What is a company and what is the registration process
What is a Company?
In South Africa, the Companies Act 2008 regulates companies, including (but not limited to): how to form a company and the rights and duties of shareholders and directors.
A company is defined as entity or business organisation which earns income by the production or sale of goods or services.
The key features of a company are the following:
- Juristic person : this means that a company is seen as an entity which can itself sue, be sued, own assets and do everything which a natural person (human being) can do, to the exclusion of a Will
- Registered at CIPC, is incorporated and has its own registered number
- Separate to its shareholders. Shareholders only own the shares in the company. The company itself owns the assets
- The company is liable for the debts of the business (not shareholders, save where they have signed as surety)
Company Registration Process
In order to register a company the following is required:
- Reserve a company name (a company can be registered without a name, in which case a number is assigned until a name is reserved)
- The company name cannot be the same or similar to a company name already registered
- Appoint directors and shareholders
- Sign a memorandum of incorporation (the company’s document)
We will require you sign our mandate, provide us with a certified copy of your ID and payment (see the plans below)