Register your company and open a bank account in Tanzania fast. Zatra Consultants handles formation, licensing, tax, and compliance — all within 7 days.
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How to Register a Company and Set Up a Complete Business in Tanzania (2025 Guide) — Fees, Required Attachments, Minimum Capital, Licenses, Tax, Bank Account, Work Permits, and Investor Incentives

  • Writer: Joseph Magweiga Marwa
    Joseph Magweiga Marwa
  • Aug 28, 2024
  • 9 min read

Updated: Oct 19

Whether you are an entrepreneur, investor, or multinational company, this detailed guide by Zatra Consultants walks you through the entire company formation process, business setup, work permits, tax optimization, and post-registration compliance.


Tanzania has emerged as one of the most promising investment hubs in East Africa due to its:

  • Strategic location (gateway to 6 landlocked countries),

  • Investor-friendly policies via TISEZA

  • Abundant natural resources,

  • Political and economic stability.

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1. Business Setup in Tanzania: Your First Step to Enter the Market


Benefits of Starting a Business in Tanzania:

  • 100% foreign ownership allowed

  • Easy repatriation of profits

  • Competitive labor and operational costs

  • Free zones with zero corporate tax and customs duty (for EPZ/SEZ investors)


Company Formation Duration:

  • 3–5 working days (if all documents are prepared)

  • Up to 14 days for complex cases


2. Choosing the Right Business Structure in Tanzania


Types of Company Registration in Tanzania

Depending on your nationality, business scope, and operational structure, the following types are available:

  • Local Company – 100% Tanzanian ownership or Majority shares owned by Tanzanian (51% and above)

  • Foreign-Owned Company – 100% foreign ownership, registered as a subsidiary or a new entity

  • Joint Venture – Partnership between local and foreign investors

  • Branch Registration – For companies already incorporated abroad, establishing a presence in Tanzania

  • Representative Office – For non-commercial activities such as research and liaison work


🇹🇿 Local Company (Limited Liability Company - LLC)

  • Most popular among foreign investors

  • Shareholder liability limited to capital contribution


🌍 Foreign Branch or Subsidiary

  • Register a Certificate of Compliance

  • Must appoint a local representative

Eligibility: Any person aged 21–70 can register a company under the Companies Act, Cap. 212.

  1. 🧭 Step-by-Step Company Registration in Tanzania (2025)


Setting up a company in Tanzania involves a mix of legal, tax, and compliance procedures coordinated between BRELA, TRA, local authorities, and other government bodies. Below is a full professional outline of the process — from name reservation to operational readiness.


Step 1: Consult a Business Advisory Expert

Before you begin the registration process, it’s crucial to consult with a qualified business advisory firm.Zatra Consultants assists investors and entrepreneurs to:

  • Understand the legal structure that best suits your business (LLC, branch, subsidiary, NGO, or partnership).

  • Navigate local laws and sector regulations.

  • Minimize delays through professional document preparation and online submissions.

  • Handle nominee shareholder or director appointments where confidentiality or residency compliance is required.


Step 2: Reserve a Company Name (BRELA ORS Portal)

  • Visit the BRELA Online Registration System (ORS) and apply for name reservation.

  • Choose a unique and compliant name not similar to any registered entity.

  • Fee: Approx. TZS 50,000.

  • Duration: Usually within 24 to 48 hours.


Step 3: Prepare the Memorandum and Articles of Association (MEMARTS)

  • These constitutional documents define your company objectives, share structure, and governance framework.

  • Must clearly list:

    • Company name and registered office.

    • Business objectives (main and ancillary).

    • Number and classes of shares.

    • Shareholding ratios and responsibilities of directors.

  • Zatra Consultants prepares MEMARTS and Form 14b, ensuring full legal compliance and proper notarization.


Step 4: Appoint Directors and Shareholders

  • Minimum: 2 Directors and 2 Shareholders (foreign or local).

  • Provide:

    • Copy of National ID / Passport

    • TIN numbers for each

    • Residential and contact address

  • Zatra can facilitate nominee directors/shareholders through legal agreements if privacy or compliance requires it.


Step 5: Obtain TIN Numbers (TRA)

  • Directors and company must each obtain a TIN from the Tanzania Revenue Authority (TRA).

