Types of businesses in Ghana

Have you ever conceived a business idea so great that it was just a matter of bringing that idea to a reality? Ghana is a very busy country with several businesses taking place. These businesses are plied both physically and on online platforms. Businesses vary in types and forms and thus, they entail different aspects and processes. Do you know the types of businesses in Ghana and how to start one?

To a layman, a business is anything that accrues interest. Technically, a business entails more than just making a profit. In Ghana, most businesses are not registered and that is mostly due to ignorance. A basic requirement of starting a business is to register the business under a competent firm duty-bounded for that purpose.

READ ALSO: How To Register A Business In Ghana

Formation of Business In Ghana

There are various ways by which companies or businesses are formed. Some are formed individually and others are formed by a group or by organizations. There are a handful of types of companies in Ghana. Below are the various types of businesses.

Sole Proprietor Business

Sole Proprietorship in Ghana is one of the common types of business. It involves only one person or entrepreneur who runs the affairs of the business. In this type of business, the liability of the sole proprietor is unlimited and he or she takes full responsibility for the business.

Partnership

A partnership is a form of business that is formed and manned by a group. The minimum number of people that can undertake this type of business is two and usually up to a maximum of 20 persons. The people who make up this joint business are termed “partners”. Any transaction made is done per the terms and conditions of the legally binding document of the partners.

Limited Liability Business

Limited liability companies can be started by a single shareholder and the shareholder must appoint two directors. It is required that at least one of the directors must be Ghanaian by nationality. The companies must appoint a secretary and a Ghanaian auditor to annually audit the financial reports. A Ghanaian Limited Liability Company must have an office and a post office box to disseminate information.

READ ALSO: What You Need to Know about Company Registration in Ghana

What Are The 7 Types Of Businesses?

Although there are seven general types of businesses, in Ghana, only six of them are well recognised by the Registrar General’s department.

How Many Types Of Business Do We Have In Ghana

The forms of businesses include Company Limited by Shares, Company Limited by Guarantee, Company Unlimited by Shares, Limited Liability, Sole Proprietorship, Incorporated Partnership, Corporation, and External Company.

What Are The 4 Most Common Types Of Businesses?

In General terms, there are four most common types of businesses in the world. They include the partnership, sole proprietorship, corporation, and Limited Liability Company. These common types of businesses are referred to as business structures.

Types Of Partnership In Ghana

A partnership is one of the seven types of businesses that are known worldwide. A group of people called partners come together to form a business firm. There are three types of partnership in Ghana; that includes non-trading partnership, limited partnership and commercial or general partnership.

How To Register A Business In Ghana

Business and company can be used interchangeably although there exist some disparities between them.

The Registrar General Department is the office that registers newly created businesses and businesses that exist but has not been legally registered. Moreover, a firm like Bizaccess is a recognized business registration and regulatory organization in the country. Business owners or entrepreneurs will initially be tasked to come out with a unique name to register the business. This task might look very easy but is very complicated. The business owner must search and be sure that his or her proposed company name is not used by any other company. Moreover, it will ensure that no one else uses that company name for commercial purposes in the country. Names that are violating the law and are derogatory are not approved for business registration purposes.

Different forms correspond to the types of businesses.

The following are the general information that will be required during the filling of the registration forms:

READ ALSO: How to Wind-Up, Liquidate or Dissolve a Company in Ghana.

Depending on the types of businesses that you want to register, some other documents will be required. After completing, if the information provided is deemed fit and supporting documents are accurate, a certificate of incorporation will be issued to the entrepreneur.

Although there are different types of businesses in Ghana, the duration of filling the business registration to receiving your certificate may take a few weeks to months depending on varying factors.

What Is The Cost Of Business Registration In Ghana?

The cost of fully registering your business in Ghana ranges depending on factors such as the nationalities of the directors and the form of business. It costs ¢50.00 to register a business name and the cost is different from one business to the other. Check out the costs of registering the different forms of businesses in Ghana in the table below.

Business Type Cost
Sole Proprietorship ¢60.00 + ¢50.00
Partnership ¢160.00 + ¢50.00
Company Limited by Shares ¢230.00 + ¢50.00+ ¢50.00 
Company Limited by Guarantee ¢270.00 + ¢50.00 + ¢50.00 
Unlimited Liability Company ¢230.00 + ¢100.00
External Company $1200.00 + $600.00

 

For the sole proprietorship companies in Ghana, the ¢50.00 is for the business name registration. In the ¢60.00, ¢10.00 is for the Certificate True Copy, ¢25.00 is for the filing of Form D, and the other 25.00 is the annual renewal fee.

