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Running business is hard. Just when you thought you can now relax, a competitor comes up with a new innovation that may make your business irrelevant. Sometimes, you just don’t have money for advertisement, marketing, research and development, expansion or moving to new territories. Business gurus advise that the only way your company can grow sometimes is through acquisitions. But, who has the money for that? Where do you get money to do all that? The bank manager is no longer answering your phone calls because the company’s debt to equity ratio is bad. In this article I am going to show how by listing your company on the stock exchange can open up your company to accessing new capital either during the Initial Public Offer (IPO) or subsequent issues such as rights issue or a secondary IPO. Listing a company on the stock exchange is a process.  Many companies fear listing on the stock exchange for loss of ownership and control. True, when you list you get a whole lot of new share

The Constitution of Kenya and the Kenya Citizenship and Immigration Act, 2011 recognizes the citizenship rights of an individual in Kenya. There are various ways in which one may acquire citizenship in the country CITIZENSHIP BY BIRTH-QUALIFICATIONS If on the date of a person’s birth, whether or not born in Kenya, either the mother or father of the person is a citizen. Procedure Request the Form If you have ever held an Alien’s Certificate (Card) (even if it is now expired), you will need to surrender this and obtain a “Certificate of Clearance”. If you are in Kenya, go to your local National Registration of Persons offices( usually located within local sub-county Commissioner’s offices) and request the form If you are abroad, you can request the form at your nearest Kenyan Embassy, High Commission or Consulate The Director Kenya Citizens & Foreign Nationals Management Services Ministry of State for Immigration & Registration of Persons , and attach the

Sole proprietorships and partnerships are both registered under the Business Names Act. A sole proprietorship is formed by only one person whereas a partnership will consist of at least two persons and a maximum of 20 persons. The registration procedure for the two is more or less the same as the same Form BN2 is required. Requirements for registration of a sole proprietorship/ partnership Proposed business names for search and approval; Nature of business; for professional services a practicing certificate by the relevant body for the current year will be attached; Proposed Physical address of the business. Address includes road, plot number, town, and county; Full names of the partners or the sole proprietor; Nationality of the partners/ sole proprietor; Age of each partner based on their national IDs; Gender of each of the partners; Usual place of residence of each of the partners/ sole proprietor Copy of ID / Passport for Partners /the Sole proprietor; 2 passport

Societies in Kenya are registered under the Societies Act. Political parties, Churches, Welfare associations, Sports associations, and Private members clubs can all be registered under the societies Act as Societies. Requirements for registration of a society. Proposed names for search and approval; Objects of the society; The number of members in the society (At least 10 members); The names, occupation and postal addresses of the Chairman, treasurer and secretary; Proposed Physical address of the society. Address includes road, plot number, town, and county; Constitution for the society; Form A (application for registration of a society) Form B ( notification of registered office and address of a society)  Procedure for registration of a society Name search. A name search is conducted to ascertain if proposed names are available for registration. Preparation of the constitution and relevant forms.   The society’s constitution is then prepared and Forms A and B a

Stamp Duty is paid to the Kenya Revenue Authority. As you register your company, you need to complete a form (SD1) from the Kenya Revenue Authority. The original copy of the payment form will be retained by the person paying for presentation as evidence of payment to the Registrar for the purpose of processing the documents, but will be authenticated by the triplicate copy (green) copy. As an administrative requirement, the KRA now requires the personal identification numbers (PINs) of all parties on whose behalf duty-stamped documents are submitted. Documents must be first assessed by the Stamp Duty Office before payment can be processed by the KRA-designated banks. The amount payable is prescribed by the Cabinet Secretary responsible for Lands and Housing from time to time. At the moment, a stamp duty of 1% is payable upon the creation and increase of the authorized share capital. However, the amount is subject to bank charges and fixed charges. If the company has an authorize

The Articles of Association usually prescribe circumstances when a Director would be removed from directorship. Apart from the voluntary resignation, a director may be removed from office at any time before their term expires or notwithstanding the provisions in the Articles of Association. The following steps are followed: The Company by ordinary resolution in an Annual general meeting or an extra ordinary General meeting can remove a director. Special Notice about the resolution to remove a director or to appoint somebody instead of a director so removed at the meeting at which he is removed shall be issued to the members. A copy of the said notice to be send to the director to be removed also. The director shall be given an opportunity of being heard in the meeting. If the director gives any written representation to the notice, then the said representation shall be given to all members unless they are received too late. If the representation could not be given to all memb

Section 8 of the Act provides that a company may, by  special resolution , alter the provisions of its memorandum with respect to its objects if the alteration would enable the company: – (a)    To carry on its business more economically or more effectively. (b)   To attain its main purpose by new or improved means. (c)    To enlarge or change the local area of its operations. (d)   To carry on some business which under existing circumstances may conveniently or advantageously be combined with the business of the company. (e)    To restrict or abandon any of the objects specified in the memorandum. (f)    To sell or dispose of the undertaking of the company. (g)   To amalgamate with any other company or body of persons. Procedure In order to effect the proposed alterations the company’s directors would have to convene an  extraordinary general meeting  of the company in order to consider and if approved, pass a resolution that the company’s objects be altered as prop