LOCAL COMPANY

Registration of Companies

A company is a voluntary business association of two or more persons formed for the purpose of doing some business mainly to make a profit. A company must be incorporated for a lawful purpose. At law, a company is a legal entity which is separate from its members (owners). It continues to exist even after the demise or changes of its members. Two or more persons can form a company, provided they are 18 years of age and above, of sound mind and have not been declared bankrupt in Zambia or any other country. A company is deemed to come into existence when it is registered under the Companies Act No. 10 of 2017.

The Companies Act lists the types of Company that can be incorporated under the Act as follows:

a. Public Companies, and

b. Private Companies, which can be:

                        i) Limited by shares,

                        ii) Limited by Guarantee, or

                       iii) Unlimited companies.

Registration – Private Limited by Shares

A private company limited by shares is a type of company that offers limited liability to its shareholders but places certain restrictions on its ownership such as not selling shares to the public over a stock exchange market.

A. PROCEDURE

Companies Form 3 must be typewritten and signed by directors and shareholders. The form must be lodged with articles if the applicant opts for non-standard articles of association. The process is completed within 24 hours.

B. PREREQUISITE

  1. Name Clearance – K90 (Can be processed on the website www.pacra.org.zm)
  2. At least two (2) or more directors:
    1. The number of directors, including the executive director, who should be resident in Zambia, shall not be less than half the number of directors appointed
    2. Age – 18 years and above
    3. An undischarged bankrupt under Zambian Laws;
    4. Of Sound Mind
  3. Company Secretary
  4. 4 copies of the non-standard Articles of Association
  5. Minimum nominal capital amount – K15, 000

C. FEES

  • Private Company -Minimum Nominal Capital  -   K15,000.00     

          2.5% of the nominal share capital                        375.00

          Certificate of Incorporation                                   150.00

          Certificate of Share Capital                                   175.00

          Declaration of Consent                                        150.00

          Declaration of compliance                                    150.00

          Total  (walk-in Customers)                =                  K1,000.00

                                                                                

          Application for Incorporation filed online   =        K925 

 

D. FORMS

  • Companies Form 3 – Application for incorporation of a Private Limited by shares. Form can be downloaded from www.pacra.org.zm

 

Read More At

Visit The Patents and Companies Registration Agency (PACRA) Website for more information https://www.pacra.org.zm/#/html/RegistrationServices/2057