At the time of writing, I’m 15 years old. Next month I turn 16, which means I’ll finally be able to step up as the official Director of my company.

If you’re under 18 and you want to start your own business properly, here’s the exact blueprint I followed (and what I’ll be doing next).

Step 1: Registering the Company

You can’t legally be a director until you’re 16. The way around this is to get a parent or guardian to set up the company for you.

• You go to Companies House and register a limited company.

• Standard cost: £50.

• My cost: £15 because I went through Tide banking, which bundled the company registration with a business bank account.

Think of this step like laying down the foundation of a house. You’re not living in it yet, but the structure is set.

Step 2: Running It While Under 16

Once the company is formed:

• Your parent/guardian is listed as the director. Legally, they’re running it.

• Payments go into the company’s business account, which is linked to the company and not your personal finances.

• Confirmation Statements need to be filed yearly.

A confirmation statement is basically a status update for your business. It tells Companies House and HMRC:

• “We’re still active.”

• “These are the directors.”

• “This is our address.”

If anything changes, you update it. If nothing changes, you simply confirm it. It’s like updating your profile on social media so everyone has the right details except this time, it’s the government keeping track.

I’d recommend you sit with your parent while they do this, so you can learn too

Step 3: Turning 16 Becoming the Director

This is the step I’ll be doing next month. When you turn 16, you can legally become the director of your company.

The smart way to do it is:

• Add yourself as a director.

• Keep your parent/guardian involved, but shift their role to Company Secretary.

Why? A secretary doesn’t make business decisions, but they can handle filings and admin. It’s like having a co-pilot in the cockpit you’re flying the plane, but they’re there to back you up.

Step 4: Opening Your Own Company Bank Account

Every limited company needs a separate business bank account. You cannot (and should not) run a company through a personal bank account legally and financially it’s a different entity.

When you’re under 16, the account is in your parent’s name. Once you become a director at 16, you’ll want to open a company account in your own name.

• Monzo currently allows 16-year-olds to open business accounts, and it’s one of the easiest options.

• Other high-street banks often have stricter age limits (usually 18+).

• To open the account, make sure your company details are up to date on Companies House, then apply with your director information.

This way, the money your business earns flows properly into the company account, keeping everything separate from your personal spending. That’s essential for taxes, accounting, and credibility when dealing with clients.

Looking Ahead

Starting a company under 18 sounds complicated, but in reality it’s just about timing and structure. Before 16, your parent holds the steering wheel while you learn. At 16, you move into the driver’s seat, and they take the passenger side as backup.

That’s exactly the path I’ve taken and next month I’ll be making that final transition myself.

🔗 Useful Links

• Register a Limited Company with Companies House

• Set up your company via Tide (includes company registration + business account)

• Open a Monzo Business Account

All the best

Yousaf