  • Required documents:

    • Copy of IDs/passports

    • Lease agreement or proof of address

    • Passport-size photos

  • Cost: Free


Step 6: Secure Business Office and Registered Address

  • Every Tanzanian company must have a physical office address — virtual offices are not accepted for initial registration.

  • Zatra provides verified office address services for compliance purposes and correspondence with TRA, BRELA, and municipal authorities.

  • This address will appear on your Certificate of Incorporation and MEMARTS.


Step 7: Determine and Inject Required Share Capital

  • The minimum capital depends on the business sector:

    • General trading: no minimum.

    • Foreign investor company: USD 500,000 under TIC route.

    • Microfinance: Minimum TZS 20 million.

    • Banking, insurance, telecom, or manufacturing may require higher thresholds.

  • Zatra assists with capital declaration, source-of-funds documentation, and non-criminality declarations if required by authorities.


Step 8: File Company Registration via BRELA ORS

  • Submit the following online via the BRELA portal:

    • Name reservation certificate

    • MEMARTS

    • Form 14a & 14b

    • Directors’ and shareholders’ IDs

    • Payment receipt of government fees (~TZS 412,000–562,000 for locals or USD 1,190 for foreign companies)

  • Once approved, you’ll receive:

    • Certificate of Incorporation


Step 9: Apply for TIN Certificate (Company Level)

  • After BRELA registration, apply for Company TIN using the Certificate of Incorporation.

  • The process includes inspection and verification of your office.

  • TRA then issues an official Company TIN Certificate.


Step 10: Obtain Business License

  • Apply for a Business License from the Municipal Council or Ministry of Industry & Trade (MITI) depending on the business type.

  • Documents required:

    • Certificate of Incorporation

    • TIN certificate

    • Office lease agreement

    • Municipal clearance

  • Fee: USD 50–500 annually depending on class of business.


Step 11: Open a Corporate Bank Account

  • Open a corporate account at CRDB, NMB, BOA, or any preferred Tanzanian bank.

  • Required documents:

    • Certificate of Incorporation

    • MEMARTS

    • Company Extract

    • Board Resolution to open the account

    • Director IDs and TINs

  • Zatra assists in preparing the Board Resolution and bank introduction letter for seamless processing.


Step 12: Register with Social Security and Workplace Bodies

  • Register with:

    • NSSF (National Social Security Fund)

    • WCF (Workers’ Compensation Fund)

  • These are mandatory once you begin hiring employees.


Step 13: VAT Registration (if applicable)

  • Required if annual turnover exceeds TZS 200 million or if you provide professional services.

  • TRA issues a VAT Certificate after physical inspection.


Step 14: Prepare Nominee, Shareholder, or Management Agreements

  • Where foreign ownership or confidentiality is involved, Zatra prepares:

    • Nominee Shareholder Agreement

    • Nominee Director Agreement

    • Power of Attorney (POA)

    • Beneficial Ownership Declaration (BRELA Form BOF1)

  • These ensure proper control and compliance with Anti-Money Laundering (AML) regulations.


Local Company Cost Breakdown:

Share Capital Range

Government Fee (TZS)

Up to TZS 1M

95,000

TZS 1M – 5M

175,000

TZS 5M – 20M

260,000

TZS 20M – 50M

290,000

Above TZS 50M

440,000

  • Filing Fee: ~TZS 66,000

  • Stamp Duty: ~TZS 6,200


Foreign Branch/Subsidiary Fees (USD):

Item

Cost (USD)

Registration Fee

750

Filing Fee (2 docs)

440

Total

1,190

Government Costs Summary (Indicative)

  • Local or Foreign Company Registration: USD 10-250

  • 100% Foreign Owned Company or Branch Registration: USD 1,190

  • Business License: From USD 80–2,500+ (depending on sector)

  • Stamp Duty on Lease Agreement: 1% of annual rent

  • Withholding Tax on Rentals: 10% of rent charges


Note: Fees are exclusive of professional services, document preparation, filings, and follow-ups. Professional service fees are charged separately based on actual rates.


