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Jurisdiction(s):
United Kingdom
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Key definition
Dormant Company definition

What does Dormant Company mean? In legal practice, a dormant company is one that is not trading and has no significant accounting transactions in the relevant financial period. Such vehicles are often kept to reserve a name, hold an asset or retain a non‑trading subsidiary pending future use. In the UK, the Companies Act 2006 defines dormancy by the “no significant accounting transaction” test; a limited class of transactions is expressly disregarded (for example, payment for the initial subscriber shares and specified Companies House fees). The same statutory position applies in England & Wales, Scotland and Northern Ireland. In Ireland, the Companies Act 2014...

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Dormant companies under the Companies Act 2006: definition, annual obligations, accounts preparation, filing and audit exemptions, parent undertaking guarantees, and ending dormancy

Practice notes
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A dormant company is formed and run much like any other company. Nevertheless, the standard duties on accounts and audit that ordinarily apply to a company are relaxed for a dormant company as such.

What is a dormant company?

A company is dormant throughout any period in which it has had no significant accounting transaction of any kind...

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Web page updated on 21/05/2026

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Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...

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I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...

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