Two of the most important decisions to make before registering a company is choosing a relevant name and deciding what kind of company you would like to register. Choosing the right name for your company is essential as this will be the first thing that attracts the attention of potential customers. It is advisable to do a quick search to see if your chosen company name already exists. Additionally, you will be able to submit four options of possible names to the registrar to ensure that you are registered under a name of your liking.
The second important decision to make, is deciding on the type of company you would like to register. The new Companies Act of 2011 provides for two categories of companies:
Non-Profit companies: These companies are incorporated for public benefit and do not distribute income or property to its incorporators, members or directors. Many people commonly associate NPO’s with charitable organisations but this form of company can also be used for trade unions, industry associations, sports clubs etc. Essentially a NPO is the ideal company form for community-serving organisations.
Profit companies: These companies have the primary goal of making money/profit. Types of companies that fall within this company type are typically retail stores, restaurants, insurance companies etc. Profit companies can further be divided into one of the following four categories; Personal liability companies, Private companies, Public companies and State-owned companies, each with its own restrictions and specifications.
Once you have decided on your company name and what type of company will suit your needs best, you are well on your way towards making your entrepreneurial dream become a reality.
For more info on your ideal company type or if you are interested in registering a new company, contact PTYshop today.