Registering your business is one of the first and most important steps to operating legally in South Africa. This guide explains the practical steps for registering with CIPC (Companies and Intellectual Property Commission), registering with SARS for tax, and completing other compliance tasks so you can start trading with confidence. At MyInfoHub, we simplify the process โ from requirements to application steps โ so you know exactly where to go and how to register a business in South Africa safely, without falling for scams.
Which business structure should I choose?
Common business structures in South Africa:
- Sole trader / Sole proprietor โ Simple setup, owner and business are the same legal entity. Low admin but higher personal liability.
- Partnership โ Two or more people; good for small businesses sharing responsibility.
- Private Company (Pty) Ltd โ Most common for startups and SMEs. Separate legal entity, limited liability for shareholders.
- Public Company (Ltd) โ For larger companies that may list on exchanges (complex compliance).
- Non-profit / NPO โ For community, charity or non-profit activities.
For most entrepreneurs, a Pty Ltd is recommended because it provides limited liability and a professional structure for growth. If youโre testing an idea with no employees, a sole proprietor might be quicker to start.
Step-by-step: Register a PTY Ltd (recommended)
- Decide on a company name โ Choose 1โ4 name options. Keep names unique and avoid restricted words (bank, insurance, etc.).
- Reserve the company name (optional) โ You can reserve via CIPC or file registration directly with a selected name. Name reservation is optional but helpful if you need to secure a brand name.
- Register on CIPC โ Create an account at the CIPC e-Services portal and complete the registration (incorporation) form for a private company. Official CIPC portal: cipc.co.za.
- Prepare required documents โ Typical items:
- Certified copy of ID for directors / founding members
- Proof of address (owner/director)
- Signed Memorandum of Incorporation (MOI) or use standard MOI
- Company registered address (physical)
- Pay registration fee โ CIPC fees depend on the type of registration. Use the CIPC payment options when filing.
- Receive registration docs โ After processing, CIPC issues the company registration number and certificate of incorporation.
- Register with SARS โ Register the company for Income Tax and, if applicable, PAYE, VAT (if threshold met), and UIF/SDL. SARS portal: sars.gov.za.
- Open a business bank account โ Use the company registration documents and director IDs to open an account in the companyโs name.
- Register for other licences/permits (if needed) โ Trading licences, municipal business licences, or sector-specific permits may be required depending on your activity.
Documents you will commonly need
- Certified ID copies (directors/owners)
- Proof of residential address (utility bill) โ recent
- Signed MOI or standard company rules
- Bank account details for payments (when required)
- Proof of company address / lease agreement
- Tax clearance or SARS reference (if requested later)
Costs & timelines (typical)
- CIPC registration fee: Varies by type and service (name reservation optional). Expect a small admin fee (check CIPC for current rates).
- Bank account setup: Free to low-cost depending on bank and package.
- SARS registration: Free โ register after CIPC incorporation.
- Timeline: Name reservation (if used): 1โ3 business days. Full company registration: typically 3โ10 business days when documents are correct.
SARS, UIF, PAYE & VAT โ quick checklist
- Register for Income Tax: SARS will assign an income tax reference for the company.
- VAT: Mandatory registration if turnover > R1 million (thresholds may update) โ optional if below threshold and benefits apply.
- PAYE & UIF: Register if you will hire employees.
- EMP201 / EMP501: Payroll forms employers must submit to SARS (via eFiling or SARS office).
Common mistakes & how to avoid them
- Using incorrect or outdated MOI โ use CIPC standard MOI unless you need special provisions.
- Incomplete/uncertified documents โ always include certified IDs and current proofs of address.
- Wrong contact details โ input accurate director emails and phone numbers to avoid delays.
- Failure to register for PAYE/VAT when required โ know your obligations early.
Useful links (official)
- CIPC Official Portal โ Register a Company
- SARS โ Business Registration & eFiling
- South African Government Portal
FAQ
Q: Can I register a company online?
A: Yes. Most private company registrations (Pty Ltd) can be completed online via CIPC e-Services. Ensure all documents are certified and correctly uploaded.
Q: How long does CIPC take to register a company?
A: When documents are correct, registration is often completed within 3โ10 business days. Complex or corrected filings may take longer.
Q: Do I need an accountant to register?
A: No โ you can register yourself. However, an accountant or bookkeeper helps with SARS registration, VAT decisions and payroll setup as the business grows.
Next steps โ launch & grow
After registration, focus on:
- Opening a business bank account
- Setting up bookkeeping (Xero, Wave, or a simple spreadsheet)
- Creating a basic website and Google Business Profile
- Applying for grants/finance if you need capital (see Business Funding โ)
Last updated: November 2025
Disclaimer: This page provides general information and links to official government resources. MyInfoHub is not a government agency and does not file registrations on your behalf. Always verify requirements on the official CIPC and SARS websites linked above.
