In this post, we will talk about ” HOW TO REGISTER A COMPANY IN SOUTH AFRICA “.Previously we discussed “HOW TO REGISTER A TOUR COMPANY IN KENYA“.
HOW TO REGISTER A COMPANY IN SOUTH AFRICA
Guess you have asked many people about how to register a business in South Africa and they have not been able to satisfy you with an answer? This is the only medium you get first-hand information on how to register a business or company. This article has satisfied your desires before even reading it. Check it out…
The registration of companies and business names is spearheaded by the Companies and Intellectual Properties Commission (CIPC). The CIPC registers Companies and Co-operatives. It is not necessary for all businesses to formalize by registering with the CIPC. For some businesses, such as informal businesses and sole proprietors, there may not be sufficient benefits.
Businesses that wish to transact with government and the formal sector, or that wish to access certain types of government support, are generally required to be registered with the CIPC. For these businesses, there may also be tax benefits to registration, as registered businesses have a lower tax rate than individuals. Even though you may not be registered with the CIPC, you will still have to be registered with the South African Revenue Services and will still be liable for tax if your turnover exceeds the prescribed threshold.
Registering a business is simple and inexpensive if you follow the steps outlined on the website of CIPC. The first step is to be registered as a CIPC customer. However, it brings with it certain responsibilities, irrespective of whether the business is trading. For example, you will need to file an annual return and pay an annual fee.
REGISTRATION NUMBER AS A COMPANY NAME IN SOUTH AFRICA
In terms of the Companies Act, 2008, a company may be registered with or without a company name. When a company is registered without a reserved name, its registration number automatically becomes the company name. This is the quickest way to register a company.
Such a company may transact with a trading (business) name or may apply to add a reserved name at a later stage. In this case, the company will need to first reserve a name and then apply for a name change, which constitutes a change to its memorandum of Incorporation (MOI) (refer to Maintain a Business).
If your initial name reservation application is not approved, you will need to apply for new names. You may apply for between 1 and 4 names during each application process.
FEE FOR REGISTERING A COMPANY IN SOUTH AFRICA
Each name reservation application costs R50. A company registration may vary between R125 and R475 (R125 for a private company, R475 for a non-profit company registered without members).
There are five types of companies that you can register. If you wish to run a franchise business, you would register a private company. If you wish to register a church, you would register a non-profit company. A private school could be registered as a private company or non-profit company, depending on its objectives. An association of professionals such as lawyers, doctors, civil engineers etc, may be registered as a personal liability company.
FIVE STEPS FOR REGISTERING A COMPANY IN SOUTH AFRICA
Keen on starting your own business? Follow these 5 easy steps to register a company in South Africa:
1. Register as a Customer. You will need to register as a customer to be able to login into the CIPC website. Click on the Customer Registration tab in the left corner > Enter your details and login.
2. Name Reservation. Before registering your company, you will need to reserve a name for your company as well as 3 alternative names. Click on the Name Reservation tab in the left corner > Enter your company name and 3 alternatives, then save your name reservation tracking number.
3. Enter details. Your next step is to enter your company details which include your directors, your auditors, and other company officers.
4. Confirm and print. Once you are happy with all the details for your company confirm and print out a copy.
5. Submit. Sign your documents which you have printed out and deliver them at the CIPC offices where it will be processed immediately.
Is this not easy? What then are you waiting for. Hurry and register your business. You can appreciate us later. Good luck.
In the next post, we will talk about “HOW TO REGISTER A COMPANY ONLINE IN KENYA“