The ¢160.00 fee in the partnership business consists of ¢150.00 for the business registration and ¢10.00 for the Certificate True Copy. An annual renewal of ¢50.00 has been added to the fees. 

External Company businesses pay $1200.00 or its equivalence in cedis as registration fee in addition to a $600.00 paid as annual renewal fee.

The table above is a summary of the cost of business registration and can serve as a guide to the types of company registration that you should undertake.

Online Company Registration In Ghana

The online business registration at the Registrar General's Department is not yet fully functional. The online process is currently used to start the registration process as there are still issues with the partnerships between institutions. However, there are Independent partners of the RGD that facilitate online business registration in Ghana. Biz Access is one of such companies and can have your business registered legally within 4 weeks. It is a private limited company in Ghana.

Starting A Business As A Foreigner

Do you know that a number of the well-recognized businesses and companies in Ghana are owned and managed by foreigners? Unilever Ghana, Airtel Ghana, Vodafone, Tullow Oil, KPMG, Guinness, and Coca-Cola are all foreign-owned companies in Ghana.

 In this regard, every person, not limited to only Ghanaians, can start a business in Ghana. As the statement goes, in every game there are rules, beginning a business as a foreigner in Ghana has some rules and limitations that must be duly followed. Ghana is economically stable and peaceful hence foreign investors find it attractive to invest in Ghana.

According to the laws of the state, some petty trading and retail business are reserved only for Ghanaians. It is very necessary to know the businesses that have been reserved for only Ghanaians in this country. Some of these include:

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All other businesses can be ventured by foreigners but need approval from a state agency. Additionally, foreigners need to apply for a business certificate at the metropolitan assembly.

As a foreigner, you will make a payment of ¢50.00 for business name registration and ¢5.00 for a certificate of regulations. Additionally, a cost of ¢15.00 is taken for the complete set of forms in addition to the company registration fee which costs ¢230.00.

Some foreigners fail to obtain some important documents like work permits and social security certificates. Moreover, some foreigners do not use the right means to obtain the required documents and in the long run, they end up losing their businesses.

FAQs about types of businesses in Ghana

Some people have several questions pertaining to business in Ghana that needs to be answered. Some ask about starting a business in Ghana with GHC 5000, others question on how to start a business with GHC 500, while others debate on issues like, what business can I start with 2,000 Ghana cedis.

Well, depending on the business you want to venture into, ranges of starting capital are available. An amount of ¢500 might be enough for a small-scale business of selling in school or the market. Also, engaging in the production of goods and services from a factory will require a very high starting capital.

Starting A Business In Ghana With GHC 5000

With an amount of ¢5000, you can venture into a number of profitable businesses. You can start a mobile money telecommunication business with such capital and such business does not require any special skills. Other businesses that can be undertaken with an amount of ¢5000.00 include grocery business, stationery business, graphic design firm, web design and software development businesses.

Starting A Business In Ghana With GHC 500 

With capital as low as GHC 500, you can start your dream business. Some of the businesses that can be commenced with ¢500 include content creation, social media marketing, freelancing, liquid soap manufacturing, become a copywriter and others.

How To Register A Sole Proprietorship Business In Ghana 

Registering a sole proprietorship business in Ghana is by far the simplest form of all business registration processes. The sole proprietor business registration only requires one director. This means that the person is directly linked to their business and as such, the person’s personal belongings can be sold to cover up any debt that the business may incur. Here are the steps to registering a sole proprietorship business in Ghana.

In Ghana, registering a sole proprietorship business is very simple. This is in accordance with the sole proprietorship act in Ghana.

READ ALSO: Types of Company Registration in Ghana

How Many Types Of Company Do We Have In Ghana?

What are the types of business? There are six business entities or company types in Ghana with regards to the laws of the state. The company types are;

Profitable Business In Ghana

All businesses or companies in Ghana have an equal probability of becoming successful or profitable. In recent times, some businesses have been identified and tagged as profit-making zone. Some of these include:

List Of Registered Companies In Ghana

Ghana has a long list of registered companies in Ghana. Ghanaian owned companies dominate the list of registered companies in Ghana although you can find externally registered foreign companies within the list as well. Some companies are also registered with the Ghana Investment Promotion Centre (GIPC). The GIPC facilitates investments in Ghana through its registered businesses. 

