Personal Liability Companies: Understanding Their Purpose and Applications
Stefan on 8 June 2023
Are you curious about Personal Liability Companies (INC) and their role in the business world? Join us on this journey of discovery as we explore the ins and outs of INC companies, making it easy for entrepreneurs and business enthusiasts alike to understand this unique business structure.
What are INC companies?
INC companies are primarily designed for the registration of professional entities. They serve as a go-to option for professionals like doctors or lawyers who want to establish their businesses.
Read more: Everything you need to know when starting a company in South Africa
Do I need an INC company?
If you're working in a professional field, such as healthcare or law, registering an INC company can bring numerous benefits. Many government departments, hospitals, and courts require businesses to be registered as INC companies to ensure they meet legal and regulatory standards. It adds credibility to your services and enables you to engage with government entities and institutions seamlessly.
How do you register an INC company?
To register an INC company, you'll need to go through the Companies and Intellectual Property Commission (CIPC). While the process is currently manual and not available on the CIPC's eservices website, it's relatively straightforward. You'll need a CIPC customer account with sufficient funds to pay for the INC registration application.
What documents are required for INC registration?
To complete the INC registration, you'll need the following documents:
- Certified ID copies of all of the directors
- A CIPC account
- Completed COR 14.1 form
- Completed COR 14.1A form
- Completed COR 15.1B form
Differences between (Pty) Ltd and INC companies
(Pty) Ltd companies have the flexibility to offer various services, while INC companies are specifically tailored for professional services like auditors and lawyers. It's essential to choose the right business structure that aligns with your professional goals and requirements.
Remember, understanding the benefits of INC companies is crucial for success in the professional realm. By demystifying this business structure, we empower you to make informed decisions about your business journey.
Register your company today and unlock new opportunities in the professional world!
