united-kingdom limited-liability-company
Company limited by guarantee - can minors be guarantors?
<p>In the case of companies described as a &quot;Private company limited by guarantee without share capital&quot;, I understand that all Members of the company act as guarantors.  In the case of it winding up, their liability is limited by the articles to a nominal fee (£1).</p>
<p>I understand that in a company limited by shares, there is no automatic prohibition on minors being shareholders, but they may not be bound contractually in some ways.</p>
<p>What happens in the case of a company limited by guarantee?  Can a minor enter into a contract of guarantee in this case, and be held to paying £1 on the dissolution of the company?  If not, does that mean minors cannot be Members of the company?</p>
<p>I can't seem to find anything relevant in the Companies Act 2006 - any sources for relevant information would be appreciated.</p>

<p>There is no statutory provision prohibiting a minor from being a subscriber of a company limited by guarantee. It is possible that the company's articles of association prohibit minors from becoming subscribers.</p>
<p>I am unable to locate any case law on the matter either. Therefore, as long as there's no contractual bar to becoming a subscriber (through the articles of association), I see no reason why a minor cannot subscribe to a company and offer  a guarantee.</p>
<p>It will, of course, be voidable at their own discretion until they turn 18, but that is a risk the company will be taking.</p>

<p>Generally speaking, one must be legally of age to enter into a binding contract, and generally also to own titled property, unless a conservator has been appointed for them, or the property is held by some other fiduciary (e.g. a trustee or custodian) on their behalf.</p>
