Botswana company registration

Botswana company registration

DOING BUSINESS IN BOTSWANA

Since 2003, Healy Consultants has assisted our Clients with business registration in Botswana. Our services include i) Botswana company incorporation ii) government license registration iii) corporate bank account opening in Botswana iv) employee recruitment v) visa strategies and vi) office rental solutions in Botswana.

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  • Advantages and Disadvantages

    Advantages of Botswana company registration

      business registration in Botswana
    1. A Botswana Limited Liability Company (LLC) requires only one shareholder and one director, with no restrictions on foreign ownership. There is also no minimum paid-up capital to register a company in Botswana;
    2. Botswana has been a member of the World Trade Organization since 1995 and thus, enjoys all the benefits that membership provides;
    3. The economy of Botswana is benefited by the world’s largest diamond market, producing over 30 million carats annually. Diamond exports have ensured an adequate flow of foreign exchange which has contributed to the strengthening of Botswana’s economy;
    4. Botswana is positively ranked as the least corrupt country in Africa and ranks as the 28th least corrupt country in the world, according to the 2015 Corruption Perceptions Index by Transparency International, a global measure of corruption amongst public officials and politicians;
    5. Botswana was positively ranked as the 30th freest economy in the Heritage Foundation’s 2016 Index of Economic Freedom, a measure of freedom enjoyed in business, trade, monetary, financial, investment and labour markets. Outstanding trade and fiscal freedom were listed as the main reasons behind the high rank;
    6. It is easy to open global corporate bank accounts to support business setup in Botswana. Healy Consultants works with internationally recognized banks to provide Botswana corporate bank account services.

    Disadvantages of Botswana company registration

    1. Botswana company incorporation is complex and time consuming. According to the World Bank it takes 48 days on average to set up a business here, compared to an average of 27 days in Sub Saharan African countries and 9 in OECD countries;
    2. A Botswana LLC is liable for a corporate tax rate of 22%, and may be liable for VAT at the rate of 10% as well;
    3. Many business sectors in Botswana remain closed to foreign investment and in most cases, land cannot be sold to foreign investors;
    4. Botswana is negatively ranked as the 74th most competitive economy in the world in the Global Competitiveness Report 2014-2015;
    5. The relative slow internet bandwidth and power situation present additional challenges to doing business in Botswana;
    6. Botswana ranks as 72 out of 189 economies in ease of doing business according to the World Bank with the main business obstacles being trading across borders, dealing with construction permits and getting electricity.
  • Best uses for a Botswana company

    Botswana is an ideal location to set up a manufacturing company as the government offers incentives such as i) low tax rates of 15% on taxable income ii) tax holidays for up to 10 years iii) free repatriation of profits and dividends and iv) double tax treaties with 12 countries that minimize withholding tax and allow investors to avoid double taxation.

Company registration

  • Time to incorporate: Eight weeks
  • Cost to set up: US$11,405
  • Minimum capital: US$1
  • Physical office required: Yes

Required appointments

  • Shareholders: 1
  • Directors: 1
  • Company secretary: Yes
  • Resident director: Yes

Key facts

  • Corporate tax rate: 22%
  • Corporate tax base: Worldwide
  • Shelf companies: Unavailable
  • Main company type: Limited company

Download the full Botswana country report here

Frequently asked questions

Contact us

For additional information on our company registration services in Botswana, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Ms. Olivia Stanciu, directly:
client relationship officer - Olivia