Register your business in Zimbabwe as a PBC (Private Business Corporation) or PLC (Private Limited Company). We have assisted thousands of local and foreign investors to register companies in Zimbabwe.
When registering a business in Zimbabwe the first step is to figure out the type of company that is suitable for your line of trading. You have to decide between a Private Limited Company (Pvt Ltd) or a Private Business Corporation. It is important to understand the differences between a PBC (Private Business Corporation) and a Private Limited Company (Pvt Ltd) and the table below provides some information in this regard.
Please note: We strongly advice you to seek professional assistance before making your decision. Our business consultants look forward to assisting you.
Table with differences
|Private Business Corporation||Private Limited Company|
|Mainly meant for small to medium businesses||Mainly meant for medium to large businesses|
|Can accommodate sole traders||Only accommodates 2 or more people|
|Has a legal persona of its own apart from its owners||Has a legal persona of its own apart from its owners|
|Has perpetual succession||Has perpetual succession|
|Can have a maximum of 20 directors||Can have a maximum of 50 directors|
|Members are the same as shareholders or owners||Shareholders are owners and can be different from the directors|
|Companies cannot be shareholders or hold a member’s interest in a PBC, only individuals can be members||Both companies and individuals can be shareholders in a PLC|
|Comprised of members||Comprised of directors and shareholders|
|After official registration it acquires a Certificate of Incorporation and a CR28||After official registration it acquires a Certificate of Incorporation, Articles of Association, Memorandum of Association, CR6 (Previously known as a CR14) , CR5 (Previously known as a CR6)|
|Articles of association are not required||Registered Articles of association|
|Annual Returns are compulsory||Annual returns are compulsory|
|Has member’s contributions||Has share capital|
|Has an accounting officer||Has an auditor|
|Annual general meeting not required||Annual general meeting is required|
|Members hold member’s interest||Shareholders hold shares|
|Can purchase a member’s interest||Can acquire its own shares under certain circumstances|
|Members are responsible for the day to day management of the PBC||Directors are responsible for the day to day management of the company|
|No register of members is required||Register of members is required|
|Offers limited liability to its owners||Offers limited liability to its owners|
|No financial statements needed||Audited financial statements|
|No prohibition on a PBC to provide financial assistance for the acquisition of a member’s interest||Prohibition on a company to provide financial assistance for the acquisition of its own shares|
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