Setting Up a UK Company for Children's Clothing

Children's clothing is a strong niche for Pakistani manufacturers. A UK company lets you import and sell with a big VAT advantage.

How to set up your UK company

The process is the same wherever you are in Pakistan, and you never need to travel to the UK. As children's clothing, here is how we get you trading:

1. Register your UK limited company — usually within 24 hours, with directors, shareholders and share structure set up correctly.
2. Get a UK registered office — a UK address for Companies House and HMRC, keeping your home address private.
3. Register for VAT and an EORI where needed — so you can import stock and reclaim or charge VAT correctly (see below).
4. Open a UK business bank account — so your company can receive payments and pay suppliers in GBP.

Banking & getting paid

A UK business or fintech account (such as Wise or Revolut Business) lets your company invoice clients, receive marketplace payouts and pay suppliers in pounds — usually without visiting the UK. We guide non-resident directors through the options and help prepare your documents.

VAT & tax for Children's Clothing

VAT. Children's clothing and footwear are zero-rated (0%) for UK VAT, so you charge no VAT on qualifying sales — but you should still register to reclaim import VAT. Sizing and age rules determine what qualifies, so accurate classification matters.

Corporation tax. Corporation tax applies to profit; zero-rating helps your pricing. You take money out as a mix of salary and dividends, and we plan this efficiently.

Key considerations for children's clothing

• Zero-rating rules and size limits
• Import VAT reclaim
• Product safety standards

How Kingswood helps Children's Clothing

We are UK-headquartered Chartered Certified Accountants with an office in Lahore, so you get UK expertise with local support in Urdu and English. For children's clothing we handle:

• Formation and VAT (zero-rated) setup
• Correct VAT treatment of ranges
• Accounts and tax