Business Name Registration in Kenya

What a business name is

A business name registers the name under which an individual or a partnership trades. It is governed by the Registration of Business Names Act (Cap 499) and administered by the Registrar of Business Names at the Business Registration Service. Registration records who is behind the trading name; it does not create a company.

The distinction matters. A business name is not a separate legal person, so the proprietor owns the assets, keeps the profits and bears the liabilities directly. If the business owes money, the proprietor owes it personally. That simplicity is the attraction for freelancers, consultants and small traders — and the risk for anyone whose venture is likely to take on debt or investment.

Business name or company?

The choice between a business name and a limited company is the first decision, and it turns on liability, cost and how you plan to grow. A business name is cheaper and faster; a company gives limited liability and is what banks, landlords and larger counterparties usually expect. Our guide to company registration in Kenya sets out the full range of structures, and our cost guide compares the fees.

How to register a business name

Registration is completed online through the eCitizen platform under the Business Registration Service. The steps are straightforward.

1. Create or log in to an eCitizen account using your national ID, or your passport if you are a foreign national.
2. Propose the business name. Submit your preferred names; a name that is identical or too similar to an existing registration, or that uses restricted words, is rejected.
3. Complete the statement of particulars. This records the business name, the nature of the business, the principal place of business, the date of commencement, and the full name, identity number and address of every proprietor or partner.
4. Pay the KES 950 fee through the platform by M-Pesa, card or bank transfer.
5. Receive the certificate of registration, usually within a working day. It confirms the registered business name and its number.

What you need

Have the following ready before you start:

• The proposed business name (and an alternative or two).
• A short description of the nature of the business.
• The physical and postal address of the principal place of business.
• For each proprietor or partner: full name, national ID or passport, KRA PIN, postal address and passport photograph.
• The intended date of commencement.

For how these requirements compare with those for a company, see our company registration requirements and documents checklist.

After registration

Registering the name is the start of trading lawfully, not the end. In practice a new business should also:

• Obtain a KRA PIN and register for the taxes that apply to it, including turnover tax or VAT where the thresholds are met.
• Obtain the county single business permit for the premises it operates from, plus any sector licence its activity requires.
• Register with the Social Health Insurance Fund (SHIF) and the National Social Security Fund (NSSF) once it takes on employees.

Converting to a company

Many businesses outgrow a business name. When limited liability, outside investment or a more formal structure becomes important, the trading business can be moved into a newly incorporated company. This is a fresh incorporation rather than an automatic conversion, and the assets, contracts and staff are transferred across, so it is worth planning. Our guide to converting and re-registering explains the options.

Frequently asked questions

How much does it cost to register a business name in Kenya?

The official BRS fee is KES 950. Legal or agency fees, if you use them, are separate.

How long does it take?

Usually one working day from a complete application on eCitizen.

Is a business name a separate legal entity?

No. It is a registered trading name, and the proprietor remains personally liable. A limited company, by contrast, is a separate legal person.

Can a foreigner register a business name in Kenya?

A foreign national can register, but a sole proprietorship carries unlimited personal liability and does not by itself confer any right to live or work in Kenya. Most foreign investors incorporate a company instead — see registering a company as a foreigner.

Do I need a lawyer to register a business name?

The filing itself is simple. Advice is most useful in deciding whether a business name or a company is the right vehicle, and in setting up a partnership properly where there is more than one owner.