Should you reinstate a deregistered company or start fresh with a new one?

Your company was deregistered. Now what?

Do you bring it back, or start over?

It happens more often than you think: life gets busy, annual returns get missed, and your company gets deregistered.

But now that you’re ready to trade again, you’re stuck wondering… is it worth reinstating the old company, or should you just register a brand new one?

Let’s go through all the pros and cons of both options so you can make the right call for your business.

First, what does “deregistered” actually mean?

When CIPC deregisters a company, it’s removed from the official company register.

That means it no longer exists as a legal entity. This usually happens because…

1. You missed annual return submissions for multiple years
2. You requested a voluntary deregistration

Deregistration might sound final, but it doesn’t always have to be.

In some cases, you can apply to reinstate the company and bring it back to life.\

Here’s how you can go about it…

Option 1: Reinstate your deregistered company

Reinstating means applying to CIPC to restore your company to the register.

You’ll need to prove that the company still exists (or has unpaid liabilities), and submit all outstanding documents and returns.

There are pros of reinstating…

1. You keep your original registration number
2. You retain your business’s compliance history, tax number, and (in some cases) contracts or tenders
3. You won’t need to set up everything from scratch

… But there are also cons of reinstating

1. The process can be long, complex, and paperwork-heavy
2. You must settle your outstanding CIPC annual returns
3. If the company had debt, complications may arise
4. You can’t trade while the company is still deregistered

Reinstatement can take anywhere from a few weeks to a few months, depending on the documents required.

In some cases, you’ll need a court order to proceed, especially if it’s been deregistered for several years or was previously liquidated.

Option 2: Register a new company

Sometimes, it’s quicker and more cost-effective to start fresh with a new business registration.

This is often the best choice if…

1. You don’t need the old company name or registration number
2. There were no contracts, assets, or liabilities attached to the old business
3. You need to trade ASAP and want a clean slate

There are a couple of pros of registering a new company:

1. It’s fast (Govchain can register your new company in just a few days)
2. No baggage or old admin to deal with
3. You get a brand-new start, including a new registration number, tax reference, and compliance calendar

But there are also cons to registering a new company:

1. You lose any history linked to the old company (like BEE certificates, tax status, or trading credibility)
2. You’ll need to update clients, banks, and suppliers with new details
3. You might have to reapply for licenses or permits

Whatever path you choose, we’ll help you move forward with confidence.