Company beginning to extend town in Cheshire (5)
I believe the answer is:
crewe
'town in cheshire' is the definition.
(I've seen this before)
'company beginning to extend' is the wordplay.
'company' becomes 'crew' (a group of people).
'beginning to' says to take the initial letters.
The initial letter of 'extend' is 'e'.
'crew'+'e'='CREWE'
(Other definitions for crewe that I've seen before include "Ace wanderer lax (anag)" , "Cheshire town of railway fame" , "Famous railway town" , "railway junction" , "Cheshire rail junction" .)