Types Of Companies Under Act 992 (2019)

The Constitution of Ghana clearly defines what a company is and how it should be composed and operate. Below is a snippet of the Types of Companies under Act 992;

Section 244: (1) A company and one or more other companies that are directly or indirectly wholly owned by the company may merge and continue as one company without complying with section 259 or 261 where(a) the merger is approved by a resolution of the directors of each of the merging companies; and(b) each resolution provides that the(i)shares of each merging company, other than the transferee company, shall be cancelled without payment or other consideration;(ii) constitution of the transferee company, shall be the same as the constitution of the transferor company; and(iii) directors of each of the merging companies are satisfied on reasonable grounds that the transferee company shall be solvent, immediately after the merger becomes effective.

  (2) Two or more companies, each of which is directly or indirectly wholly owned by the same company, may merge and continue as one company without complying with section 259 or 261 where(a) the merger is approved by a resolution of the directors of each of the merging companies; and (b) each resolution provides that(i)the shares of all but one of the merging companies shall be cancelled without payment or other consideration;(ii) the constitution of the transferee company, shall be the same as the constitution of the merging company the whose shares are not cancelled; and(iii) the directors are satisfied on reasonable grounds that the transferee company shall, immediately after the merger becomes effective, satisfy the solvency test.

  (3) The directors of each merging company shall not be less than twenty-eight days before the merger is proposed to take effect, giving written notice of the proposed merger to every secured creditor of the company.

  (4) The resolutions approving a merger under this section, taken together, shall be deemed to constitute a merger proposal that has been approved.  

(5) The directors who vote in favour of a resolution under subsection (1) or (2), as the case may be, shall sign a certificate stating(a) that, in their opinion, the conditions set out in subsection (1) or (2) are satisfied; and (b) the grounds for the opinion of the directors.

(6) A director who fails to comply with subsection (5) is liable to pay to the Registrar an administrative penalty of three hundred and fifty penalty units.

Knowing the types of businesses in Ghana should alert you on the approach to take in registering your company or business. Additionally, in order not to violate the laws of the state, all businesses must be registered at the appropriate quarters and renewed on expiry.

Types of company registration in Ghana

There are six types of companies registered in Ghana. To know the types of company registration in Ghana one needs to be aware of the types of entities that exist in Ghana.

Ghana is ranked 114 among 190 economies of the world when it comes to the ease of doing business, “the world's fastest-growing economy”  in Africa was used to describe the country’s growth in 2019; since Ghana has radically turned around her economic situation in just three decades.

So, if you are looking to start a business in Ghana use Bizaccess consult. Bizaccesis a Corporate Secretarial Services & Consultancy Firm specialising in providing Business Regulatory Compliance Support in Ghana.

What are the types of companies registered in Ghana?

 Sole proprietorship

A sole proprietorship is a business entity that is unincorporated and usually owned and run by a single individual, registering a sole-proprietorship is more convenient and less costly as compared to other forms of business. Like said a sole proprietor is run by an individual in his/her legal name, the individual pays taxes on the personal income they earn and is liable for debts incurred in the business. Find more information  here

Examples of a sole proprietorship are:

Self-employed business 

This means that you work for yourself and are not employed by other businesses like a carpenter, online traders (someone who buys and or sells merchandise online) even a person who runs a small retail shop (like a supermarket or a retail kiosk.

 Independent contractor 

This is self-employed or contracted to perform work for or to provide some kind of services to another entity.

 Franchise 

They can take the form of a sole proprietorship that is if the franchisee pays a fee to the franchisor in exchange for the right to use the company’s brand. Famous companies like McDonald’s and (KFC) Kentucky Fried Chicken use franchising. With franchising, the main larger company sells to individuals the right to open a branch of their company. A franchise can be great for a relatively new sole proprietor who has little business experience; this is because the franchisor will provide for the franchise business marketing and organizational support and a business model.

Sole proprietorship company registration in Ghana

Register your sole-proprietorship business in Ghana at the Registrar General’s department office in Accra or online.

READ ALSO: How To Register A Business In Ghana

Types of company registration in Ghana: Partnership

It is simply an association between two or more individuals or companies, who have joined forces to make a profit. This can be done when a business wants to share liability for a company investment without the stringent requirements associated with incorporating a company.  In this business structure, each partner contributes equally to run the business and are individually responsible for the profits and losses of the company. Read more

In Ghana to register a partnership, you will need a copy of a signed partnership agreement and a statement, certain particulars like the name of your partnership, the nature of your business, the data of commencement of your business, and all other places the business exists which will be submitted to the registrar general’s department. Under Ghana's law partnerships must be incorporated under the incorporated private partnerships Act, 1962 (Act 152).

