The government in its efforts to make Kenya have a good business climate have changed some laws that have been governing the business environment in the country since the late 1940s. This was achieved mid this month (Sep 2015) when the president assented to several new Acts which include Financial Act amendments 2015, the Companies act, the Business Registration Service, the Insolvency Act and the Special Economic Zones Act and the Companies and Insolvency Legislation Act.
What does this mean to us?
It is expected that once implemented, the Companies Act is likely to revolutionize the business environment in the country. One of the major advantages of this Act is that it will now be possible to register a private limited company as an individual, unlike in the past where a minimum requirement of two directors had to be met.
Another advantage is it will no longer be mandatory for small companies to have a company secretary.
The new Act also removes the requirement that made it mandatory in the past for private companies to hold an annual general meeting.
When signing the new laws, President Kenyatta emphasized that his government is fully committed to making Kenya a better place of doing business. Quoting the President,
Laws alone cannot make a difference. What matters is how they are implemented, each one of us has a role to play for Kenya to become a first world economy.
We just hope that the dreams he has for our country are genuine and we wish him all the best.
I also hope the government agencies tasked with implementing these laws do it as soon as possible as Kenyans cannot wait to enjoy the benefits of the new laws.
Here is some more information on how to register a company in Kenya.