Business set up
A business setup refers to the process of establishing and structuring a business. This includes choosing the type of business (such as a sole proprietorship, partnership, or company), registering it with the relevant government authorities, obtaining necessary licenses, and setting up operations like banking, taxation, and staffing.
Setting up a business in Kenya involves several key steps. Here’s a simple breakdown of the process:
Choose a Business Structure
Decide on the type of business you want to start:
- Sole Proprietorship – Owned and run by one person.
- Partnership – Owned by two or more people sharing profits and responsibilities.
- Limited Company – A separate legal entity with shareholders and directors.
Name Search and Business Registration
- Conduct a name search on the eCitizen portal to check if your preferred name is available.
- Register the business with the Business Registration Service (BRS) via eCitizen.
- For companies, prepare and submit documents like the Memorandum & Articles of Association and CR1 form.
Obtain Necessary Licenses & Permits
Depending on your business type and location, you may need:
- A Single Business Permit from the county government.
- A Kenya Revenue Authority (KRA) PIN for tax purposes.
- Industry-specific licenses (e.g., health permits, food handling certificates, NEMA approval for environmental businesses).
Open a Business Bank Account
Once registered, open a business account using your registration certificate and KRA PIN.
Set Up Tax Compliance
- Register for VAT (if applicable) and PAYE (if hiring employees) through iTax.
- File taxes regularly to remain compliant.
Set Up Business Operations
- Secure a business location or office.
- Hire employees if needed and comply with labor laws.
- Develop a marketing and operational plan.
Would you like help with a specific step in the process? Talk to us!