What is a Company?
A company abbreviated as co., is a legal entity representing an association of people, whether natural, legal, or a mixture of both, with a specific objective.
Company members share a common purpose and unite to achieve specific, declared goals.
How To Register A Company In Zambia Pdf
How to register a foreign business in Zambia
- Search the company name online to confirm if it’s being used already or if the name is already in existence.
- Online name search costs ZMK 83, while name reservation costs ZMK 166. (Jan 2022) The Patent and Companies Registration Agency does the clearance. The bodies are governed by the Patents and Companies Registration Agency Act of 2010 and the Registrations of business names Act of 2011.
- The commissioner of oaths signs the declaration of compliance (form 11).
- The business registration has to be done with the Patent and Companies Registration Agency.
Upon registration, the business owner must submit the following documents;
- Application for incorporation (Company form 2)
- Declaration of consent to act as a director or Secretary (Company form 5)
- Declaration of compliance (company form 11)
- Registration of a foreign company (Company form 46). This is required only when an Investor puts a branch of a foreign company in place. This form must be accompanied by a copy of the certificate of incorporation from the home country, the charter, regulations, statutes, MOU, articles of association, and any other documents required by PACRA.
The registration forms must indicate the information below;
- The name of the business.
- A corporate body or an individual who resides in Zambia (they must be authorized as the documentary agent).
Note: The application fee is paid when the registration process is done. Upon completion of registration, the investor is given a certificate of Registration to confirm that the process is complete and the business has been successfully registered.
1. Acquiring a tax ID number
In order to acquire a TIN (tax identification number), the investor has to file a certificate of incorporation and register with Zambia Revenue Authority.
2. Registering with Social Security
If you are an investor then you are required to register with National Pension Scheme Authority. Registering with NPSA requires you to file a certificate of Incorporation.
3. Clearing business Levy
Before business operations commence, the investor has to pay the business levy first. The business levy fee has to be cleared with Lusaka City Council.
4. Registering for Value Added Tax (VAT)
Registering for VAT is mainly for businesses or companies that manufacture goods. An investor must get a VAT tax number only if the value of taxable supplies exceeds approximately 800,000 in twelve consecutive months or ZMK 200,000 in three consecutive months. Registering for VAT must be done with the Zambia Revenue Authority.