A limited company must keep and maintain a Register of charges as required by law. You must make your company register available for inspection when a request to inspect the register has been made.
Information to keep in Register of Charges
The information and documents you must keep in your company register include:
- All charges specifically affecting your company’s property.
- All floating charges on the whole or part of your company’s assets or undertaking.
- A description of your company’s assets charged
- The amount of charge
- The name of the person entitled to the charge
- Copies of any instruments giving a mortgage or other charge over your company.
Register your charges with Companies House
Your company must register a charge or a mortgage within 21 days with Companies House. Otherwise, your company commit an offence thus you are liable to a fine.
Creditors and shareholders
The purpose of your register of charges is to give your unsecured creditors and other person giving credit to your company can see what part of your company’s property is already charged.
For this reason, your shareholders and creditors are entitled to inspect your register free of charge. Whereas, any other person may inspect your register for a fee prescribed.
Location of your register
Typically, your register of charges is kept at your company’s registered office address. However, if you keep your register somewhere else then inform Companies House. Thus, you submit the Single Alternative Inspection Location (SAIL) form specifying the location of your Register.