Business entities in South Sudan

Business entities in South Sudan

Since 2011, Healy Consultants assists our Clients to determine the optimum corporate structure for their business needs. In South Sudan, the corporate vehicle most commonly used by entrepreneurs is the South Sudan limited liability company (Ltd.). Foreign corporates looking to do business in South Sudan are also permitted to set up permanent establishments in the form of a branch office or a representative office.

The South Sudan limited liability company (Ltd)

  • Setup a company in South SudanThe South Sudan limited liability company is the commonly used corporate structure for setting up businesses in South Sudan. In accordance with South Sudan Companies Act 2012, this entity can be established by i) 1 shareholder ii) 1 director who may be of any nationality. The shareholder(s) and director(s) are also not required to be ordinarily residents in South Sudan;
  • While the South Sudan government has scrapped off the requirement for a minimum share capital for locals incorporated a local limited liability company, foreigners are required to invest a minimum of US$100,000 as per the Investment Promotion Act of 2009. Foreigners are also forbidden to do business in transportation and foreign exchange. They are also required to form a joint venture with a majority local shareholder, if they want to setup an import/export or trading business in South Sudan.

The South Sudan branch

Foreign companies looking to do business in South Sudan are permitted to register a local branch of their overseas company. This is however only possible in industries fully open to foreign investment (see the Sudan LLC section above for further details on closed and restricted industries). The branch office is not considered a separate legal entity from its parent company and thereby abides by the laws of both South Sudan and its country of origin. The branch must appoint at least 1 representative of any nationality to officially represent the company in South Sudan.

The South Sudan representative office

The South Sudan Companies Act allows foreign companies to register representative offices in South Sudan. A representative office must specify at incorporation the scope of its operations in South Sudan and abide by those specifics. This entity is not permitted to conduct any profit making activities in South Sudan and may only engage in activities limited to i) conducting market research and ii) promoting the parent company’s products.

Comparison table between South Sudan business entities

 LLCBranch officeRep office
How long to set the company up?5 weeks6 weeks6 weeks
How long to open company bank account?5 weeks5 weeks5 weeks
Legal liability?LimitedUnlimitedUnlimited
Wholly foreign owned?YesYesYes
Minimum capital required?US$100,00NoneNone
File annual tax return?YesYesNo
Tax registration certificate required?YesYesNo
Recommended corporate bank account?Buffalo Commercial BankKenya Commercial BankNile Commercial Bank
Does our Client need to travel?NoNoNo
Resident director required?NoYesYes
Resident shareholder required?NoNoNo
Minimum directors allowed?111
Minimum shareholders?1NANA
Tax identification code (TIN) needed?YesYesNo
South Sudan resident company secretary required?NoNoNo
Corporate shareholders allowed?YesYesYes
Corporate director(s) allowed?YesYesYes
South Sudan corporate tax rate?10/15/20%10/15/20%0%
Annual financial statements required?YesYesNo
Statutory audit required?NoNoNo
Regulated by?One Stop Shop Investment CenterOne Stop Shop Investment CenterOne Stop Shop Investment Center
Allowed to issue sales invoices?YesYesNo
Allowed to sign contracts?YesYesNo
Allowed to import and export goods?YesYesNo
Can rent an office space in South Sudan?YesYesYes
Can buy South Sudan property?YesYesNo
Can own equity in other South Sudan companies?YesYesNo
Total South Sudan business setup costs in Yr. 1US$16,700US$17,700US$17,050
Subsequent annual costs (incl. accounting and tax fee)US$8,300US$8,300US$7,300
Sample engagement invoiceSouth Sudan LLC invoiceSouth Sudan Branch invoiceSouth Sudan Rep office invoice

Contact us

For additional information on our business setup services in South Sudan, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Mr. Petar Chakarov, directly:
client relationship officer - Petar
bank of South Sudan Government of the Republic of South Sudan mojss ssbr ssccia