RR01 Application by a Private Company for Re-registration as a Public Company

Limited companies can be either public companies or private companies. Most companies are private, and the rules and regulatory requirements which a private company must comply with are much lighter than those which apply to public companies. There are, however, two main advantages to trading as a public company:

• There is a degree of prestige attached to operating as a public company and this may be a useful tool for marketing the company to potential clients and potential business partners.
• Public companies can offer their shares to members of the general public, and are therefore able to attract investment and raise additional capital much more easily than private companies.

A company which is registered with Companies House as a private company may re-register as a public company by passing a special resolution approving the re-registration. This resolution can be passed with the agreement of at least 75% of the shareholders either by taking a vote at a general meeting, or by using the new written resolution procedure under the Companies Act 2006.

The company’s should send a completed copy of this form, together with the relevant filing fee (£20 at the time of writing) a copy of the resolution and the amended Articles of Association to Companies House. Additional supporting evidence will need to be provided, including an auditor’s report confirming that the company’s accounts meet the required standard.