Today a client reached out to me.
I had registered his enterprise for him about 2 years ago.
He needed to enter into a particular contract and he was told that he could not do that with his business name registration as the company needed to have a particular minimum share capital to be eligible for the contract.
He was also looking at going into several other businesses for expansion purposes.
He has only now realised that the enterprise registration he did had some limitations, now he is blaming me for not convincing him hard enough to do a limited liability company registration once and for all even he had insisted on a business name registration.
You know what they say, you can force a horse to the river but you can’t force it to drink water.
Regardless of what I say, and how many times I try to convince you about why an LLC is better, the ultimate choice is still yours.
If you are also facing a similar situation. You have got two options
1. Do a fresh company registration
2. Apply for an upgrade of the business name to a Ltd liability company.
Doing a fresh company registration is a whole lot easier in terms of costs and time for completion.
It is also recommended if the company hasn’t really started operations yet, or if you are not so particular about the name.
Doing an upgrade is recommended where the business or its name has gone viral and you want to maintain the same name.
Doing an upgrade means you will loose the business name/enterprise but you will still be able to use the same name with the suffix “Ltd or Limited”
However an upgrade is more expensive and more time consuming.
Like I have always said, whatever is worth doing is worth doing well.
Sometimes opting for an Ltd once and for all is better than doing a business name with the hope to upgrade.
I hope this helps someone in his decision making process.
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