Understand the Jurisdictions Setup Requirement Before Proceed Your Company Registration in South Africa
Like any other nation, the Company Act regulates company registration in South Africa as part of the business assessment. Then, if you’re a foreign investor with plans to invest in South Africa, you must first apply for the name reservation with the Companies and Intellectual Property Commission (CIPC). Also, the commission permits you to fill up to four proposed names for consideration. Ensure that the name of the applicant listed on the name registration and the new company registration is the same. Note that when you apply manually, you’re eligible to pay a nominal fee of R75 whereas electronic application is chargeable at R50.
In addition, the form that you’re eligible to fill in is the notice of incorporation. Then, the requirement is you attach your Memorandum of Incorporation (MOI) and submit accredited copies of the IDs of the owner(s), the applicant and the shareholders. The nominal fee for this particular form varies with the kind of Memorandum of Incorporation form. Also, the Registrar of Companies does the name reservation and approval for the local investor.
Company Registration in South Africa Starts Company Formation
This process of company registration may at times be involving a lot of paperwork. But the process is now easier and constitute a fair deal of paperwork and time though 3E Accounting. As an internationally accredited business solution provider you’ll get services ranging from:
- Corporate setup
- Taxation and auditing services
- Immigration and human resource services
- Information Technology services
Whether you’re a local or a foreigner the doors are open you only need to present your documents and ask for assistance.
The Process of Company Formation
In South Africa, the legal entity is made up of two types of structure that are the Private Limited Liability (Pty) and the Close Corporation (CC). For a Private Limited Liability, you’re required to have a minimum of one shareholder, and one is also permitted to have Corporate shareholders. Again, you’re allowed to have a minimum of one director with no corporate director as part of company registration in South Africa.
Within the Company Acts guideline, every company must register as a taxpayer with the South African Revenue Services (SARS). Therefore, you’ll need to register for the income tax, VAT and the Withholding tax. It takes two weeks to complete the process.
It is the prerequisite of every registered company to open a bank account. The procedure and the legal documents needed may vary from bank-to-bank. Having a registered office is part of company registration in South Africa. The application is under your local municipality jurisdiction.
Besides having a registered office, it is mandatory for you to secure a business license which will assist you in opening your bank account and getting other necessary government certificates.
According to the Employment Act, each company must register with the Unemployment Insurance Fund (UIF) within the Department of Labour. Similarly, your entitlement is to register your employees with the Commissioner for Occupational Injuries and Diseases Act.