Partnership company registration in Ghana

Interested persons who need to register their partnership business in Ghana can do it at the Registrar General’s department office in Accra or online.

Query: Why should you do business in Ghana?

Referred to as the gateway of Africa, Ghana has a democratic, dynamic economy with a large supply of natural resources and a fast-growing middle-class economy, with English as a trade language. For more information check the Ministry of Trade and Industry here

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External companies in Ghana

An external company exists outside the jurisdiction of Ghana. Businesses that engage in such transactions are owned by a company interested in branching out to have their businesses outside their local. Organizations of such nature are supposed to communicate with other organizations or persons to attain their aims.  Read more

External company registration in Ghana

Register your external company at the Ghana Registrar General’s department office in Accra or online. Individuals registering an external company in Ghana may include investors, current or potential customers, shareholders, society, government organizations or other business units, etc. The local manager (Ghana) of an external company is required to be a citizen of the country.

Can foreigners own businesses in Ghana?

Yes. According to Companies Code 1963 (Act 179) set up by the Ghanaian government, foreigners can start and establish their businesses in Ghana. But one of the directors of the company must be a resident of the country.

Companies unlimited liability

In this type of company, the liabilities of the shareholders for debt requirements in the company is unlimited. The main question comes down to who is liable for the business debt if it fails?. There is no difference between the owner and the business, so the owners are the business which makes them liable/ legally responsible for the losses. It is usually registered by professional bodies such as auditing, law firms, architectural firms. In an unlimited liability company, it is the legal duty of the business owners to repay in full the debt and other financial obligations of their company.

READ ALSO: What You Need To Know About Company Registration In Ghana

Unlimited liability company registration in Ghana

Register your company unlimited by liability in Ghana here, or at the  Registrar General’s department office in Accra.

What is a limited liability company?

The exact opposite of a company Unlimited by liability is the Limited liability company which has the advantage which protects the owner from incurring debt if the company turns belly-up. Limited liability businesses allow the company were or owners to benefit without personal liabilities, the company owners have limited financial liability in the company; which means they are only required to cover business debts up to the amount they invest or agree to pay if the company runs into financial difficulty. Read more.

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Photo by S O C I A L . C U T on Unsplash

What are the types of limited liability companies?

The type of limited liability company is based on the structure of who is responsible for the company, basically who is liable for the business. Some basic types include:

Companies limited by guarantee in Ghana

This type of company is a private limited company that does not have shares but has guarantors who agree to pay a set amount of money towards company debts. The guarantors paid the amounts of set money or respectfully contributed to the assets of the company in case of liquidation. In the event where the company goes bankrupt, the directors are not personally liable for the depth enquired, this means that the liability of the directors is limited.  Find more information here.

Profits earned from this type of company are not shared among the guarantors but reinvested back into the company to continue doing what it was set up to do. It works just like a non-profit or church work so no initial funds are needed and the funds they collect should be those funds are obtained from other sources, e.g., endowments and donations This company is not authorized to trade but it does have a legal identity so the members or employees of the organization can get paid/ earn a salary.

Limited by guarantee company registration in Ghana

You can register companies limited by guarantee in Ghana's at the Ghana Registrar General’s department office in Accra or online.

What is a private limited company?

A private limited company also referred to as LTD and may appear after a company name and is a type of business that is privately owned. Owners of this company or business are referred to as shareholders, not just anyone can buy into the company to become a shareholder, you would have to be invited in. It limits owner liability to their shares, limits the number of shareholders to 50, and restricts shareholders from publicly trading shares.

Company limited by shares in Ghana (private/public limited company)

With the types of company registration in Ghana, this type has shareholders; these shareholders own a share in the company. They own a piece of the company so when that company or business makes profits they are paid dividends. The business is designed for profit-making and to make the shareholders rich.  Find more information  here

A company limited by shares is incorporated with shares capital, so it can not offer its shares to the public. Such a company can either be public or private.

READ ALSO: How To Wind Up, Liquidate Or Dissolve A Company In Ghana

Company limited by shares in Ghana (private/public limited company) registration in Ghana

Registered at the Registrar General's Department, this type of company demands two individuals representing the company during the registration acting as the directors of the company and the other acting as the shareholder. Register companies limited by share in Ghana at the Ghana Registrar General’s department office in Accra or online.

Which business moves fast in Ghana?

