Starting a business can be a fulfilling experience with great rewards. However, it’s also a huge risk and one mistake could lead to your business closing down. One common mistake many entrepreneurs make is failing to register their business. A business can operate successfully without being registered formally but this leaves room for a bigger liability than when it is registered. Additionally, registering a business on eCitizen opens doors for business owners that would have remained closed such as access to loans and brand protection.
There are many reasons entrepreneurs don’t register their businesses. For many, they find the process long and tedious, owing to the complicated process that used to be in place. Registering a business in Kenya used to require documentation and a lawyer which left out many small businesses.
Nowadays, it’s a simple process that can be completed online on the eCitizen website. Here’s a step-by-step guide to help you register your business online in Kenya.
Requirements for registering a business on eCitizen
- Copy of proprietor’s national ID card
- Proprietor’s passport photo
- Proprietor’s KRA PIN certificate
- At least 3 proposed business names
- Business details ie Nature of business, Proposed Business Location, Physical Address, Phone number & Email Address of the Proprietors
Application process for registering a business online
- Visit the eCitizen website and log into your account
- On the dashboard, select register a business tab
- Click Proceed on the Companies Registry Services tab
- Click Apply on the Registration Of A Business Name tab
- Enter the proposed names and affiliation to an existing entity then click Next
- Enter the applicant’s details ie first and last name, capacity in business, address and postal code then click Next
- Enter the nature of business and click Next
- Enter the registered office addresses or county, street name, building name, floor, room number, phone number and email address then click Next
- On the next section, enter the proprietor’s details ie citizenship status, gender, phone number, email address, KRA PIN, and passport photo then click Next
- Click on Download to download the Statement of Particulars then print the document and fill it and have it signed by a magistrate or Commissioner of Oaths
- Scan the signed document then return to the application process and upload it then click Next
- Pay the processing fee of Ksh 950 through your preferred method
- The verification process usually takes approximately 3 business days
- If approved, you will be issued by a certificate of registration which contains details of your business
- You will get a notification on your email when the registration is completed
- Go back to the eCitizen website and click on the application link then scroll to the bottom of the page to find the Name Reservation Certificate and Certificate of Registration
- Click Download to get a copy of the documents
The Certificate of Registration is proof that your business is registered by the government. It’s required in most official business activities such as opening a bank account, applying for tenders, and applying for funding.
The costs of registering the various businesses on eCitizen are as follows.
- Private Limited Company – Ksh. 10,650
- Limited Liability Partnership – Ksh. 25,000
- Foreign Company – Ksh. 7,550
- Unlimited Companies – Ksh. 20,650
- Company Limited by guarantee – Ksh. 10,000