Botswana is a landlocked country located in southern Africa. It is known for its stable political and economic environment, making it an attractive destination for investors. If you’re looking to start a business in Botswana, this article will guide you through the process of registering your business.
Table of Contents
Choose a business structure
The first step in registering a business in Botswana is to decide on a business structure. The most common business structures in Botswana are sole proprietorship, partnership, private company, and public company.
Sole proprietorship: This is a business owned by one person. The owner is responsible for all aspects of the business, including liabilities.
Partnership: This is a business owned by two or more people. The owners share responsibilities and liabilities.
Private company: This is a business owned by shareholders. The company is a separate legal entity from the shareholders, which means that the shareholders are not personally liable for the company’s debts.
Public company: This is a business that can offer shares to the public. The company is also a separate legal entity from the shareholders, and the shareholders are not personally liable for the company’s debts.
Choose a business name
Once you’ve decided on a business structure, the next step is to choose a name for your business. The name should be unique and not already registered with the Companies and Intellectual Property Authority (CIPA).
Register your business
To register your business in Botswana, you need to complete the following steps:
Reserve your business name: You can do this online through the CIPA website.
Complete the registration forms: You need to complete Form 2, which is the Application for Registration of a Company or Business Name, and Form 3, which is the Notice of Registered Address of the Company or Business.
Pay the registration fee: The fee for registering a company in Botswana varies depending on the type of company you’re registering. The fee for registering a private company is BWP 500 (about USD 50), while the fee for registering a public company is BWP 5,000 (about USD 500).
Submit the forms and fee: You can submit the forms and fee online or in person at the CIPA office in Gaborone.
Obtain a tax identification number (TIN)
Once your business is registered, you need to obtain a tax identification number (TIN) from the Botswana Unified Revenue Service (BURS). You can do this online or in person at a BURS office.
Register for VAT
If your business is going to be making sales, you need to register for value-added tax (VAT) with the BURS. The VAT registration threshold in Botswana is BWP 1 million (about USD 100,000) per annum.
In conclusion, starting a business in Botswana can be a straightforward process if you follow the above steps. However, it is always recommended to seek legal advice to ensure that you comply with all the legal requirements. Generis Global can help you with your business in Botswana. Contact us to help you with the legal part of your business journey in this country.