We guide you through the intricacies of establishing your business, advise on incorporation of the most suitable business entity or vehicle, facilitate a seamless registration processes and assist in obtaining the requisite business licenses.
Business Set Up
Our Services Include:
1. Business Entity Advisory
We provide expert guidance and strategic advice to individuals, entrepreneurs, or companies on selecting the right business vehicle, structuring, and managing a business entity that best aligns with their goals.
2. Business Registration for entities including:
- Business names;
- Partnerships;
- Limited liability partnerships;
- Private Companies limited by shares;
- Private Companies limited by Guarantee;
- Public Companies;
- Non-Governmental Organisations (NGO’s); and
- Co-operative Societies.
- Local Branch/Subsidiary
3. Advising on and obtaining business Licenses, Permits and Statutory Registrations
- The first step to legally operate in a market is the entity set-up. Once the registration process is complete, the investor is issued with a certificate of registration which can be either a certificate of compliance, a certificate of incorporation, a certificate of registration or a Business Name certificate. We also assist in applying for other documents of your business registration such as the CR12 which is very important as it stipulates the company’s shareholding and directorship.
- Other statutory registrations that are required and that we can help you procure include:
- Kenya Revenue Authority (KRA) Personal Identification Number (PIN). This is a unique tax number issued by the Kenya Revenue Authority (KRA). The PIN enables KRA to track the company’s compliance with tax, returns and statutory obligations as per Kenyan law.
- Permanent Establishment Registration with KRA. Note that when it comes to taxes, compliance applies to any type of Permanent Establishment (PE).
- Pay as You Earn (PAYE). As an employer, you are required to deduct PAYE from your employee’s salaries and wages at the prevailing rates and remit the same to KRA on or before the 9th of the following month. PAYE is chargeable to persons with a monthly employment income of Kshs. 24,000 and above.
- Corporate Income Tax (CIT). The Corporate Income Tax is one of the obligations of a company in Kenya. The rate of Corporate Income Tax for resident companies, including subsidiary companies of foreign parent companies, is 25%. The CIT rate for branches of foreign companies and PEs is 37.5%.
- Value Added Tax (VAT) Registration – VAT registration can either be mandatory or voluntary on the following basis:
- Voluntary where the activities of the company involve the purchase and sale of vatable goods or services. VAT is currently charged at 16% and is remitted to KRA on or before the 20th of the following month.
- The only time registration for VAT becomes a mandatory exercise is when the company equals and exceeds the threshold of Kshs. 5 Million turnover per year.
- Tax Compliance Certificate (TCC)– This certificate can be very helpful for companies in Kenya as they will be viewed as tax compliance and law-abiding. The major advantage of the TCC is that it proves compliance thus facilitating several administrative procedures.
- Local Authority (County) Business Permits – A business permit is proof that a company has been licensed and is authorized to conduct business in a physical space. It is issued by the local county authority and includes a Fire Permit Licence and Advertisement licence among others.
- NSSF and SHIF Registrations – The Social Health Insurance Fund (SHIF) and the National Social Security Fund (NSSF) are the government parastatals that handle health and retirement benefits, respectively. By law, any new company with at least one employee must register with the two entities. It is a mandatory requirement to remit NSSF and NHIF deductions to the local NSSF and NHIF offices every month. Failure to register or late remittance of these contributions, as required, will automatically trigger criminal sanctions and penalties.
- National Industrial Training Authority (NITA) Registration – Employers need to register as training levy payers and pay an industrial training levy at the rate of Kshs.50 per month per employee. NITA offers high-quality standards of industrial training in Kenya and they can supply well-trained manpower at all levels.
- Work Injury Benefit Act (WIBA) Insurance – This is an insurance cover that protects employers, should their employees incur injuries or die in the course of their employment.
- Domiciliation and Representation. Bellmac offices are available for use as a local registered address by clients. We assist Clients who require Directors or Trustees by offering staff to act as a local representative to government agencies, and banks and/or form part of the legal representation of the company.