When a limited company is formed in the UK, it must have a set of governing rules that determine how it is run. These rules are contained in a document called the articles of association — a term founders encounter during registration, often without a clear sense of what these documents contain or how much they matter for the way a company operates in practice.
Articles of association are the constitutional rules of a limited company, setting out how the company is governed, how decisions are made, the rights attached to different classes of shares, and the procedures for appointing and removing directors. Founders can adopt model articles — a standard template from Companies House — or submit custom articles. Model articles suit many simple structures, but companies with multiple founders, complex share arrangements, or investor relationships often benefit from custom articles.
Articles of association are public documents filed at Companies House and can be amended after formation, but amendment requires a formal shareholder resolution and a filing process. For companies intending to raise external investment, it is common for investors to require amendments as part of a funding round. Our guide to articles of association explains what each section covers and when custom articles are worth considering.