Purpose of the LTD and Opening of Branches

The question often arises about where the business purpose of a LTD is regulated. Before the Companies Act 2006 amendment in Oct 2009, the business purpose was noted in the statutes.  

This is no longer the case.  
Rather, the Companies Act 2006 in Part 3, Chapter 4, Sec. 31 (1), states that the business purpose of a LTD is unlimited unless such a restriction is noted in the Articles of the company.  

A restriction could be implemented through a special resolution and notification to the Companies House.  

The unlimited nature of the business purpose also includes the right of the company to establish branches abroad.  

Legal text:  
CHAPTER 4  
MISCELLANEOUS AND SUPPLEMENTARY PROVISIONS  

Statement of company’s objects  
31 Statement of company’s objects  

(1) Unless a company’s articles specifically restrict the objects of the company, its objects are unrestricted.