The answer to this question is relative, because of the varying needs of people in this age. It is advisable to look at the business trends in a country before jumping into a business opportunity head first.

Company Unlimited by Shares

An unlimited company is quite similar to the company limited by liability but the legal liability of the shareholders is not limited, in the sense that the shareholders have many non-limited duties to meet any sufficiency in the assets of the company to enable settlement of any outstanding debt in the event of the company’s liquidation. Find more information  here

black business people having a discussion
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Unlimited by Shares company registration in Ghana

Company limited by liability in Ghana is registered at the Registrar General's Department; it requires two individuals representing the company during the registration acting as the directors of the company and the other acting as the shareholder.  Register companies unlimited by share in Ghana at the Ghana Registrar General’s department office in Accra or online

What are the types of company registrations in Ghana?

The Registrar General’s department of Ghana registers six types of businesses namely:

Starting a business can be exciting and to be honest quite stressful. So let  Bizaccess help you through the types of company registration in Ghana and make this stressful over-complicated process a little bit more uncomplicated. BIZACCESS is a Corporate Secretarial Services & Consultancy Firm specialising in providing Business Regulatory Compliance Support in Ghana. In an attempt to serve our growing customer base and international clients, we launched this platform to conveniently and remotely serve our customers in regards to registering a business in Ghana.

How to Register a Business in Ghana

If you are reading this, then chances are that you have a great business idea and you are doing some research on how to register a business in Ghana. As part of the objectives to become a legitimate business in Ghana, you need to know how to register a business in Ghana. Depending on the nature of your business, you can either register your business all by yourself (the hard way), through a licensed private company like Bizaccess (the most efficient way) or with the aid of a lawyer. In Ghana, you can register your business as a sole proprietor, limited liability, partnership or limited by shares company. We will expand on these types of business registrations in Ghana and how to register your business in Ghana within this article.

READ ALSO: What You Need To Know About Company Registration In Ghana

7 Steps on how to register a business in Ghana

  1. Have a Business name.
  2. Have an ID preferably the Ghana Card.
  3. Do a Business name check.
  4. Purchase and fill out forms.
  5. Submit the forms.
  6. Make necessary payments.
  7. Pick up the registration certificate.

This is the general procedure for registering a business with the Registrar General Department in Ghana and it normally takes about a month to complete. Depending on the type of business you are registering, you will need an auditor, secretary, directors and a lawyer to help you complete your forms. You could also choose to work with Business Regulatory Compliance Services or Back-Office Support Services like Biz Access to get your registration done within 10 days.

Facts to know if you are interested in business registration in Ghana.

These are basic requirements if you are planning to register a business in Ghana. Now, to how to register a business in Ghana. From April 1, 2021, the Ghana Card Personal Identification Number (Ghana card PIN) was decided by the government of Ghana to become the new TIN, for the objective of maintaining the Taxpayer Identification Numbering System, of people who are liable to register and pay tax to the state.

Taxpayer identification number (TIN) registration

This is an identification number used for tax payment, it is used as a unique way to identify taxpayers and potential taxpayers, and for organizations, a TIN is required for their liable business activities for tax payment. TIN numbers are mandatory for any working Ghanaian. You can view and download the TIN online forms, fill them out and submit them to the GRA office for processing.

Organizations can register for their TIN only after they have been registered at the Ghana revenue department (GRD).

The organizational TIN registration applies to these companies

How to register your business name in Ghana

Your company’s name can say a lot about what you strive to achieve and it can be used as a great strategy for marketing. You can do a business name search at the Registrar General’s department, or you could do it online. If the name is available, you need to do a name reservation which is usually valid for only 30 days unless you seek special permission for your company.

Know that the Registrar General Department may reject names that are similar to existing ones, to avoid any attached legal implications that may come with it. In short, your name should be unique. Make sure you verify your business name before you go ahead to get your domain name or host your website or print your business name on any flyer. Always do a business name search first. Here are answers to some basic questions about business name registration.

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Why should I register my business name in Ghana?

In Ghana, like in most countries, registering the name of your business is a legal obligation. If you choose not to register it guarantees that you have no right to use them; this means that another trader with a similar name to your own can start using the said name (officially); you will have no power to stop them. Having a business certificate in Ghana is very important for your business and you will need to register your business name to get it.

READ ALSO: How To Liquidate Or Dissolve A Company In Ghana

Walk-in Procedure for registration of your business name.

You can decide to walk into the Registrar General’s department office in Accra and go through the process of registering your business. Below is a detailed step by step process of registering your business name in Ghana.

