This article explains how to get a Legal Entity Identifier (LEI code) as a UK limited company.
The process is very simple and obtaining a LEI number will cost you around £50 + VAT. It takes approximately one day to get one.
Why get a LEI code?
According to the FCA:
An LEI is a code unique to that legal entity or structure. When an LEI code is allocated to you, the code is included in a global data system. This enables every legal entity or structure that is a party to a relevant financial transaction to be identified in any jurisdiction.
So in other words, it’s there to promote transparency in the markets. If you want to invest as a limited company in funds and shares like I do, you will need a LEI code because you are a financial entity.
If in doubt, ask your accountant or let me know if you need an introduction to a good one. My accountant suggested I get a LEI code and it was also required by Interactive Investors when opening a company account.
How to register for a LEI code
I found there are many places where you can apply for a LEI code. In fact, there is a great website (https://lei.codes) where you can see all the options per country sorted by price.
That’s amazing thanks Christian Schmidt. I initially thought London Stock Exchange is the place to go but as expected, you’ll have to pay the price – £138 to be exact!
Bloomberg, on the other hand, is also well-known but quite cheap. So I chose them.
Time needed: 15 minutes.
Here’s my step-by-step guide to getting a LEI code for your business.
- Create an account on lei.bloomberg.com
You just need to provide your name, address, and basic company information.
- Start a new LEI Web Form application
Fill in the company details like the legal name, registered address etc. My Registration Authority is England and Wales, and I have a private limited company but these may be different for you.
The only tricky bit is the “Relationship” section. I contacted Bloomberg, and since I’m a standalone Ltd, I had to put “I do not have a direct parent entity”, Exception Reason: “Natural Persons” or “No Known Person”. For the “Ultimate Parent” I selected “Same as Direct Parent.” - Submit the company certificate of incorporation (PDF)
It’s a drag and drop section.
- Download and Submit the Self-Authorization or the Third-Party Authorization form
To put it simply, if you have created a Bloomberg account using your company e-mail address ([email protected]) then use the Self-Authorization form. Otherwise, if you use a third-party e-mail like Gmail or iCloud, use the Third party authorization form. Fill in your company details in the “Authorising company” section and your personal details in the “Authorized person” section.
- Pay and finish!
The LEI code costed £59 (incl VAT) which is the equivalent of $65 + VAT. I’m not registered for VAT so I selected “private individual” in the payment section. Congratulations, you now have submitted your LEI code request.
All in all, it took me 15 minutes to complete the application once I had all the info. I hope I saved you some time here.
If you decide to go with Bloomberg, they also have a User Guide and an FAQ Section. It explains how to go about the company parent thing: See “What are the options for reporting Level 2 Relationship Data?”.
It took one day for my LEI code to be created and I received the invoice receipt in my inbox the next day.
The LEI code looks something like this: “252500JXLFBM5NUSOE54” and it’s renewed automatically every year for a lower cost.
Related articles:
- Contractor Resources (coming soon)
- How to invest your company cash
- Perm vs Contracting: The Ultimate Comparison
17 thoughts on “How to get a LEI code and why – UK Limited Company”
Hi Michael,
This is very useful to know. I have just added the SIC code during my latest Confirmation Statement submission for my ltd company. I was not aware of this additional step before creating an ltd company trading account.
Are you able to clarify if ltd company investments in index-linked and etfs funds like the Vanguard Developed World funds are in scope for the LEI code? Or perhaps it is limited to equities only?
Thanks,
Nish
Hi Nish,
Some providers may need it, some may not. In fact, Vanguard did not ask for it when I signed up with them as a company and they haven’t so far. Interactive Investors, on the other hand, do need it on the application form. I obtained one to also be on the safe side.
By the way, why don’t you ask them and let us know?
Cheers,
Michael
I believe Interactive Investor require if more than one Director. From their support…
“In regards to an LEI, you will not need one if you are the only director mentioned. If there are more then you will need one.”
Great article Michael.
I was looking at this and contemplating whether to go ahead or not for myself.
Side question for you, with the ii account set up and LEI code registration in order to begin proceedings (on the safe side). Did you have file any of those RTS27/RTS28 reporting for ESMA given that the firm (your company) is now involved with financial investment transactions? Or does that only apply to proper investment trading firms that trades on behalf of clients?
Thanks,
Steven
Hi Steven, no I didn’t have to file any reporting for ESMA. I am not sure they’re applicable.
I have once ordered from Bloomberg and the process was quite smooth. Has anyone tried https://www.legalentityidentifier.co.uk ?
They seem to offer a multi year registration at a reasonable price.
Hey Chris, yeah I’ve found the Bloomberg process quite smooth too. I’ve not tried the service you mentioned. I’ve also heard of https://managedlei.com which is a more personal service.
Hi Michael. I’ve just come across this comment and wanted to say thanks for mentioning us. We are indeed a more personal service, we have a live chat and a UK number available 24/7 all year round. We can also issue in minutes due to automation. Don’t hesitate to contact us for any LEI needs.
Hi Cristina,
Just used your service and it was really easy. I got the LEI within 5 minutes, and the process was very smooth. I don’t understand why the other providers make it so complicated.
Hi Steve,
I am very happy to hear it all went smoothly and you were pleased with our set up. We have been taking all feed back on board and tried to make it as simple as possible for our clients.
Many thanks for the order and feedback.
I used https://www.legalentityidentifier.co.uk and they were very quick in generating the number and the certificate. It took 10 minutes to receive the number after registration. The registration process was so simple, no questions asked. They pulled all the information from company house.
I can second this. Very easy to register and quick to receive the LEI. Also very cheap.
Originally, I started the registration process on the London Sock Exchange as this was the link provided by Hargreaves Lansdown, but having seen the form I needed to fill in I looked around and found your post, which was very useful.
Hello
As a contractor who has a limited company and is investing surplus cash via brokers (Hargreaves Landown, Share Centre) I already have an LEI and have renewed it last year. Can someone please confirm if it is actually necessary to renew the LEI? From some posts I have been reading it seems that is might be sufficient an LEI exists for the company and not necessarily “active”.
See here: http://trustsdiscussionforum.co.uk/t/renewing-a-trusts-lei-necessary/7065
I think the best person to ask is your accountant or HMRC. Maybe HL allow it but since it is so cheap I set mine on autorenew and always have an active LEI
Hi
Who do you recommend for buying US stocks via a company?
Hi K, have a look at this Interactive Brokers review for limited companies.
Michael,
Thanks very much for this. Exactly the info I needed.
Signed up with Bloomberg as you recommended.
Cheers,
Mark