How to start a construction company in Kenya
The procedure of starting a construction company in Kenya is exactly the same as any other company. But the difference is that for a construction company, one has to ultimately register with National Construction Authority(NCA). Here is a step-by-step guide on how to start a construction company in Kenya.
Conduct a Name search
Anybody wishing to start a construction company in Kenya must first conduct a name search. This is important in that it ensures no other business is registered with the name you have in mind. A name search is done on an e-citizen portal(www.ecitizen.go.ke)
Prepare a memorandum of Association and Articles of Association
A Memorandum of Association (MOA) is a legal document prepared in the formation and registration process of a limited liability company to define its relationship with shareholders.
The MOA is accessible to the public and describes the company’s name, physical address of registered office, names of shareholders and the distribution of shares.
On the other hand, The Articles of Association is a document that contains the purpose of the company as well as the duties and responsibilities of its members defined and recorded clearly.
The MOA and the Articles of Association serve as the constitution of the company. They are also one of the first documents required during registration with NCA.
Apply for Company registration
The fee for this process starts from 10,650 depending on the type of company. Complete and submit your company registration application(which combines application for company registration, KRA pin, NSSF and NHIF registration) on the e-citizen.
If your application succeeds, you will obtain a certificate of incorporation,CR12,KRA PIN,NSSF and NHIF numbers online.
Register your company with NCA
For a construction company to operate in Kenya, it is imperative that it is registered with National Construction Authority(NCA). It is illegal under the Kenyan laws to operate as a contractor without NCA certification.
Please read here for a complete guide to registering a construction company in Kenya with NCA.