Note that: You can also register your sole-proprietorship through these steps

registration certificate.

How to re-register your business(name)

As a business, you are required to renew your registration once every year. This is not to be confused with re-registration. In 2012, the RGD embarked on a digitization exercise that required all businesses to reregister to be digitized. If your business was registered before 2012 then you will have to have it re-registered.

So all you need to do is pick up, complete and submit the application for re-registration of business name at the registrar general’s department regarding the type of business you want.  At the registrar add to the form you filled out, your old business registration particulars, which may include your business profile, registration certificates and any other relevant document you need to add and submit to the registrar. Re-registration of companies only apply to companies registered before 2012.

Note that: You should have your filed annual returns up to date. To file your annual returns you will need your Financial Statement for the year Underview(Auditors Report) and Particulars of every member of your company or business.

External Companies are not excused from filing. If an individual or a business fails to re-register then by the constitution of the country the individual or company shall be deemed to have terminated and the registrar may remove the business name

Renewal of business registration in Ghana

Renewal fees for business registrations in Ghana differ according to the type of business you own or run. Renewal of business registrations is mainly for sole proprietorship and partnerships and filing of annual returns for limited liability.

For companies limited by shares and guarantees, you will need to have a financial statement from your auditors.

What are the requirements for Business registration in Ghana?

Registering your business is a time-consuming process full of technical jargon, auditors, and sometimes lawyers depending on the nature of the business you are registering. These are the requirements for every type of business that can be registered in Ghana.

Types of business registration in Ghana

To know how to register your business in Ghana you need to know the various business entities that can be registered under the laws of Ghana. This can help you know the legal structure to choose from. The basic types you may be looking to get registered in include:

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 Sole proprietorship: this type of business is an unincorporated business usually owned and run by a single individual, registering a sole-proprietorship is more convenient and less costly as compared to other forms of business.  The registration procedure for a sole proprietor business is less complicated and less costly than other business registration forms. If you need to register your business under this form, you should have already commended the business beforehand. If you choose to use a trading name and if the individual’s surname is not used, you are required to register.

How to register your business online in Ghana (sole proprietorship)

Business registration has never been easier, now with access to good internet you can register your business in the comfort of your own space. Ghana’s registrar general department has introduced the online business registration process in 2017. But let’s be honest this online process is not so helpful; for one too many reasons the process does not seem to work and ends up with you having to go to the office.

If you want to register your business with ease; avoid joining the overly long queues, to just be turned away when you finally get to the front of the queue because it is the attendants break time or for whatever reason they give you. You should try Bizacess, an independent digital platform committed to assisting companies and businesses to meet regulatory compliance in ghana. We help you register your business from wherever you are in the world.

If you do insist on registering your business through ghana’s registrar general department then you can follow the steps below:

Partnership: It is simply an association between two or more individuals or companies, who have joined forces to make a profit. This can be done when a business wants to share liability for a company investment without the stringent requirements associated with incorporating a company. In Ghana to register a partnership, you will need a copy of a signed partnership agreement and a statement, certain particulars like the name of your partnership, the nature of your business, the data of commencement of your business, and all other places the business exists which will be submitted to the registrar general’s department. Under Ghana's law partnerships must be incorporated under the incorporated private partnerships Act, 1962 (Act 152).

When the liability of a partnership is unlimited, it means that the personal properties of the partners can be sold to cover up for debts incurred.

Read for more: information about a partnership 

Some basic requirements for partnership relationship of two or more owners, who should

Companies limited by guarantee in Ghana: This type of company has liabilities of its members limited to the amounts that they respectively are guaranteed to contribute to the assets of the company in case of liquidation. This type of company is not allowed to pay dividends, distribute or return any assets to members but to continuously apply the income and property of the company towards the progression of its objectives; so requirements of this type of company are to not permitted to make profits, ( for example charities, NGO’s, churches and social enterprises) this means that no initial funds are needed and the funds they collect should be those funds are obtained from other sources, e.g., endowments and donations. The company is also not authorised to be involved in trading.

How to register your business in Ghana (Company limited by guarantee)

company-registration

How can I get a business permit in Ghana?

