top of page

How to Register a Business in South Africa in 2025

  • Johan De Wet
  • Sep 24
  • 3 min read

Starting a business in South Africa in 2025 is easier than ever, but there are specific steps you must follow with the Companies and Intellectual Property Commission (CIPC) and South African Revenue Service (SARS). This guide walks you through the process step by step so you can launch legally and avoid compliance issues.



Quick Answer:



Step-by-Step Process to Register a Business in South Africa (2025)


1. Choose a Business Structure


In South Africa, the most common types are:

  • Private Company (Pty Ltd) – best for SMEs, limited liability.

  • Sole Proprietor – simple, but no liability protection.

  • Partnership – shared ownership, but joint liability.

  • Non-Profit Company (NPC) – for charities or community work.


Most entrepreneurs choose a Pty Ltd for credibility and access to funding.


2. Reserve a Company Name (Optional)


You can trade with your registration number as your business name, or reserve a unique company name with CIPC.

  • Cost: ±R50 per name reservation.

  • Up to 4 name options can be submitted.

  • If approved, it’s valid for 6 months.


3. Submit Company Registration Online


  • Go to the CIPC eServices portal (www.cipc.co.za) or partner with Smartbook.

  • Upload director details (ID, proof of address).

  • Complete the Memorandum of Incorporation (MOI).

  • Pay registration fees (±R125–R475 depending on company type).

  • Processing time: 3–5 working days (can vary).


4. Get Your Company Documents


Once approved, CIPC issues:

  • COR14.3 – Certificate of Incorporation

  • COR14.1 – Notice of Incorporation

  • MOI (Memorandum of Incorporation)

Keep these safe — banks and tenders require them.


5. Register with SARS


After registration, your company is automatically issued an Income Tax Number. Depending on turnover and staff:


  • VAT – required if turnover > R1 million/year.

  • PAYE/UIF/SDL – required if you employ staff.

  • Provisional Tax – applies to companies not on PAYE.


Register on SARS eFiling or appoint a registered representative. We can definitely help with that.


6. Open a Business Bank Account


Most banks require:

  • COR14.3 certificate

  • Company resolution (if more than one director)

  • Proof of address

  • ID of directors


7. Register for Other Compliance (If Needed)


  • COIDA (Workmen’s Compensation) – mandatory if you employ staff.

  • CIDB – required for construction companies.

  • B-BBEE Certificate – helps with tenders and funding.


How to register your business in 2025 in South Africa

Costs of Registering a Business in 2025


  • CIPC registration fee: R125–R475

  • Name reservation (optional): R50

  • Additional compliance (VAT, PAYE, UIF, COIDA): varies


Tip: Outsourcing to a service provider like Smartbook can save time and ensure compliance with CIPC and SARS.


How Long Does It Take?


  • Name reservation: 1–3 days

  • Company registration: 3–5 working days

  • SARS tax registration: 5–10 working days (if manual)


Risks of DIY Registration vs. Using a Service Like Smartbook:


What are the DIY risks?


Higher chance of errors, longer turnaround times, and no guidance on compliance beyond CIPC registration. If you forget annual returns or SARS registrations, penalties can add up.


Why is using a service like Smartbook better?


We handle the paperwork, check your documents before submission, and guide you through compliance beyond just CIPC (SARS, UIF, COIDA). This means less stress, faster approvals, and long-term peace of mind.


FAQs on Business Registration in South Africa (2025)


Q: Can I register a company online in South Africa?


Yes, through the CIPC eServices portal or a service provider like Smartbook.


Q: Do I need a lawyer to register a business?


No, but professional assistance ensures compliance with CIPC and SARS.


Q: Can foreigners register a business in South Africa?


Yes, but at least one local director with a South African ID or valid residency is usually required.


Q: How much does it cost to register a Pty Ltd?


Between R125–R475 with CIPC, excluding additional compliance costs.



Comments


bottom of page