What is a Certificate of Good Standing in the UK?
The UK is an excellent place to do business, attracting companies from around the world to trade in the UK. Similarly, UK limited companies can find incredible opportunities to expand their goods and services into international markets. To trade in other countries, however, a UK company often needs to present a Certificate of Good Standing (COGS) to foreign regulators.
In this article, we cover everything you need to know about the Certificate of Good Standing, including what it is, why it’s necessary, and how to request one.
What is a Certificate of Good Standing?
A Certificate of Good Standing is an official document issued by Companies House, the UK Government’s official registrar of companies.
It confirms that your limited company is in ‘good standing’ with Companies House, indicating to third parties that your company has maintained continuous, uninterrupted existence since its incorporation, and that no action is being taken to remove it from the register.
In essence, a Certificate of Good Standing serves as evidence that your company has fulfilled all its statutory filing requirements, paid all necessary fees and charges, and is complying with all Companies House regulations.
Why would you need one?
A limited company might request a Certificate of Good Standing for several key reasons.
First and foremost, you generally need to provide a Certificate of Good Standing if you wish to trade internationally or establish an overseas branch or office.
You will likely need to provide your certificate to the foreign equivalent of Companies House in the country where you wish to trade. Additionally, you typically need to demonstrate your company’s good standing with a Certificate of Good Standing if you want to open an overseas bank account for your UK company.
However, a Certificate of Good Standing is not only for international trade. You might also request one if you want to open a business bank account in the UK for a company with only overseas directors.
You can also request a certificate to assure potential lenders, clients, suppliers, or investors. By providing a Certificate of Good Standing, you can demonstrate that your company is credible and well-organized.
What information is provided on a Certificate of Good Standing?
Before requesting a Certificate of Good Standing, it’s important to understand the information included in the certificate.
A Certificate of Good Standing contains the following information:
- The names of your director(s)
- The names of your secretaries (if applicable)
- Your company’s registered office address
- The date your company was incorporated
- Confirmation that your company is up-to-date with statutory filing requirements
- Your company’s objects (if applicable)
It’s important to note that you cannot request a Certificate of Good Standing that includes shareholder details.
If you need information about your shareholders or a statement of capital, you must file an up-to-date confirmation statement and then request Companies House to certify it.
How do you get a Certificate of Good Standing?
Startxpress provides a Certificate of Good Standing Service, and you will receive your certificate within 10 working days.
Before requesting a Certificate of Good Standing, you must meet a few eligibility requirements.
First, your company must have at least one director who is a natural person, meaning that one of your directors must be an individual rather than another company.
Your company must also be up-to-date with all its annual accounts and confirmation statement filings, and there must be no actions currently being taken against your company. Additionally, your company must have been in continuous and uninterrupted existence since its formation.
When you request a Certificate of Good Standing, the Companies House sends it to your registered office address. You can also request a digital copy, although this typically will not include the signature of a Companies House official.
Certificates are valid for three months from the date of issue. If you need to use a Certificate of Good Standing beyond the three-month period, you will need to request a new one.
Can I use it overseas?
One of the primary uses of a Certificate of Good Standing is to demonstrate to foreign regulators that your UK limited company is in good standing. However, foreign registrars will likely require you to legalize your certificate through an apostille for use in their respective jurisdictions.
An apostille is an officially stamped certificate issued by the Foreign, Commonwealth & Development Office, making it legally valid in 124 different countries.
Do you have any other questions?
We’ve covered the essentials of a Certificate of Good Standing and its relevance for companies in the UK. This certificate, issued by Companies House, verifies that your company meets statutory obligations and remains in good legal standing. You often use it for international business, setting up bank accounts abroad, and providing credibility to partners.
For more details, visit the Startxpress Help Center and Blog. If you need help, contact us at support@startxpress.io!
Related Articles
Was this helpful?
0 / 0