In Ghana, a business is expected to obtain a business operation permit. This allows you to do as the name suggests and operate your business in your metropolitan jurisdiction. For a business operation in Accra, Kumasi, Takoradi, Ejura-Sekyedumase Municipal Assemblies

Company limited by shares in Ghana (private/public limited company): This type of company, unlike a company limited by shares, is an incorporated one with shares capital so it can not offer its shares to the public. Such a company can either be public or private.  An association between two to fifty people and its shares must expressly show the fact of its limited liability to the members who are owners of the company; directors, secretaries, and auditors who are the company’s officers. The last word of a company limited by shares should be limited or the use of its abbreviation “ltd”. Read here for more information

Unlimited liability company: This company is quite similar to the limited liability company except for the liabilities of its owners/members are unlimited. In this type of company, the liabilities of the shareholders for debt requirements in the company is unlimited. It is usually registered by professional bodies such as auditing, law firms, architectural firms. In an unlimited liability company, it is the legal duty of the business owners to repay in full the debt and other financial obligations of their company. Read more 

How to register your business in Ghana (Company limited or unlimited by guarantee)

Business registrations differ per type as stated. This section will look at business registration in Ghana for companies limited or unlimited by guarantee.

What is the cost of registering a business as a foreigner?

If you are interested in becoming a business owner in Ghana it will cost you a cool $1,200 or its equivalent in your currency. Read more about foreign business or company registration in Ghana: Here

READ ALSO: How Foreign Investors Can Register a Business with the GIPC

EXTERNAL COMPANY: This type of company is usually registered by the local manager on behalf of the company. An external company exists outside the jurisdiction of Ghana. Businesses that engage in such transactions are owned by a company interested in branching out to have their businesses outside their local. The local manager (Ghana) of an external company is required to be a citizen of the country. Read more

 How to register your business in Ghana (external company)

BIZACCESS is an amazing platform where one can conveniently and remotely access the services they need; on this platform, you can find the assistance you need to help your company meet their regulator compliance.

We hope this article has been of great help, so now with some knowledge on how to register your business in Ghana you can launch your business franchise; with some help from Bizaccess, you have no excuse to hold off on your goals of starting any type of business or fulfil your dream of becoming an authentic business in Ghana. Download our business registration app or contact us to have your business registered the right way without any queues and setbacks. Biz Access has a team of lawyers and auditors who can perform the tedious task of business registration in Ghana on your behalf.

DISCLAIMER:

BIZACCESS is a Corporate Secretarial Services & Consultancy Firm specialised in the provision of Business Regulatory Compliance Support in Ghana. In an attempt to serve our growing customer base and international clients, we launched this platform to conveniently and remotely serve our customers in regards to registering a business in Ghana.

Business Registration Certificate: Why Is It Important?

The rising nature of business development in Ghana has led to the need to educate running and up and coming businesses what a business registration certificate entails. Check out why it is very necessary to obtain a business registration certificate for your business.

A Business Registration Certificate is a written document issued by the Registrar General's Department as proof of valid business registration. In Ghana, the highest office for issuing a business registration certificate is the Registrar General’s Department. Other companies like Bizaccess help business owners register their businesses.

What Is Company Registration Certificate?

According to the laws of the state, all businesses and companies must be registered.  Company Registration Certificate is a licensed document that gives a go-ahead for businesses or companies to run after successfully passing the registration stage. The state issues this certificate after a few weeks of filling a business registration form and other important documents. 

In Ghana, the business or company registration certificate is renewed annually.

Business Certificate In Ghana

A business certificate in Ghana has a specific structure. On the certificate, the nation’s coat of arms is one of the key components. Additionally, a statement of confirmation is stated on the business certificate to fully certify the business owner to engage in his or her business. The date of issuance and signature is penned at the lower part of the certificate.

company-registration

How Do I Register My Business Name In Ghana?

To obtain a business registration certificate, you have to register your business. In Ghana, there are some important notes to take about registering your business name. First of all, the company name must be unique and not used by any company. Also, the name should be devoid of any ethnic and religious undermines and abusive words.

After your business name passes the above criteria, it will be processed.

Business Name Search Ghana

Searching for a suitable and unique name for your business might seem very tough and complicated. Use this website to check out some available names that can be used for business registration in Ghana. Name Search - || Registrar General's Department ||

How Long Does It Take To Get A Business Certificate In Ghana?

Patience as they say moves mountains. Before the outbreak of COVID-19, it took few weeks to months to get a business registration certificate. Owing to some registration details and requirements, it might take quite a long to obtain a business certificate. Moreover, due to the issues of Covid-19, the period is quite extended.

According to research, it takes 20 to 30 days to get a business certificate in Ghana.

READ ALSO: What You Need to Know about Company Registration in Ghana

How Much Does It Cost To Register A Business Name In Ghana?

