Registering your company with Companies House is an exciting milestone, but it’s just the beginning of your business journey. The first 30 days after incorporation are crucial for setting your business on a firm legal and financial footing. From opening a business bank account to registering with HMRC and arranging essential insurance, this practical checklist will guide you through the immediate steps every new company director in the UK needs to take.
| Task | Deadline | Why It Matters | Where to Do It |
|---|---|---|---|
| Open a business bank account | Within first 30 days (ideally immediately) | Separates personal and business finances; required for limited companies | High street banks, challenger banks (e.g., Tide) |
| Register for Corporation Tax | Within 3 months of starting to trade | Legally required to pay Corporation Tax on profits | HMRC online service |
| Set up accounting and record-keeping | Immediately | Ensures compliance with tax and Companies House filing requirements | Accounting software providers, spreadsheets |
| Arrange business insurance | Before trading | Protects your business and meets legal obligations | Insurance brokers, online comparison sites |
| Register for VAT (if applicable) | Before turnover exceeds £85,000 | Legally required VAT registration threshold | HMRC online |
Open a Business Bank Account
Use our free Startup Cost Estimator to build a realistic budget before you launch. Covers equipment, premises, marketing and more.
Estimate My Startup Costs →One of the very first things to do after registering your company is to open a dedicated business bank account. For limited companies, this is not optional — a business account is essential for keeping your company’s finances separate from your personal money. This separation simplifies accounting, helps maintain limited liability protection, and is expected by HMRC and Companies House.
UK banks and challenger banks offer a variety of options tailored to small businesses, often with online account management features to streamline your finances. When selecting a bank, consider fees, online banking functionality, integration with your accounting software, and customer support.
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Register for Corporation Tax with HMRC
Within three months of starting to trade, your company must register for Corporation Tax with HMRC. Failing to do so can result in penalties and interest on any unpaid tax. Registration is straightforward and must be done online using HMRC’s Corporation Tax registration service.
When registering, you’ll need your company’s Unique Taxpayer Reference (UTR) — which HMRC will send by post to your company’s registered address shortly after incorporation. If you start trading immediately after registration, don’t delay this step.
What counts as ‘starting to trade’?
HMRC defines ‘starting to trade’ as the point when your company begins to buy, sell, advertise, or hire employees. If you haven’t started trading yet, you don’t need to register until you do.
Set Up Accounting and Record-Keeping Systems
Keeping accurate financial records from day one not only ensures compliance with HMRC and Companies House but also gives you a clear view of your business’s financial health. You must keep records of all sales and purchases, expenses, and bank statements for at least six years.
Many small businesses use accounting software such as Xero, QuickBooks, or FreeAgent, all of which integrate with HMRC’s Making Tax Digital (MTD) system. MTD requires VAT-registered businesses to keep digital records and submit VAT returns online using compatible software.
If your business is VAT registered, you must comply with MTD for VAT. Otherwise, keeping digital records and submitting Corporation Tax returns online is still mandatory.
Arrange Business Insurance
Before you start trading, it’s vital to protect your company with the appropriate insurance policies. Some types of insurance are legally required, while others are strongly recommended to mitigate business risks.
For most UK businesses, the minimum legal requirement is Employers’ Liability insurance if you employ anyone. This protects your employees in case of work-related injuries or illnesses. Public Liability insurance is not compulsory but is recommended if your business interacts with the public or clients in person.
Common business insurance policies for new companies
- Employers’ Liability Insurance: Legally required if you have employees.
- Public Liability Insurance: Covers injury or damage claims from third parties.
- Professional Indemnity Insurance: Important for businesses providing advice or professional services.
- Business Interruption Insurance: Helps cover lost income if your business is unable to operate temporarily.
Shop around and consider speaking to an insurance broker to find the best cover for your sector and business size.
Understand Your Tax and VAT Obligations
Beyond registering for Corporation Tax, it’s essential to understand your ongoing tax responsibilities. For the 2026/26 tax year, the Corporation Tax main rate is 25% for companies with profits over £250,000, with a small profits rate of 19% for profits under £50,000. Businesses with profits between these thresholds pay a tapered rate. Keeping accurate records will help you calculate these liabilities correctly.
If your taxable turnover exceeds £85,000 in any 12-month period, you must register for VAT within 30 days of exceeding this threshold. Even if you don’t reach this limit, voluntary VAT registration can sometimes be beneficial for reclaiming VAT on purchases.
Registering for PAYE if you employ staff
If you plan to hire employees, you will also need to set up a PAYE (Pay As You Earn) scheme with HMRC before the first payday. This allows you to deduct Income Tax and National Insurance contributions from salaries and pay these to HMRC.
More detailed guidance on PAYE registration is available on GOV.UK, and payroll software can help automate these processes.
Key Takeaways
- Open a dedicated business bank account immediately to separate personal and company finances.
- Register for Corporation Tax with HMRC within three months of trading to avoid penalties.
- Set up robust accounting and digital record-keeping systems aligned with Making Tax Digital requirements.
- Arrange essential business insurance before trading, including Employers’ Liability if you have staff.
- Understand VAT registration thresholds and tax rates for the 2026/26 tax year to stay compliant.
- Register for PAYE before employing staff and ensure timely payroll submissions.
How soon should I open a business bank account after registering my company?
You should open a business bank account as soon as possible after incorporation, ideally within the first 30 days. This helps keep your company’s finances separate and is necessary for limited companies to meet legal and accounting requirements.
When do I need to register my company for Corporation Tax?
You must register for Corporation Tax within three months of starting to trade or carrying out business activities. HMRC requires this registration to ensure you pay the correct tax on your company’s profits.
What types of insurance does my new company need?
At minimum, if you employ staff, you must have Employers’ Liability insurance. Other common policies include Public Liability, Professional Indemnity, and Business Interruption insurance. The exact cover depends on your business activities and risks.
Official Sources
* GOV.UK: Set up a business · * HMRC: Income Tax rates · * HMRC: Corporation Tax · * HMRC: VAT registration