Frequent question: How do I register a subsidiary company in Zambia?

How do I register my company as a subsidiary?

How to Create a New Company, or Subsidiary, of an Existing…

  1. Step 1: Authorize the formation of a subsidiary. …
  2. Step 2: Choose a business entity type for the new company. …
  3. Step 3: Draft the company’s formation document under state law. …
  4. Step 4: File the formation document and fee with the state.

How do I register as a parent company?

Holding company Registration process

  1. Apply for DSC and DIN.
  2. Gather the documents required for company registration.
  3. File the RUN application.
  4. Draft the MOA and the AOA of the company.
  5. Apply for the company registration through an online application.

How do I register a private limited company in Zambia?

Apply Online[edit]

  1. Access the patent and companies registration agency online portal to start the registration process – LOGIN PAGE.
  2. Register as an online user account and Login.
  3. Submit up to three proposed names for the business/company for clearance. …
  4. Pay using the instructions given.
  5. Receive and print out acceptance.
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Can a wholly owned subsidiary be a small business?

The SBA’s small business regulations confirm this to be true. … Indeed, to qualify as a small business for most federal contracting purposes, a company can be a subsidiary of a foreign firm—so long as certain criteria are met.

What are the advantages of a subsidiary company?

Advantages

  • #1 Tax benefits. A parent company can substantially reduce tax liability through deductions allowed by the state. …
  • #2 Risk reduction. The parent-subsidiary framework mitigates risk because it creates a separation of legal entities. …
  • #3 Increased efficiencies and diversification. …
  • #1 Limited control. …
  • #2 Legal costs.

Is an LLC a parent company?

Since an LLC (unlike a partnership or sole proprietorship) is a type of corporation, it can be used as a parent company.

What are the benefits of having a parent company?

What are the advantages of the holding company-operating company structure?

  • Liability protection. Placing operating companies and the assets they use in separate entities provides a liability shield. …
  • Control assets for less money. …
  • Lower debt financing costs. …
  • Foster innovation. …
  • Day-to-day management not required.

Can an LLC own another company?

As for the legality of ownership, an LLC is allowed to be an owner of another LLC. … LLC members can therefore be individuals or business entities such as corporations or other LLCs. It is also possible to form a single-member LLC whose only owner is another LLC.

How do you prove a company is a subsidiary of another?

According to s.1159 of the Act, a company is a “subsidiary” of another company, its “holding company”, if that other company: holds a majority of the voting rights in it, or. is a member of it and has the right to appoint or remove a majority of its board of directors, or.

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Can a sole proprietor be a subsidiary?

If you are a sole proprietor of your business, the Internal Revenue Service makes no distinction between you and the business. If you form a subsidiary, your whole company will be treated as if you are the business, so there is no advantage to a subsidiary as a sole proprietor.

How do you set up a parent company with a subsidiary?

How to Create a New Company, or Subsidiary, of an Existing Company

  1. Step 1: Authorize the formation of a subsidiary. …
  2. Step 2: Choose a business entity type for the new company. …
  3. Step 3: Draft the company’s formation document under state law. …
  4. Step 4: File the formation document and fee with the state.

What is the fees for company registration?

Government fees for company registration

Nominal share capital Registration fees
Rs. 1,00,000 to Rs. 5,00,000 Rs. 5,000. Rs. 400 will be added for every increase of Rs. 10,000 of nominal share capital.
Rs. 5,00,000 to Rs. 50,00,000 Rs 21,000. Rs. 300 will be added for every increase of Rs. 10,000 of nominal share capital.

What documents are needed to register a company?

The following supporting documents are required: o Certified identity copy of applicant; o Certified copies of the Identity Documents or passport of the Directors and Incorporators; o The name confirmation certificate (COR9.

How long does it take to register a company in Zambia?

Business registration is done at the Patents and Companies Registration Agency (PACRA) and takes three working days. The registration procedure starts with Name Clearance. Registration of a Business Name is governed by the Business Names Act No. 16 of 2011 of the Laws of Zambia.

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