How to register a business in South Africa (2026): step by step

Key points

• You can trade today as a sole proprietor — no registration needed
• A (Pty) Ltd is registered at CIPC, online, for a small official fee
• BizPortal and CIPC eServices are the official portals — both free to use
• Every business must be registered with SARS for income tax

Step 1: Decide if you even need to register a company

In South Africa you can run a business in your own name as a sole proprietor with no CIPC registration at all. You only need a registered company if you want limited liability, a separate legal entity, or a client requires it. Many freelancers never register a company.

Step 2: Register a (Pty) Ltd at CIPC

• Create a free customer account on CIPC eServices or BizPortal
• Reserve a name (optional — you can register with the enterprise number as the name)
• File the incorporation (CoR forms) online
• Pay the official CIPC fee — under R200 for a standard private company
• Receive your registration certificate and enterprise number by email

Step 3: Register with SARS

A new company is usually registered for income tax automatically through CIPC. Sole proprietors use their personal income tax number and declare business income on their ITR12. Check your status on eFiling and keep your details up to date.

What's free and what costs money

• Free: trading as a sole proprietor, SARS eFiling, BizPortal and CIPC eServices accounts
• Small official fees: CIPC name reservation and company registration
• Not required: paying a middleman to 'register your business' — the official portals do it directly

After registration

• Open a separate business bank account
• Register for VAT only when required (compulsory above R2.3 million turnover)
• Keep records from day one — income, expenses and invoices
• Put CIPC annual returns in your calendar if you registered a company