Limited company operating outside it's NACE code

Swampy

Hi all,

If i have a company that has been set up under a certain NACE code, say for example to supply motor parts, can the same company then set up another sideline that would be operating under another premis?

Would there need to be a change to the memo and arts? Or would it be ok to work away?

Thanks

dbran

Hi

Most companies have memo and articles that are very wide ranging and allow almost any activity to be carried out without the company acting ultra vires. You should check the memo and articles to see if this is the case.

If it is radically different you could amend the memo and articles to include a second main objects clause.

Kind Regards


dbran

Swampy

Great. Thanks.

sandyhills

The Memorandum of Association sets out the objects & powers of the company. Clause 2.a is usually your principal objects. if you want to carry out new activities then it is best practice to amend the objects by adding a new clause to give the company power to carry out that activity. You need to get the members to approve the change to the objects of the company

CompanyBureau

You can also just register a business name under the limited company that is solely involved in the new type of activity.