Starting a company in Kenya is now easier than ever, thanks to the eCitizen portal, which allows business owners to register and obtain necessary legal documents online. However, beyond company registration, several other compliance steps must be completed to ensure your business is fully operational.

This guide breaks down the latest process for company registration and the additional steps required to get your business up and running.

Understanding Business Structures in Kenya

Before initiating the registration process, it's crucial to determine the type of business entity that aligns with your objectives. In Kenya, the common business structures include:

• Sole Proprietorship: Owned and operated by one individual, suitable for small-scale businesses.
• Partnership: A business owned by two or more individuals sharing profits and liabilities.
• Limited Liability Company (LLC): A separate legal entity from its owners, offering limited liability protection.
• Branch Office: An extension of a foreign company operating in Kenya.

Each structure has distinct legal implications, tax obligations, and operational frameworks. For most entrepreneurs, registering a Limited Liability Company (LLC) is advantageous due to its separate legal status and limited liability protection.

Step 1: Register on the eCitizen Portal

Before you begin the registration process, you must first create an account on eCitizen, Kenya’s official government services portal. This account will allow you to access the Business Registration Service (BRS), where company registration is conducted.

How to Register on eCitizen:

• Visit eCitizen Portal
• Click "Create an Account"
• Select the appropriate category:

1. Kenyan Citizen (if you have a national ID)
2. Foreign Resident (for non-Kenyans with a work permit)
3. Foreign National (for investors outside Kenya)

• Enter your Personal Information (ID number, email, phone number)
• Verify your email and phone number
• Set a password and log in to your account

Once your account is created, you can proceed to register your company online.

Step 2: Apply and Pay for Company Registration

Company registration in Kenya is done entirely online through the eCitizen Business Registration Service (BRS). Unlike before, there is no need to conduct a separate name search or pay the Ksh. 150 name reservation fee. Instead, applicants can submit up to three proposed company names in a single application, and the Registrar of Companies will approve one based on availability.

Updated Process for Company Name Approval

• During the registration process, you will be asked to provide three company name options.
• The Registrar of Companies will review the submitted names and approve the one that is available.
• If all three names are unavailable, you will be required to submit new options.

This new approach saves time and eliminates the need for a separate name search process, making company registration faster and more convenient.

Required Documents for Company Registration

To successfully register your company, ensure you have the following:

• Proposed Company Names (Up to three options)
• Memorandum & Articles of Association (MOA & AOA) – Defines the company’s purpose and structure
• CR1 Form – Company registration applicationCR2 Form – Declaration of shareholding structure
• CR8 Form – Notice of registered office address
• List of Directors & Shareholders (CR12) – Shows company ownership details
• Copies of Directors’ ID Cards or Passports
• Passport Photos of All Directors
• KRA PINs of Directors
• Company’s Physical & Postal Address

Steps to Register Your Company

• Log in to eCitizen and navigate to Business Registration Service (BRS)
• Enter Three Proposed Company Names for approval
• Fill in the Company Registration Forms (CR1, CR2, CR8)
• Upload the Required Documents
• Pay the Company Registration Fee (Ksh. 10,650 - this is just an estimation, it may vary)
• Submit Your Application

Once submitted, the application is reviewed by the Registrar of Companies and processing typically takes 3–5 business days. If the submitted names are rejected, you will be asked to provide new options.

Step 3: Obtain Company Registration Documents

After your company is successfully registered, you will receive the following official documents via your eCitizen account:

Certificate of Incorporation – Confirms your business is legally recognized
CR12 Form – Lists the company’s directors and shareholders
Company KRA PIN – Required for tax compliance
NSSF Employer Registration Number – For employee pension contributions
SHA Employer Registration Number – For state health insurance compliance

These documents legally establish your company, but additional steps are required before you can begin operations.

Step 4: Apply for a Business Permit from the County Government
To operate legally, businesses must obtain a Business Permit from the county government where they intend to operate. The process and fees vary by county, depending on the type and size of the business.

How to Apply for a Business Permit
Visit your local County Government Office (or apply online if available)
Submit your Company Registration Documents (Certificate of Incorporation, KRA PIN)
Provide your Business Location & Nature of Business
Pay the Business Permit Fee (varies by county)
Receive your Business Permit
Estimated Business Permit Costs by County
County Business Permit Fee (Ksh.)
Nairobi 5,000 – 50,000
Mombasa 7,000 – 60,000
Kisumu 4,500 – 40,000
Step 5: Register with the National Social Security Fund (NSSF)
If your company has employees, registering with NSSF is mandatory. The NSSF provides retirement benefits for workers, and both employers and employees contribute monthly.

How to Register with NSSF
Visit the NSSF Online Portal
Click "Employer Registration"
Enter company details, including Certificate of Incorporation & KRA PIN
Upload required documents
Receive your NSSF Employer Registration Number
Employers must remit monthly contributions based on employee salaries.

Step 6: Register with SHA for Employee Health Insurance
The State Health Authority (SHA) ensures employers contribute to employee medical coverage. This is legally required for companies hiring staff.

How to Register with SHA
Visit the SHA Online Portal (or nearest SHA office)
Provide company details and Certificate of Incorporation & KRA PIN
Submit a list of employees to be covered
Pay monthly health insurance contributions
Step 7: Open a Company Bank Account
A corporate bank account is essential for managing your company’s finances, receiving payments, and handling payroll.

Requirements to Open a Business Bank Account
✔ Certificate of Incorporation
✔ Company KRA PIN
✔ CR12 Document (List of Directors & Shareholders)
✔ Memorandum & Articles of Association
✔ Business Permit
✔ Directors' ID Copies & KRA PINs

Visit your preferred bank with these documents to open a company account.

Step 8: Ensure Tax Compliance
All businesses in Kenya must comply with Kenya Revenue Authority (KRA) tax regulations.

Tax Obligations for Companies
✔ Corporate Tax (30%) – Paid annually on net profits
✔ Value Added Tax (VAT – 16%) – Mandatory if annual turnover exceeds Ksh. 5 million
✔ PAYE (Pay As You Earn) – Deducted from employee salaries
✔ Monthly & Annual Tax Returns – Must be filed via iTax

Let’s Help You Set Up Your Company in Kenya!

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