Starting Company

Who is a beneficial owner?

A beneficial owner is always the living, breathing human being who ultimately profits from the company‚Äôs activities, or controls the company’s activities. It is never a company, other legal entity, or a nominee/proxy. The Companies Act No 10 of 2017 as read together with the Companies (Amendment) Act No 12 of 2020 defines a Beneficial …

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Are there any other regulations issued by the Minister relating to Beneficial Ownership?

The Minister may, by statutory instrument, make additional obligations and procedures for the determination of beneficial ownership and timely access to beneficial ownership information by the public as per requirement Section 375. The Minister may make rules on beneficial ownership, beneficial owners, and the identification, verification, and disclosure of beneficial ownership as per requirement Section …

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Why was the concept of Beneficial Ownership introduced in the Companies Act?

To encourage and increase transparency (the ownership and control structure) of legal persons and arrangements through disclosure of who ultimately owns, controls, exercises substantial interest in, or receives substantial economic benefit from a corporate. Further, the concept of Beneficial Ownership is aimed at curbing the use of corporate bodies for money laundering, bribery and corruption, …

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Who is an Insolvency Practitioner?

An Insolvency Practitioner is a person who is qualified to be appointed as a Receiver, Receiver Manager or judgment receiver, a liquidator or business rescue administrator. The Registrar will determine whether a person qualifies to be accredited as an Insolvency Practitioner or not in accordance with section 9, 30, 141, and 142 of the Corporate …

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What is the procedure for amalgamation of companies? Talk to me about amalgamation

An Application for registration of amalgamation (Companies Form 37) is filed to the Registrar under section 289 of the Companies Act No. 10 of 2017. Two or more companies may amalgamate and continue as one of the companies in the amalgamation or as an entity incorporated under the Act. A record of merged or amalgamated …

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What is a Local Company?

A company is a voluntary business association of two or more persons formed for the purpose of making a profit. A company must be incorporated for a lawful purpose. By law, a company is a legal entity that is separate from its members (owners). It continues to exist even after the demise or changes of …

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