Businesses have taken a new form in Kenya. Are you asking how much does it cost to register an online business? Well, you are in the right place.
We’ll give you insights on what to do to that idea to transform it into money. Besides we all need to make an earning.
Starting a business has become easy. Businesses have become flexible in that one also doesn’t need a physical location.
The cost of registration also has been secure and flexible. One also needs no visiting of offices to get the licenses.
Do online businesses need to be registered?
Yes, every business ought to be registered. It is through registration that the business gets recognized by authorities.
Before beginning operations, one ought to register their business. A registered business also is open to opportunities.
Doesn’t matter if all operations are online you need to register. Besides, this creates credibility which is good for all businesses.
Licenses for online businesses
There are three legal recognized entities:
- Sole proprietorship- this business has one owner who conducts all activities like tax filling, profits and loss analysis, and many others.
- Partnership- it involves two or more parties who invest in one business and get dividends as per shares owned.
- Limited liability company (LLC)- this type of business incorporates both sole proprietorship and partnership. However, the owners are not reliable for the business debts or liabilities.
Of course, there are other business forms like:
- Limited Liability Partnership
Each entity has different charges. It has become easy to know how much does it cost to register an online business.
Why register an online business?
Registering a business is important because:
- It adds identity and credibility which is essential for all businesses.
- Attracts business opportunities like fundings.
- It separates a company’s financial entity from personal assets.
- It protects the owner from personal liability.
How do you register an online business?
After one has chosen the entity it is easy to start the process of registration. Well, here is how to register:
1. Have a business name
A good name should be short, easy, and well-descriptive. It should attract not scare people or make them brainstorm.
2. Find funds
This is the driving power for your business. It will help you pay for assets and many business-related resources.
One can outsource funds from investors, banks, friends, or even family.
3. Have a plan
This is the stepping structure to run the business. As Benjamin Franklin once said, “If you fail to plan, you are planning to fail!”
A plan is an essential part of the business. The plan should involve many aspects like:
- Financial budget
- Market competition
- The business needs
4. Register the business
This is easy these days. Besides, it doesn’t involve visiting the offices but it an easy online process. One just needs a name and a good internet connection.
Here is the process:
- Login in to your Ecitizen account, if you don’t have one just follow the simple steps.
- Proceed to the Business Registration Service button and request service.
- Choose your business type. Enter your name and brief description this prompts one to pay a fee of Kshs. 150 for the search.
- Once the results are available one can proceed to the next steps.
How much does it cost to register an online business
It is a flexible process. One needs no visiting to different offices responsible for businesses. As per sole proprietorship will cost just Kshs. 1,000. One also needs to register for tax filling.
The partnership is expensive:
- Limited Liability Partnership Kshs. 25,000
- Private Limited Company Kshs. 10,650
As for a limited company it is:
- Public Limited Company Kshs. 10,650
- Unlimited Companies Kshs. 20,050
Now we have answered how much does it cost to register an online business. Well, any business requires an online presence.
Well established online presence ensures the business is able to reach many clients. It is easy to establish an online presence;
One needs a website and blog, domain, and hosting plans. A website helps you as the business owner post information and trends of the business.
OLITT is the best site builder. It is an easy drag and drop website creator that means that creating your site is fast and easy.
At Truehost one gets all the services of domains, hosting, and many others. Besides Truehost has many different packages.
One doesn’t need to worry about pricing. There are affordable plans that everyone can use to manage as per monthly or yearly plans.
Transform that idea into a source of income. Make sure to conduct thorough research before starting the online business.
Also don’t miss on important aspects of the businesses like planning. Registration makes the business recognizable.