To register a company in the United Republic of Tanzania is a right of those who wish to associate and form themselves into a company pursuant to the existing company laws.
Companies Act, 2002
There are four main types of companies as follows: -
* Private companies.
* Non-private companies (Public).
* Foreign companies (companies incorporated out of Tanzania).
* Parastatal or state owned companies.
(a) Private companies
# Private companies are normally formed by persons with prior relationships other than only business relationship e.g. Father and son's and or daughters, friends etc.
# Minimum number of membership for a private company is two and maximum is fifty excluding persons who become member by virtue of being employees of the company.
# The shares of these companies are not freely transmissible. The transferability is subject to strict control and regulations, as such, these type of companies may not list in the stock exchange for purposes of trading in shares.
# These type of companies are supposed to submit annual returns and any other statutory filable documents to the Registrar (e.g. Changes of particulars of directors, change of company names etc). Filing fees are also payable and penalty for late filing is also levied.
(b) Non-private companies (Public)
# Public companies are open ended, and there is no restriction on the maximum number of members, while the minimum number is seven.
# Any person may subscribe and buy shares in the company, which may be listed in the stock market and traded in shares.
# One condition for incorporating these type of companies is the issuance of a prospectus in which the objectives, the proposed share capital, source of finances and general prospects of the company are stated. The Prospectus is in essence an invitation to the general public to subscribe for shares.
# A private company may be converted to a public one by merely amending its Articles of Association, increasing the minimum number to seven and issuing a prospectus.
# These type of companies need to have very effective articles of association to regulate their relationships between the members themselves, between members and directors, between dealers and stock brokers (in cases of listed companies) and the stock exchange.
© Foreign companies (companies incorporated out of Tanzania)
# These are companies incorporated outside Tanzania. Their offices in Tanzania are treated as branches of foreign company. Even if all subscriber and or shareholders are nationals of the United Republic of Tanzania, the companies are regarded as foreign. They are registered under part XII of Cap.212.
# The Registration procedure of this type of companies include the submission of :-
1. Certified copies of Memorandum and Articles of Association.
2. Notice of the location of the registered office in the country of domicile.
3. List of Directors of the company.
4. Persons resident in the country who are the representatives of the company.
Companies Act, 2002
There are four main types of companies as follows: -
* Private companies.
* Non-private companies (Public).
* Foreign companies (companies incorporated out of Tanzania).
* Parastatal or state owned companies.
(a) Private companies
# Private companies are normally formed by persons with prior relationships other than only business relationship e.g. Father and son's and or daughters, friends etc.
# Minimum number of membership for a private company is two and maximum is fifty excluding persons who become member by virtue of being employees of the company.
# The shares of these companies are not freely transmissible. The transferability is subject to strict control and regulations, as such, these type of companies may not list in the stock exchange for purposes of trading in shares.
# These type of companies are supposed to submit annual returns and any other statutory filable documents to the Registrar (e.g. Changes of particulars of directors, change of company names etc). Filing fees are also payable and penalty for late filing is also levied.
(b) Non-private companies (Public)
# Public companies are open ended, and there is no restriction on the maximum number of members, while the minimum number is seven.
# Any person may subscribe and buy shares in the company, which may be listed in the stock market and traded in shares.
# One condition for incorporating these type of companies is the issuance of a prospectus in which the objectives, the proposed share capital, source of finances and general prospects of the company are stated. The Prospectus is in essence an invitation to the general public to subscribe for shares.
# A private company may be converted to a public one by merely amending its Articles of Association, increasing the minimum number to seven and issuing a prospectus.
# These type of companies need to have very effective articles of association to regulate their relationships between the members themselves, between members and directors, between dealers and stock brokers (in cases of listed companies) and the stock exchange.
© Foreign companies (companies incorporated out of Tanzania)
# These are companies incorporated outside Tanzania. Their offices in Tanzania are treated as branches of foreign company. Even if all subscriber and or shareholders are nationals of the United Republic of Tanzania, the companies are regarded as foreign. They are registered under part XII of Cap.212.
# The Registration procedure of this type of companies include the submission of :-
1. Certified copies of Memorandum and Articles of Association.
2. Notice of the location of the registered office in the country of domicile.
3. List of Directors of the company.
4. Persons resident in the country who are the representatives of the company.
