Business entities in Burkina Faso in 2023
Healy Consultants will assist our Clients with incorporating the optimal corporate structure in Burkina Faso. There are several ways of doing business in Burkina Faso, the most common being the setting up of a limited liability company. Foreign entrepreneurs may also opt to set up a public limited company, a limited partnership or a branch office.
The Burkina Faso limited liability company (Société à Responsabilité Limitée – SARL)
- The Burkina Faso limited liability company (LLC) must appoint at least 1 director and 1 shareholder who can be of any nationality. The minimum paid-up share capital required to complete the incorporation process is US$2000;
- A Burkina Faso LLC must appoint an auditor to submit financial statements and an audit must be submitted every year;
- The Burkina Faso LLC must maintain its books of accounts in French at its registered office in Burkina Faso according to the OHADA laws.
The Burkina Faso public limited company (Société anonyme – SA)
- This business entity requires a minimum capital of US$20,000 which must be paid up in full prior to incorporation. At least 1 shareholder and 3 directors must be appointed, whom can be of any nationality.
- The Burkina Faso public limited company (PLC) books of accounts must be maintained in French at its registered office in Burkina Faso. The accounts must be maintained according to the OHADA system of accounting. If required, Healy Consultants will assist our Client to locate permanent office premises in Burkina Faso;
- Annual financial statements must be prepared and an audit must be submitted every year. A Burkina Faso PLC must appoint an approved auditor
The Burkina Faso branch (Succursale)
A Burkina Faso branch office can be 100% foreign owned. The scope of operations for this entity will be defined by the parent company. Also, the branch office must have a registered office in Burkina Faso as well as a resident agent appointed by the company to receive summons, notices etc. on behalf of the company.
Table of comparison between Burkina Faso entities
| LLC | PLC | Branch | |
|---|---|---|---|
| Also known as: | SARL | SA | Succursale |
| How long to set the company up? | 3 weeks | 4 weeks | 5 weeks |
| How long to open company bank account? | 4 weeks | 5 weeks | 6 weeks |
| Legal liability? | Limited | Limited | Unlimited |
| Wholly foreign owned? | Yes | Yes | Yes |
| Minimum paid - up share capital? | US$2,000 | US$20,000 | US$1 |
| File annual tax return? | Yes | Yes | Yes |
| Tax registration certificate required? | Yes | Yes | Yes |
| Recommended corporate bank account? | Bank of Africa | BSIC | UBA |
| Does our Client need to travel? | No | No | No |
| Resident director required? | No | No | No |
| Resident shareholder required? | No | No | No |
| Minimum directors allowed? | 1 | 3 | 1 |
| Minimum shareholders? | 1 | 1 | 1 |
| Tax identification code needed? | Yes | Yes | Yes |
| Burkina Faso resident corporate agent required? | Yes | Yes | Yes |
| Corporate shareholders allowed? | Yes | Yes | Yes |
| Corporate director(s) allowed? | Yes | Yes | Yes |
| Statutory audit required? | Yes | Yes | Yes |
| Burkina Faso corporate tax rate? | 27.5% | 27.5% | 27.5% |
| Annual financial statements required? | Yes | Yes | Yes |
| Regulated by? | Chamber of Commerce and Industry | Ministry of Commerce | Ministry of Commerce |
| Allowed to issue sales invoices? | Yes | Yes | Yes |
| Allowed to sign contracts? | Yes | Yes | Yes |
| Allowed to import and export goods? | Yes | Yes | Yes |
| Can rent an office space in Burkina Faso? | Yes | Yes | Yes |
| Can buy Burkina Faso property? | Yes | Yes | Yes |
| Total Burkina Faso business setup costs in yr. 1? | US$15,300 | US$18,450 | US$17,450 |
| Subsequent annual costs (incl. accounting and tax fee)? | US$3,400 | US$3,400 | US$3,400 |
| Sample engagement invoice? | View invoice PDF | View invoice PDF | View invoice PDF |
