KENYA – Private limited Liability Company (LLC)

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KENYA – Private limited Liability Company (LLC)

Brief Overview:

The LLC also locally known as private limited company is the most common form of corporate structure. Foreign companies can also register a branch in Kenya. However, local regulations do not provide for the registration of a representative office.

Main features of LLC

  • Minimum of 2 shareholders, 1 must be Kenyan by birth and two directors of any nationality and who can be living outside of Kenya;
  • No minimum share capital requirement when setting up a company in Kenya.
  • Foreigners can relocate to Kenya by obtaining an entrepreneur visa as long as they invest/plan to at least US$100,000 in the company;
  • Register for tax with the Kenya Revenue Authority and
  • Audited financial statements filed annually
  • Registered office in Kenya
  • Access to double taxation treaties
  • Corporate tax 30%

Benefits of LLC

  • No minimum share capital requirement.
  • Suitable for funds and investment (shares can be issued/transferred to investors),
  • Easier to sell the business or pass it on to others as it is a separate entity,
  • As a LLC losses are limited to their share of ownership of the company.