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How To Register A Construction Company in Kenya

How To Register A Construction Company in Kenya. As Kenya’s economy takes shape, currently the Kenyan government is investing Ksh. 288 billion ($3.3 Billion) on an infrastructure project in the financial year 2013/14.

The counties have also been allocated budgets for development projects. This has increased opportunities for businesses bidding for tenders.

In order to apply for the government tenders opportunities in the construction industry, you will need to have a registered legal entity among many other requirements.

Here is an overview of what you will require;

  • Registered company
  • KRA PIN for Company
  • Tax Compliance Certificate
  • National Construction Authority Approval
  • AGPO Certificate – for youth, women, and person with disabilities

I: Requirements

To setup a limited company for your construction business, you will need to prepare the following information;

  1. Company Name – client needs to send us at least 1-3 company name suggestions.
  2. Nature of Business – What business activities will your business carry? For example real estate, road construction, business consultant, tours & travel.
  3. Director details – we will require the following details from each of the directors;
    1. Full names of directors (As shown on ID or Passport)
    2. Occupation – For Example Consultant, Businessman, Businesswoman, Engineer
    3. Postal address – you will need to provide a postal address for each of the company directors.
  4. Shares allocation – how much ownership will each director have in the company e.g. 60%/40%, 50%/50%.

Additional Requirements

Company Registry has introduced a new rule that requires all company directors who are registering a new company to provide with the following documentation as proof of identity;

  1. Copy of KRA PIN Certificate
  2. Copy of ID/Passport
  3. Passport photo – with a clear white background.

II: Company Name Search

Your suggested company names will be forwarded to our Registration Team so that it can be submitted to the Company Registry. The process will take up to 2 working days.

III: Memorandum & Article of Association

Once the name search is complete, the Memorandum & Article of Association preparation will begin. We will email it to you with instructions on how to sign the relevant pages. Once you’ve signed the documents, you will need to send the documents to us through our Delivery Team.

IV: Certificate of Incorporation

Once the certificate of incorporation has been issued, we will pick it up from Company Registry and deliver it to you. If you leave outside Nairobi, we will send the documents to you using G4S Courier for Free. If you have a preferred courier company in mind that covers your county then we will send it to you. Please note international delivery will incur extra cost.

V: KRA PIN for Company

This is another important document that is crucial to your business operations. Without a company PIN you won’t be able to open a business bank account, make tax returns, apply for government tenders etc. The list is endless. In order to apply for KRA PIN, two (2) of the company directors need to have personal KRA PIN under the new iTax system. The company documents are required to be taken to KRA offices for data loading before applying online.

VI: Open Bank Account

In Kenya, there are more than 40 banks to choose from based on your business needs. There are some banks that offer LPO financing to businesses that can be useful to finance government tenders in the event you get one. Ask your bank for advice and they should provide you more information.

VII: Tax Compliance Certificate

It is becoming one of the most requested documents by procurement offices in Government when applying for tenders. You will need to apply for this certificate in order to get pre-qualification to bid for tenders.

VIII: National Construction Authority (NCA) Certificate

You will need to go to NCA offices and apply for a certificate that will allow you to bid for construction tenders. Find out more from their NCA official website.

IX: AGPO Certificate

This only applies if your companies applying for Government reserved tendered that is meant for youth, women, and persons with disability. Here are some of the requirements you need to have in order to apply for AGPO Certificate;

  • Identity Card(s)/Passport(s)
  • Business Registration Certificate (for Sole Proprietor or Partnership)
  • Certificate of Incorporation (for Limited Company)
  • KRA PIN/VAT Certificate.
  • Tax Compliance Certificate.
  • Partnership Deed for Partnership Business.
  • Memorandum/Articles of Association and CR12 mandatory for Registered Companies.
  • For Construction Category – Letter/Certificate from the National Construction Authority

Learn more information from AGPO Official Website

X: Apply for Government Tender

You can look for tenders and start applying for them.

IMPORTANT! Please note that from time to time, the Government might change the regulations which might require more requirements. So make sure to ask for the requirements from any Government procurement offices. We will keep trying to update this article when we receive any new information.

Are You Ready? Register Your Company Today!

We are excited that you want to register your limited company and we are happy to get everything started so you can start trading soon. Here are the step by step guide on how we will assist you to register your limited company;

Step 1: Pricing Plans

You will need to select which registration package you prefer;

Lite Plan – Ksh. 20,000 – Includes Company Name Search, Certificate of Incorporation, Memorandum, CR12 Letter only.

Premium Plan – Ksh. 40,000 – Includes Company Name Search, Certificate of Incorporation, Memorandum, CR12 Letter, Company KRA PIN, VAT Registration, Tax Compliance Certificate Registration, Lipa Na Mpesa Account Registration, Business Cash Advance Facility, Masterpass QR Registration, Website Design, SSL Certificate for Website, Domain Name (.COM or .CO.KE), Web Hosting (10GB Diskspace), Unlimited Company Email Accounts, Logo Design, Business Card Design, Letterhead Design and Business Consultancy.

Step 2: Requirement Form

Please download and fill this Requirement Form below with your information.

Click on this link to download the Company Registration Requirements Form [Word Version, 3 Pages, Size: 19.7KB]

Step 3: Registration Order

Once you complete your company requirement form, you will need to upload it on the registration order below and submit your order.

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