Business Registration
Business registration processes including required documents for Sole trader, Partnership, Businessname or Limited Companyand the various registration portals e.g E-Citizen
Bundled resources to help you start and grow your business can be accessed from the Categories listed here-in
Access Additional ResourcesBusiness registration processes including required documents for Sole trader, Partnership, Businessname or Limited Companyand the various registration portals e.g E-Citizen
Sources of funds from crowd-sourcing, capital-ventures, angel-investors, accelerators, partners, loans from banks, Saccos, MFIs
Knowledge base aimed at assisting novice or prospective enterprenuers to gain knowledge, skills and competence for starting and managing a business.
Includes business registration, documents’ preparation, mailing list management, digital marketing etc
Providing entrepreneurs with a platform where they can build their knowledge and skills through an online platform.
Resources to help you grow business management skills including record keeping, preparing financial statements, government policies
Due procedure required by law to register and operate a business in Kenya. The business could be in the form of a sole trader, partnership or limited company. Different requirements are available for the various types described. Follow prompt for your selection of business
Go to Huduma Portal
Protect your invention from external use without your consent. You will exclusive rights to the property and permit use after a payment of royalties or special fees is agreed upon. They include; Trademark, Patents, Copyright, Industrial Design and Utility models.
Go to KIPI portal
Business Permits and Trade licenses are required in Kenya and vary amongst counties and business sectors. For trade license, contact the concerned trade licensing office in the county the business intends to operate. Return your duly filled application form with required documents and prescribed “fees”.
Go to E-Citizen Portal
All business entities in Kenya require a PIN certificate, proceed to KRA portal and register for the PIN depending on the type of business. Prompt to select Tax obligation(s) e.g. VAT PAYE, With-holding tax etc will be shown while making the application. All applications are done online
Go to KRA Portal
While you may have an idea for a business, the best place to start your planning process is to determine whether you "have what it takes" to start and operate a business. It is an important question and should be answered before taking any further steps to start a business. Assessing whether you possess business acumen requires an honest and objective appraisal of your personal skills, abilities, and talents, as well as an overall assessment of your strengths, weaknesses, and personal situation. A thorough appraisal and assessment should provide you with answers to the following questions:
• Am I a self-starter?
• Am I willing to take risks?
• Do I get along well with others?
• Can I make good decisions?
• Do I have the physical and emotional stamina to run a business?
• How well do I plan and organize?
• Can I maintain my motivation?
• Can I work alone?
• Can I blend the business with the family?
While few people starting a new business possess or excel at all of these qualities, all are important to business success. It is for this reason that your first investment should be the time necessary to complete an honest evaluation of your own talents, skills, and experience. To be a successful business owner, you must look for ways to compensate for weak areas, such as taking classes, reading about successful business skills, finding a mentor, hiring capable people, adding a partner with the necessary skills, or contracting for the needed help.
Once you have decided you have what it takes to operate your own business, your next task is to decide what kind of business you want to start. Again, you are the only person who can decide what business is best for you. Begin by assessing your skills, abilities, and talents. Next, you explore ways to use your skills and interests in a business that has potential markets available for your product/service. In reviewing available options, you should consult with local experts and other business owners of the product/service you are proposing, and check with potential customers to see if they are willing to pay for that product/service. Your chance of success increases when you match a product/service with available or potential markets.
Once you have decided that starting a business is the right step for you and you have a feasible business idea, there are several more steps to be completed before actually starting the business. These steps involve choosing a name and location for the business; registering the business with the proper authorities; obtaining the necessary licenses and permits; and developing production schedules and marketing/pricing plans. Take your time and plan these steps carefully. Do not rush the process or skip any of the important steps/tasks because the decisions you make now will affect your business activities in the future.
Most small businesses are formed as sole proprietorships. The advantages of sole proprietorship are its simplicity and the fact that business income is treated the same as personal income for tax purposes. A significant disadvantage is that you, the owner, assume personal liability for the actions of the business. Other types of business organization include partnerships and limited liability companies. Each type has its advantages and disadvantages. You need to obtain expert legal and accounting help to determine the best legal structure for your business.
A business plan is the firm's résumé and lists its goals and objectives. Develop a business plan as much for you as for the partners, investors, and bankers involved with the business.
The business plan identifies the product/service, the market, the management team, where the business will operate, and your business experience. Parts of the plan include a market study, promotional strategies, current and projected balance sheets, income statements, and cash flow analyses. It outlines how, when, and where financial support will be obtained, and how any loans made to the business will be repaid. The plan provides general operating information, along with information about where the business is now, where it has been, and where it is going.
Business plans have three distinct uses:
• Feasibility and marketing plans;
• Operating (procedural) plans for financial needs, production schedules, and marketing goals; and
• Tools to secure loans or outside capital.
There are resources available to business owners for developing business plans, such as software programs, professional workshops, and training.
Licensing and permitting regulations vary with the type of business and the city and county where the business is located. Some businesses face minimal licensing requirements while others are tightly controlled.
Sales do not just happen. Sales happen because of marketing. Businesses use market research to identify their customers and what it is that they want to buy. Marketing involves six issues, which are defined as:
• Product or service: what are you producing and what benefits does it offer?
• Production: how is your product/service produced, at what rate, and what raw materials and time are used?
• Price: at what price can the product or service be sold?
• Promotion: how will potential customers know about the product or service?
• Place: where is the business located and what distribution channels will be used?
• Perception (or brand image): how should the customer see the business and the product or service provided?
Your commitment of personal funds is often the first financing step. It is an indicator of how serious you are about the business. Risking personal money conveys your confidence to investors. In addition to personal funds, family members and friends may be a source of financial help. Other, more complex financing options are also available, and again, should include professional legal and accounting assistance. Business loans can be obtained from several sources, such as Crowd-sourcing Institutions, Banks, SACCOs, ROSCAs, Microfinance Institutions, Youth Enterprise Development fund, Women Enterprise Development fund, Venture capitals, Angel investors, Incubators and accelerators.
The records needed to manage the business and the records required by the KRA may differ. While the business owner is interested in where and how income is generated and where expenses are incurred, the KRA requires records that will allow for the preparation and documentation of a completed tax return. There are, however, basic financial records all businesses keep: journals and ledgers (such as a checkbook register), accounts receivable, accounts payable, records of sales, inventory, cash receipts, and cash disbursements. Records must also document mileage, meal expenses, and entertainment. If the business hires employees, additional records are required. Remember that all financial records are historical documents. This includes tax returns and the documentation for those returns. Business documents such as filing of the business name, incorporation/partnership papers, sales tax and insurance records must be retained indefinitely.
