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Start a Construction Company in South Africa

Starting a Construction Company is one of the most exciting ventures you will ever be a part of. Some people have had a dream to start their own Construction Company for quite some time, where others have just recently realized their entrepreneurial desire. Whichever one you are, the process and emotions
will be the same.

Construction Company

To start a Construction Company will demand a lot of planning and preparation. In the same way that you need to draw up plans for a building to build it, you will need to draw up a plan for your company before you can start it. Proper planning will ensure that your construction company is built on a solid foundation and that it is set up for success. We can assist you with a Business Plan.

In order to start a construction company, there are a few compliances that you will need to have in place. Some of these compliances are only for construction companies and not all companies have to comply with them.

The one requirement that is non-negotiable for a Construction Company is that they must be registered with The Companies and Intellectual Property Commission of South Africa (CIPC). No matter what type of company you start, this is one of the things that are standard for all companies. Pty Company Registration is able to assist you with the entire process of registering your company. Feel free to contact one of their consultants and they will get the process of Registering your Construction Company started.

Depending on the size of your Construction Company, you can register with The South African Revenue Service to pay tax. Value Added Tax is only compulsory once your company has an annual income that exceeds one million Rand. Then you must also register for employee’s tax.

Some of the other places that you should register your Construction Company with, is the Department of Labour. This will be of great advantage to your company. You can register for Unemployment Insurance for your employees as well for Occupational Injuries and Diseases. This will result in compensation in the event that one of your employees is harmed while working for you on your site. This is particularly advised for people working in the construction sector. An accident can easily happen on a construction site and this fund will cover for this reality.

You will find multiple associations that are formed within the construction sector. These associations are not compulsory to join, but will be to your company’s benefit if you do. The National Home Builders Registration Council (NHBRC) is one example of these associations. A Construction Companies that is registered with the NHBRC is recognised as reputable by the public sector and financial institutions.

Depending on your target market, you will definitely find is beneficial for your Construction Company if you are registered with the NHBRC. Another association that plays a part in the public sector is the Construction Industry Development Board (CIDB). The CIDB is responsible for the grading of construction companies. They also categorise contractors according to their work and financial capabilities.

The Occupational Health and Safety Act requires that comprehensive Health and Safety Policies are put in place to ensure optimum safety in the workplace. They also require a Safe Work Procedure Manual that is drawn up in accordance with the Occupational Health and Safety Act. All of these regulations are specifically designed to ensure the safety of your employees.

Do not feel overwhelmed by all of this information. It might sound like a lot to process, but like mentioned earlier, Pty Company Registration is standing by to assist you. Never be afraid to follow your dreams. So get out your drawing board and start planning.



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