It's EASY to open a business. Too easy...?

Companies House in the UK have recently updated theri rules and processes but it’s still very easy to open a limited company and trade under it.

I’ve had come accross people opening and closing LTDs regularly to avoid paying suppliers and staff. These companies use purchased post-forwarding addresses for mail or their accountants address.

When they stop paying their subcontractors and even when a court case is won (CCJ) it’s impossible to collect the debt. There are not assets at the purchased address and accountants simply confirm the same when bailiffs attend.

Something should be done about this.