The starting point is to first identify the nature of Company you would like to set up.
The Companies Act No. 10 of 2017 provides for the various companies that can be formed, namely:
Private Companie
- Private Companies Limited by Shares.
- Private Companies Limited by Guarantee.
- Private Unlimited Companies.
KEY STEPS TO INCORPORATE A COMPANY
- Name Clearance (Submit 3 possible names to the Registrar of Companies at PACRA)
- After the proposed name is approved, you proceed to apply using Application for Incorporation forms, accompanied by;
- Proposed Articles of Association/Standard Articles (acts as the Company’s Constitution);
- Declaration of Compliance;
- Signed consent from each person named in the application as a Director/Secretary of the Company;
- Statement of Beneficial Ownership; and
- A declaration by the applicants that the particulars in the Statement of Beneficial Ownership have been submitted to the Registrar with the knowledge of the individuals to whom the particulars relate.
Private Companies Limited by Shares/Guarantee
- Must have at least 2 Shareholders but no more than 50;
- Must have at least 2 Directors (50% of which must be Zambian residents); and
- Must have a qualified Company Secretary.
Public Companies Limited by Shares
- Must have at least 3 Shareholders; and
- Must have at least 3 Directors.
Share Capital
- The minimum share capital for private companies is ZMW15,000 (refer to the PACRA knowledge base pamphlet) and that of public companies is ZMW1.5 million.
