Zambia company registration

Zambia company registration

DOING BUSINESS IN ZAMBIA

Since 2003, Healy Consultants has assisted our Clients with business registration in Zambia. Our services include i) Zambia business registration services ii) assistance to obtain licenses iii) Zambia corporate bank account opening services iv) employee recruitment v) visa strategies and vi) Zambia office rental solutions.

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  • Advantages and disadvantages

    Advantages of Zambia company registration

      Advantages in registering company in Zambia
    1. It is easy to start a company in Zambia because only i) two shareholders and ii) two directors are needed for this purpose and none of them are required to be Zambian nationals. The minimum share capital to establish a company in Zambia is furthermore only US$1,000 (ZMK5 million);
    2. Our Clients will be able to export most products manufactured in Zambia free of import custom duties. Zambia is a member of the World Trade Organization since 1995 and enjoys all of the benefits that membership provides. As a least developed economy, Zambia also benefits from preferential treatment from i) the European Union ii) the United States of America iii) Japan and most other developed economies;
    3. Zambia is a major producer of copper, which is the 8th largest reserves in the world. This industry significantly contributes to a booming economy, expected to grow at annual rates of 6.5%-7% by the International Monetary Fund until 2020;
    4. Zambia offers tax breaks to companies operating in priority sectors. Companies meeting selected requirements pay no taxes for the first 5 years and reduced tax rates for the following five years;
    5. It is easy to open global corporate bank accounts to support business registration in Zambia. Healy Consultants works with internationally recognized banks to provide corporate bank account services.

    Disadvantages of Zambia company registration

    1. While the registration of a Zambia company can be done by foreigners without involvement of local shareholders, the company will still require at least 50% of its directors to be ordinarily residing in the country;
    2. The level of corporate tax on manufacturing companies reaches 35%. Reduced tax rates of 10% to 15% are however granted by the Zambian tax authorities to companies running agricultural operations;
    3. Zambia also subjects dividend payments to non-resident companies and individuals at a standard rate of 15%. In order to reduce withholding tax, double taxation avoidance treaties are only available with twenty countries including i) Canada ii) Denmark iii) Finland iv) France v) Germany vi) India vii) Ireland viii) Italy ix) Japan x) the United Kingdom xi) Mauritius and xii) Switzerland;
    4. The Central Bank of Zambia forbids businesses to quote their products in foreign currencies. All local transactions are to be quoted in the local currency (the ZMK or Zambian Kwacha).

Company registration

  • Time to incorporate: Three weeks
  • Cost to set up: US$15,450
  • Minimum capital: US$1,000
  • Physical office required: Yes

Required appointments

  • Shareholders: 2
  • Directors: 2
  • Company secretary: No
  • Resident director: Yes

Key facts

  • Corporate tax rate: 35%
  • Corporate tax base: Worldwide
  • Shelf companies: Unavailable
  • Main company type: Limited company

Contact us

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