There are two types of Companies that can be registered in South Africa:

1. Profit Company Registration

Definition: A profit Company is operated for the purpose of financial growth for the shareholders. Profit Companies are formed by one or more incorporators, also known as promoters. There are four different types of Profit Companies which may have any number of shareholders.

Profit Companies are divided into four types:

1.1 Pty Company (A Private Company)
1.2 Public Company
1.3 Sole Proprietor
1.4 Partnership

Characteristics and Definitions of Profit Companies in South Africa

1.1) Pty Company (A Private Company)

Definition: A Pty is a privately owned company, which replaced the Close Corporation (CC) format in 2010. The securities of a Pty Company are not available to the public and transfer of the securities are prohibited in the Memorandum of Incorporation.

Characteristics:

This is the Company Format most businesses in South Africa use. To apply for a PTY, please go to our Company Registration Application Form.

1.2) A Public Company

Definition: A Public Company does not have certain privacy restrictions like a Pty Company. For example, the securities of a Public Company may be propagated to the general public.

Characteristics:

1.3) A Sole Proprietor

Definition: A business entity that is run by a single owner and where there is no distinction between the two.

Characteristics:

1.4) A Partnership

Definition: A business owned by two or more individuals who share management and profit.

Characteristics:

2. Non-Profit Company

Definition: A Non-Profit company registration is advantageous to the public. It often relates to cultural or social activities. It uses its profit to further its goals, instead of giving it to incorporators, members or directors except if it is permitted by the Act.

Characteristics:

Register your new company in South Africa here