Page 28

Establishing a business in SA South Africa has eased the barriers to doing business in South Africa for locals as well as international companies and individuals.

S

Bank account A business bank account must be opened in the company’s name with a bank in South Africa.

outh Africa has a sophisticated legal, regulatory and banking system. Setting up a business in South Africa is a relatively straight-forward process with assistance being offered by organisations such as the Department of Trade and Industry and provincial investment agencies like the Free State Development Corporation (FDC). South African law regulates the establishment and conduct of businesses throughout the country. Tax, investment incentives, regulations governing imports, exports and visas are uniform throughout the country. The particular environment varies from province to province with regard to the availability of human and natural resources, the infrastructure and support services, business opportunities and the quality of life. In this respect, the FDC can offer specific advice about the business environment in the province. Business is regulated by the Companies Act and the Close Corporation Act, which cover accounting and reporting requirements. Under new legislation, no new Close Corporations can be created but CCs can convert to companies.

Registration with the receiver of revenue • As a Provisional Taxpayer • As a VAT vendor • For Pay As You Earn (PAYE) income tax payable on money earned by employees • For Standard Income Tax on Employees Registration with the Department of Labour Businesses employing staff will have to contact the Department of Labour regarding mandatory contributions to the Unemployment Insurance Fund (UIF). Register with Compensation Commissioner for Compensation Fund: Files with the Compensation Fund (in the Department of Labour) for accident insurance (Workmen’s Compensation). Registration with the local authority Relevant only to businesses dealing in fresh foodstuffs or health matters. Other procedures Checking exchange control procedures (note that non-residents are generally not subject to exchange controls except for certain categories of investment) • Obtaining approval for building plans • Applying for industry and export incentives

Registration of company The company must be registered with the Comp­anies and Intellectual Properties Commission, (CPIC) in Pretoria within 21 days of the company being started. There are a range of administrative procedures that need to be fulfilled. FREE STATE BUSINESS 2018

26

Free State Business 2018  

Free State Business 2018 is the seventh edition of this highly successful publication that has since its launch in 2008 established itself a...

Free State Business 2018  

Free State Business 2018 is the seventh edition of this highly successful publication that has since its launch in 2008 established itself a...

Advertisement