It is a legal requirement to register a company before can start trading in Kenya. This is done at the registrar of companies offices located at Sheria House along Harambee Avenue.
In this step by step guide, we will take you through all the steps that one is required to undertake in order to register a private limited company in Kenya.
The first step when registering a business in Kenya is performing a name search. You are required to submit three names of your desire to the registrar at a cost of KES. 1000. The submitted names may be accepted or rejected depending on rules governing name reservation or existence of another business with a similar name.
This process is fast and the fee is payable via M-Pesa paybill service.
If the name is accepted, the registrar will reserve it for a period not exceeding 30 days.
Preparation of Memorandum and Article of Association.
This is the second step after you are through with the name search process. A memorandum of association is a document describing the constitution of the company and it also contains the objectives of the company.
These documents should be drafted by an advocate with a license from the Law Society of Kenya (LSK).
The cost of having the document prepared is around KES. 10,000.
Fill Form 201 (Situation of Office Form)
This form contains details about the physical premises of the company and must be signed by one of the directors of the company or the secretary of the company.
This form is also filled by an advocate.
Fill Form 203 (List of Directors Form)
This form contains the name of the company secretary and a list of all the directors. It must also be stamped by the company secretary.
This form should be filled and signed by a Certified Public Secretary of Kenya (CPS) who is required to be a member of the Institute of Certified Public Secretaries (ICPSK).
The cost of having this done is about KES. 5,000.
Sign Form 208 (Declaration of Compliance Form)
This form must be signed by a commissioner of oaths on behalf of the company.
Pay the Stamp Duty
Once you are done preparing the memorandum and article of association, the documents must be triplicated. The next step is to bind each copy before lodging them with the registrar of companies for stamp duty payment.
The amount of money that you pay as stamp duty depends on the nominal capital you declared with the minimum stamp duty being KES. 2,140 if the nominal capital of KES. 2,000 was declared.
File the Documents at the Registrar’s office.
After paying the stamp duty, all the documents should be forwarded to the Registrar of Companies.
This process takes about three to four weeks after which you are issued with the certificate of incorporation.
There is a varied fee attached to this step.
Purchase a company Seal
This is a device that embosses the name of the company on official documents and it is used as a company signature.
We have been helping Kenyans register their companies online for years and if you are interested or have any questions, we are waiting to help you register your company now. We will respond to your queries within an hour of submitting a query.