After going through the toil of finding a unique and befitting name for your business, you are required to pay an amount of ¢50.00. This fee is known as the business name registration fee.

What Are The Documents Required For Company Registration?

Concerning documents required for business registration, the document varies from country to country. Here are the documents required for registering a company in Ghana:

Other relevant documents like the ECOWAS Card(Ghana Card) might also be added to the application.

Importance Of Business Registration Certificate

Living peacefully and comfortably in your business life is the dream of many young entrepreneurs. It is important to obtain your business registration certificate to make you legally accepted by the state. Check out some of the importance of obtaining a business registration certificate 

Per the law, after obtaining a business registration certificate, you can hire workers and pay them. Additionally, you will be given a state identification number for your business that can allow you to pay taxes to the state.

READ ALSO: How Foreign Investors Can Register a Business with the GIPC in 2020.

What Is The Cost Of Business Registration In Ghana?

Registering a business in Ghana is not much of a headache. In the beginning, a processing fee of ¢60.00 is paid either through online means or through bank transactions. Additionally, ¢50.00 is paid for the business registration name and some basic additional costs are accrued. A fee of ¢25.00 is paid annually as a renewal fee for the business registration.

Online Business Registration In Ghana

Due to the rise in modern technology, businesses in Ghana can register their business online. You can make use of the following online business registration portals in Ghana:

Bizaccess - Business Registration | Remote Business Support

Registrar General's Department

Types Of Business Organizations In Ghana

There are a number of types of business registration in Ghana and they include:

According to the law, these types of business registration in Ghana are bound by strict laws that must be followed. 

What Are The Disadvantages Of Registering A Business?

Although business registration comes with great advantages, there are some minor disadvantages.

How Do I Renew My Ghana Business Registration Certificate?

In Ghana, business registration certificates are renewed annually. Check out the processes to undertake when you want to renew your Ghana Business Certificate.

Since all your business details have been accumulated in the portal, you wouldn’t go through too much stress. Once you complete the filing of the forms, you submit it with the payment to complete the payment.

If you are planning to start up a business, it is important to register the business. Disregarding this process can lead to some legal consequences and some great disadvantages. Registration of business is important as it protects your business and secures you against a third party.

How To Register A Sole Proprietorship Business In Ghana

In recent times, a sole proprietorship is becoming more popular amongst the various forms of business. It will be of great relevance to understanding how a sole proprietorship business in Ghana is registered. 

 Sole proprietorship business registration is very basic and fast. You will require some relevant documents such as an Identification Card and a Tax Identification Number. But before then, you should have completed a  business name search to obtain a very suitable and unique name for your firm.

You can opt for the online means by downloading the registration form from the Registrar General’s website. Complete the forms by filing with relevant details and submit them to the registrar general’s department. After receiving approval from the registrar general department, you can start your sole-proprietorship business.

Online business registration in Ghana

The age of the internet has allowed many to quit their day jobs and start one of their own; with the number of people constantly online at this age, it was only reasonable that the Registrar General Department (RGD) did the same. This new online business registration in Ghana allows organizations and businesses to register their business online with ease.

With Bizaccess you can meet your regulatory compliance with ease

What is online business registration in Ghana?

This is a 24-hour online service provided by the Registrar-General's Department (RGD) in Ghana to promote the electronic submission of applications for individuals who wish to register their businesses online via the portal. This means all companies that register under the RGD in Ghana will operate under the legal requirements of the GDR and the laws of Ghana.

How do I register my business online in Ghana?

Registering your business online can be summed down to four (4) simple steps

How do I make payment for my online business registration in Ghana?

This is quite simple as all you have to do is to log into the RGD portal, fill out the required forms; for the payment, you can do it by either going to the GRA office in Accra or you could also make the payment of GHC 60 online via the Ghana National Data’s Ghana Electronic payment platform: here. Mode of payments under this includes MasterCard, VISA Card, Mobile Money payment on all networks, Bank transfer and e-Transact.

How to do a Business name search in Ghana

Online business registration in Ghana requirement

To begin the process of online business registration there is a list of documents required for the process. Tax Identification Number (TIN). and if you don’t have your TIN you are allowed to use any scanned copy of your Government-issued photo identification like your National ID Card.

READ ALSO: What You Need to Know about Company Registration in Ghana

Business Operating Permit in Ghana

These are Business licenses issued by government agencies in Ghana specifically issued by the metropolitan assembly your business is based in; it allows you to conduct business within Ghana’s geographical jurisdiction. To get for business operating permit in Ghana are enquired to have