Business Stationery Requirements

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Updated: 12.01.2024

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Introduction

The Approach to this and all Articles is consistent with our Standard System and Procedure.
Many businesses spend time creating their logo and brand, marketing and advertising these to the public.
It is often very easy to overlook the legal implications of business stationery requirements which include letters, invoices, mail shots, and statements.
These requirements vary depending on the nature and structure of the business and the officers of the organisation may be liable to penalties for non-compliance.

Sole Trader Stationery Requirements

A Sole Trader can trade under their own name or can choose a different business name.
If using a business name that is not their own name, the Sole Trader must include their own name and the business address on all letterheads and order forms.

Partnership Stationery Requirements

For a Partnership, business letterheads, order forms, receipts and invoices must include the names of all partners and the address of the main office.
If there are many partners, then it is also acceptable to state where a list of partners may be found.

Limited Company or LLP Stationery Requirements

Whether in hard copy, electronic or digital (i.e. emails websites, extranets), the business name must be stated in legible lettering on all of the following:
Business Cards, letters and order forms;
Notices and other official publications;
Bills of exchange, promissory notes, endorsements, cheques and orders for money or goods purporting to be signed by, or on behalf of, the company or LLP;
Bills of parcels, invoices, receipts and letters of credit;
Websites.
Additional requirements apply to your business letterhead, order forms and websites.
In addition to the registered name, for each of the above, the following information must be stated:
The country within the United Kingdom in which the company or LLP is registered;
The registered number;
The registered office address;
If the company is being wound up, this must also be stated.

Invoices – what they must include

Your invoice must include:
a unique identification number;
your company name, address and contact information;
the company name and address of the customer you’re invoicing;
a clear description of what you’re charging for;
the date the goods or service were provided (supply date);
the date of the invoice;
the amount(s) being charged;
VAT Number and amount if applicable;
the total amount owed.

Sole trader invoices

If you’re a sole trader, the invoice must also include:
your name and any business name being used;
an address where any legal documents can be delivered to you if you are using a business name.

Limited company invoices

If your company is a limited company, you must include the full company name as it appears on the certificate of incorporation.
If you decide to put names of your directors on your invoices, you must include the names of all directors.

VAT Invoices

You must use VAT invoices if you and your customer are VAT registered.
These include more information than non-VAT invoices.

How Does This Effect Email Communication?

Businesses of all types need to assess the requirements of business stationery for email communication.
The general rule of thumb is that if the paper equivalent is caught by the stationery requirements then the email is also caught.
Most businesses will show the required information in the email footer automatically added when sent or require all employees to use a consistent email footer including these requirements.

Disclosures relating to registered office and inspection place

A company must disclose the following to any person it deals with in the course of business who makes a written request to the company for that information:
address of its registered office;
any inspection place;
type of company records which are kept at that office or place.
The company must send a written response to that person within five working days of the receipt of that request.

Requirement to display registered name at other business locations

The Companies (Trading Disclosure) Regulations 2008 ^*1 applies to a location other than a company’s registered office or any inspection place.
A company must display its registered name at any such location at which it carries on business, unless the location is primarily used for living accommodation.

Offences for Non Compliance

Where a company fails, without reasonable excuse, to comply with any requirement of The Companies (Trading Disclosures) Regulations 2008 ^*1
an offence is committed by the company and every officer of the company who is in default.
A person guilty of the above offence is liable on summary conviction to a fine not exceeding level 3 on the standard scale and for continued contravention
A daily default fine not exceeding one-tenth of level 3 on the standard scale.
For the purposes of this regulation a shadow director is to be treated as an officer of the company.
For the purposes of this regulation a shadow director is to be treated as an officer of the company.
As per Criminal Justice Act 1982 ^*2 the standard scale of fines for summary offences is shown in this link, with a daily charge of £100 for continued breach.

Other Requirements

For certain types of organisations there are some additional requirements for stationery and documentation.
Where a limited company is exempt from the requirement to use the word limited as part of its registered name ^*3, it must state the fact that it is a limited company.
A community interest company which is not a public company must state the fact that it is a limited company.
An investment company^*4 must state the fact that it is such a company.
A charity whose name does not include either of the words ‘charity’ or ‘charitable’ must state that it is a charity.
Where the name of a director of the company is included, other than in the text or as a signatory,
The letter must disclose the name of every other director.
There is no requirement to show director names at all, so effectively the company must show either all of names of the directors or none of them.
If the company chooses to display its share capital, it must show the amount of paid up share capital.

Finally

Any penalties for non-compliance will not come without advice and a prior written warning from Companies House so there is always time to put the errors and mistakes right.
If you think that you may be in breach of the rules, contact Avar now for a review consultation.

References

** Statements and opinions expressed in articles, reviews and other materials herein are those of the authors; the editors and publishers. While every care has been taken in the compilation of this information and every attempt made to present up-to-date and accurate information, we cannot guarantee that inaccuracies will not occur.