Can you run a business without registering? In short, yes, but registering a business comes with certain legal benefits. One benefit is asset protection which ensures the safety of personal assets in the event of a lawsuit against the company. Registering a business ensures the legal protection of the company name so it cannot be claimed by anyone else. It can also make it easier to apply for and receive funding. Acumen Group provides business registration services and we will be with you every step of the way. There are certain requirements to meet when registering your business, and they are highlighted below.
1. Business Name
It is ideal to choose a name that will have the desired impact on your target audience, letting them know what services you offer. It is equally important to consider the legal requirements and future marketing strategies when deciding on a name for your business. Depending on the legal structure of a business, specific add-ons need to appear in the name of your business, such as “Incorporated” or “Pty Ltd”.
2. Business Name Registration
You can register a business using its enterprise number and add a business name at a later stage. However, in order to register a business name, you first need to reserve a name for your business. Businesses will submit an application to the CIPC to ensure name availability and that no two companies are operating under the same one. Once the name has been approved, you can then register your business under that name on the same website for a small fee.
3. Business Entity
Each type of business entity comes with its own legal restrictions and required registration documentation. The types of entities in South Africa include Private (Pty Ltd) and Public Companies (Ltd), Personal Liability Companies (Inc.), and Non-Profit Organisations (NPO). At Acumen Group we provide assistance to business owners in choosing the right type of entity.
4. Registration Documents
As previously mentioned, there are certain documents that ought to be submitted to the CIPC depending on the type of entity a business will be registered as. All companies should submit a Notice of Incorporation (CoR 14.1) and Memorandum of Incorporation (CoR 15.1 A-E), which includes business-specific information such as the business name, address, etc. For private companies, there will be other supporting documents to submit for registration.
5. Online registration
The CIPC portal allows a business to be registered online, without the need to wait in a queue. In order to do this, business owners must create an account by selecting the ‘register’ option.
Before registering your business, you must first provide certain information and we can assist in accumulating the relevant documentation. We are equipped to provide a range of secretarial services, from the registration of your company to annual return calculation and submission services.
