seed Enterprise Investment Scheme (SEIS) and Enterprise Investment Scheme (EIS) provide generous tax reliefs to individuals who invest in qualifying businesses. This article explains what SEIS and EIS are, how they benefit both companies and investors, and how Dragonfly Associates supports applications and structuring—subject to agreement.

What Are SEIS and EIS?

SEIS and EIS are government-backed schemes designed to encourage private investment in high-risk businesses:

• SEIS: Supports early-stage businesses (typically less than 2 years old), with investments up to £250,000.
• EIS: Supports more established growth companies, allowing investments up to £5 million per year.

Investors who put money into a qualifying SEIS or EIS company can claim generous tax reliefs against their income tax and capital gains.

What Are the Benefits to Investors?

If your company qualifies, investors can access:

SEIS (Seed Enterprise Investment Scheme):

• 50% income tax relief (on up to £100,000 per year)
• 100% capital gains tax exemption on sale (after 3 years)
• Loss relief if the business fails
• Capital gains reinvestment relief

EIS (Enterprise Investment Scheme):

• 30% income tax relief (on up to £1 million per year)
• Capital gains tax deferral
• Inheritance tax relief (after 2 years)
• Loss relief

These incentives can significantly increase the attractiveness of your company to UK-based angel investors and funds.

Company Eligibility: Can You Qualify?

SEIS and EIS eligibility depends on your company’s:

• Age (SEIS: under 2 years, EIS: under 7 years typically)
• Size (fewer than 25 full-time employees for SEIS, 250 for EIS)
• Gross assets (less than £200,000 for SEIS, £15 million for EIS)
• Business activity (must not fall under excluded sectors)
• UK permanent establishment

The company must also have a genuine intention to grow and develop over time.

Investor Conditions

To claim the tax reliefs, investors must:

• Be UK taxpayers
• Hold the shares for at least 3 years
• Not be connected to the company (e.g. not an employee or controlling shareholder)

Shares must be new ordinary shares, issued for cash and paid in full.

How to Apply: SEIS/EIS Advance Assurance

Before raising funds, many companies seek “advance assurance” from HMRC. This is a non-binding confirmation that your business appears to qualify.

Steps include:

• Preparing a detailed application
• Submitting a business plan, financial forecasts, cap table, and proposed investment terms
• Waiting 4–6 weeks for HMRC feedback

Dragonfly Associates supports clients with advance assurance applications, investor communications, and final SEIS/EIS compliance filings—subject to agreement.

SEIS First, Then EIS

It’s common to raise a smaller amount under SEIS (e.g. friends and family, angels), then follow with a larger round under EIS.

We help structure the share rounds and ensure they are properly spaced and documented so as not to invalidate SEIS eligibility.

Frequently Asked Questions

Can non-UK companies qualify for SEIS/EIS?

No. The company must have a UK permanent establishment and meet all UK incorporation and control requirements.

Can I use both SEIS and EIS?

Yes. You can raise up to £250,000 under SEIS and then continue raising under EIS, provided the conditions are met.

Do I need to use a lawyer or accountant?

It’s strongly recommended. SEIS and EIS applications require careful planning and professional documentation. We offer assistance as part of our startup support services.

Make Your Startup Investment-Ready

SEIS and EIS aren’t just tax schemes—they’re powerful fundraising tools. If your company qualifies, they can open doors to serious investors looking for tax-efficient opportunities.

Dragonfly Associates helps you assess eligibility, secure advance assurance, and structure your share issues to support long-term compliance—available under clearly defined agreements.

To attract investors with confidence and stay legally compliant, contact us to begin your SEIS/EIS journey.

If you live outside the United Kingdom but want to start a business there, the good news is: you can. UK law allows non-residents to own, direct, and manage UK limited companies without needing to live in the country.Whether you’re an entrepreneur launching a global service or a consultant seeking a UK presence, this guide explains what non-UK residents need to know about forming and managing a UK company. Dragonfly Associates offers full company formation and compliance support for international clients, subject to agreement.

Is It Legal for a Non-Resident to Register a UK Company?

Yes. There is no legal requirement to be a UK citizen or UK resident to:

• Own shares in a UK company
• Serve as a company director
• Incorporate a private limited company (Ltd)

You can run the business from anywhere in the world, provided your company has a UK registered office and complies with UK company law.

What You’ll Need to Start

As a non-UK resident, you’ll need:

• A valid company name
• At least one director (you can be the sole director)
• At least one shareholder (can also be you)
• A UK registered office address
• Articles of Association (you can use the standard model)
• SIC code (to describe your business activity)

Dragonfly Associates can assist with each of these elements, including providing a registered UK business address and preparing the formation documents, where agreed in your chosen package.

Registered Office Requirements

Your company must have a UK-registered office address. This is the official location for receiving government and legal correspondence.

If you’re based abroad, you can use a commercial address service. Dragonfly Associates offers a London-based registered office and mail forwarding services to non-UK residents, subject to agreement.

Tax Obligations for Non-Resident Companies

Once your company is formed, you may have to register for:

• Corporation Tax (mandatory if you trade through the company)
• VAT (if turnover exceeds the UK threshold or you register voluntarily)
• PAYE (if you hire UK-based staff or pay yourself a salary through the company)

You will also need to keep proper accounting records and file annual returns with Companies House and HMRC. We provide tax registration and ongoing compliance services under specific support agreements.

Bank Account Considerations

Having a UK business bank account is not a legal requirement for incorporation—but it is highly recommended for operational purposes.

Some UK banks require directors to be UK residents or attend in person. However, online banking solutions and fintech alternatives are available.

Dragonfly Associates can guide clients through the business banking process and provide referrals to banks or financial platforms that accept international directors.

Benefits of Opening a UK Company as a Non-Resident

• Access to the UK market and credibility
• Use of GBP accounts and UK-based invoicing
• Strong legal framework for international trade
• Ability to sell through UK e-commerce platforms or hire local staff
• Global trust in the UK corporate structure

Many international clients use their UK company as a base for European or global operations.

Frequently Asked Questions

Do I need a UK visa or residency to form a company?

No. There is no immigration requirement tied to company ownership or directorship.

Can I be the only person in the company?

Yes. A single non-UK resident can be both director and shareholder of a UK company.

How long does it take to set up a UK company?

With Dragonfly Associates, formation typically takes 1 business day once documents are prepared and submitted—subject to verification and processing timelines.

Get Started with Confidence

Opening a UK company from abroad is easier than you might think. With the right address, documentation, and expert guidance, you can establish a UK business presence quickly and compliantly.

Dragonfly Associates specialises in supporting non-UK residents through company formation, address services, tax registration, and ongoing compliance—offered under clearly defined service agreements.

If you’re ready to establish your UK company from overseas, contact us today to begin the process.