How To Become An Entrepreneur In Ghana
A few weeks ago, Nana Addo had a rough time explaining to Ghanaians why he made some comments about teachers. He is reported to have said that teachers can’t become millionaire through teaching. He
also advised them to have a side job.
This ‘side job’ is what many may refer to as Entrepreneurship. Now one may wonder how feasible it is for the ordinary citizen to achieve this dream in Ghana.
Honestly, most people believe just creating a business or multiple businesses is Entrepreneurship which is very true though not the whole truth . Entrepreneurship involves not just creating businesses but the ability to manage it well for long term profitable gains.
It is the lack of managerial skills of entrepreneurs that has caused many businesses to collapse. For reasons like unemployment, bad working conditions,
illiteracy among others, many people have set up several businesses throughout the country from Barbering shops, saloons, supermarkets to huge companies like Kessben group of companies and several
One thing that all these people have in common is determination and hope, hope for a better tomorrow. Usually entrepreneurs seek to help the world through their businesses. Before we take look at the processes to go through before one can register a business in Ghana, let’s talk about the areas a potential entrepreneur can look at here in Ghana.
Ghana is a middle income economy whose mixed market and digital economy provides vast diverse opportunities for entrepreneurship opportunities. From vast mineral resources such as hydrocarbons,
industrial materials and plenty mineral resources, combined with few policies barriers to trade, Ghana has the best potential throughout west Africa for a business to flourish.
Its stable political environment is also remarkably enviable. One can choose to start a simple business like waakye selling at a roadside anywhere throughout the country, a mechanic fitting shop, a mobile money vendor shop or delve into larger businesses such as poultry farms, food processing businesses like rice production or cocoa processing.
Those with really big money can also start businesses in real estate, cement production, sugar production, big financial institutions, private universities and even in the railways sector.
The opportunities for entrepreneurship are many in Ghana. So what does it take to be an Entrepreneur in Ghana?
The following steps will guide any potential entrepreneur to set up a business in Ghana. Please note that not all businesses may need all these processes.
Develop a Business Plan from your ideas or goals
Get your Tax Identification Number (TIN).
How to get a TIN Provide a coloured copy of a National ID card i.e (Ghana Card, NHIS, Driver’s license, Voter’s ID) Secure your TIN in a Bank, any Ghana Revenue Authority branch or the Registrar General’s Department. Read full account on How To Get Individual or Organizations TIN Number in Ghana / Taxpayer registration form individual
Register your business at the Registrar General’s Department
The following are required to register your business:
- Name of your company
- The kind of business that you intend to engage in
- The company name, names & addresses of shareholders, their percentage shareholding , respective occupation and any directorships in any other company
The full names of the first directors of your company. A company must have a minimum of 2 directors and at least one director must be a resident in Ghana, must be of sound mind, and of legal age which is not younger than 21. The company secretary and auditors’ full names and addresses. The number of company shares that is to be registered and the stated capital.
Open a Business Bank Account
The following will be required: Company regulations, Certificate of incorporation, Certificate to commence business, Signatures of the authorized company representatives, Reference from Auditors,
Proof of residence of Authorized Signatories, Completed account opening forms, 2 passport-size photographs of Signatories, ID’s and TIN of Directors/ Signatories and finally the Company’s TIN
Apply for Business Operating Permit from the Metropolitan /Municipal / District Assembly
Requirements: Purchase application form from the Cash Offices of the various sub-metros, Complete in full the application form and submit it to the Revenue Mobilization Officer (RMO) at the Assembly’s main office. Must have registered with the Registrar General’s Department and have been issued with Business Registration Certificate.
Registration Certificate from other recognized bodies as may be applicable. Tax clearance Certificate from Internal Revenue Service (IRS). After this, A joint team from Finance Department, Environmental Health Division and City/ District Engineer’s outfit will inspect the premises of the applicant within 5 business days of submission of application.
The inspection team makes appropriate recommendations to the Assembly within 2 business days from the day of their inspection. Upon approval by the Assembly , license is issued to applicant at a prescribed fee.
Register for Social Security
Book an appointment at the nearest SSNIT office. Take the required documents to the nearest office. You must provide the following documents: Certificate to Commence business, Company’s Regulations , Tax Identification Number for the company/ business entities, Profile of Directors or Local Managers, Copies of the Directors’ or Local Manager’s valid ID (e.g. Voter’s ID, passport, driver’s license), Directions to Taxpayer’s Premises using the Ghana Post (GPS) address system.
List of employees with their SSNIT numbers, basic salaries, and contributions. The SSNIT officer will fill a form with the required details and examine the documents. Application will be processed once everything is in order.
After processing, SSNIT will send the following to the company: A confirmation letter with the company’s registration number; and A certificate of membership to signify registration. That’s all you need to register your business in Ghana.
Since 2017, the government of Ghana has launched a programme called the National Entrepreneurship and Innovation Program that seeks to help small businesses and start ups with the funding and training
they need to enlarge their businesses.
Any Ghanaian can apply to this programme and enjoy the immense benefits. You can visit their website and see how they can help you in your business.
Entrepreneurship is simply the most risky and profitable job in this era that’s if you do it right. Many people are venturing into establishing businesses for multiple streams of income aside their mainstream jobs.
Ghana has the potential for propelling entrepreneurial investment and skills. We hope this article has been helpful.Follow us on Whatsapp , Instagram, Twitter , Facebook