4. Documents Required for Registration


For Local Companies:

  • Reserved company name approval

  • Memorandum & Articles of Association

  • Shareholder & director details

  • TIN certificates

  • Physical and postal address

  • Form 14b (Compliance declaration)

  • Integrity Pledge


For Foreign Companies:

  • Certificate of Incorporation (certified & translated)

  • Board resolution

  • Appointed Tanzanian representative

  • Statement of charges

  • Financial statements

  • Form 434 + Integrity Pledge


Registration Procedures Summary

The general steps include:

  1. Name Search & Reservation (via BRELA online system)

  2. Preparation of Incorporation Documents

    • Memorandum & Articles of Association

    • Company Form 14b (or Form 212 for foreign branches)

  3. Filing for Company Incorporation (BRELA)

  4. Taxpayer Identification Number (TIN) Registration

  5. Tax Estimates Filing & Stamp Duty

  6. Business License Application (Sector-specific if required)

  7. NSSF & WCF Registration (if hiring employees)

  8. Additional Licenses or Permits (based on sector)


5. Work and Residence Permits in Tanzania (2025 Fees)


💼 Residence Permit Class A – Investors

Category

Fee (USD)

A1: Mining, Energy, etc.

3,000

A2: Large-scale business

3,000

A4: SMEs & Farming

1,000

A5: Diaspora Investors

1,000

🧑‍💼 Work Permit Fees

Class

Category

Fee (USD)

Validity

A

Investor/Self-employed

1,000

Lifetime business

B

Professional employees

500–1,000

5 years

D

NGO/Charity workers

500

5 years

Zatra Consultants facilitates fast-track processing for all permits, ensuring documentation is complete and approved on time.


6. Post-Registration & Compliance

Taxation:

  • Corporate Income Tax: 30% after expenses

  • VAT: 18% (mandatory if turnover > TZS 200M)

  • Withholding Tax: 10% on rent/services

  • Skills Development Levy (SDL): 4% of gross pay


Annual Returns:

  • BRELA filing within 28 days of AGM

  • TRA filing before June 30 each year


Statutory Registrations:

Body

Requirement

Contribution

NSSF

Employee registration

10% monthly

WCF

Compensation coverage

0.6% monthly

TASIWU

Industry-specific compliance

Sector-based

7. Investor Incentives in Tanzania

🎯 Register with TIC to Access:

  • Strategic land allocation

  • 100% repatriation of profits

  • Duty & VAT exemptions for capital goods

  • Work & residence permit facilitation

  • Dispute resolution support

  • Access to Bilateral Investment Treaties (BITs)


🏗️ Register with Tanzania Investment and Special Economic Zones Authority (TISEZA)


Benefits:


8.Minimum Required Capital


Capital Requirements Under BRELA (Standard Registration)


Under the Companies Act, 2002, administered by BRELA, there is no fixed minimum share capital required to incorporate a private limited company in Tanzania. You may register a company with any reasonable amount of authorized and issued share capital depending on the intended scale of operations.


However, in practice, most small and medium enterprises (SMEs) choose between TZS 1 million and TZS 10 million as their starting capital to reflect credibility during licensing and banking procedures.

Entity Type

Statutory Minimum Capital

Practical / Recommended Capital

Notes

Private Limited Company (LLC)

None

TZS 1 – 10 million

Flexible — depends on business scope

Public Limited Company

None (by law)

TZS 20 million +

Must meet disclosure & audit obligations

Foreign Company / Branch

None

Proof of capitalization by parent company

May need parent’s financials or bank reference

Sole Proprietorship / Partnership

None

TZS 1 – 5 million

For Tanzanian citizens only

Microfinance Company

Minimum TZS 20 million

Required by Bank of Tanzania under Microfinance Act 2018

Mandatory capitalization

Note:

  • BRELA focuses on legal incorporation, not investment qualification.

  • The declared share capital becomes your company’s legal base for ownership allocation and annual-return filings.


When to Register Through TISEZA

If you wish to enjoy tax incentives, customs exemptions, and priority investor services, you must register your project through TISEZA, which governs the former TIC and EPZA frameworks.TISEZA applies minimum investment thresholds that determine eligibility for incentive certification.

Investor Category

Minimum Investment Threshold (USD)

Purpose / Benefit

Local Investor

50,000 USD (minimum)

Eligible for TISEZA Certificate of Incentives

Foreign Investor

500,000 USD (minimum)

Eligible for TISEZA Certificate of Incentives

Strategic Investment (Large-Scale Projects)**

20 million USD (local) / 50 million USD (foreign)

Special incentives under Investment & SEZ Bill 2024

These thresholds are only required for investors seeking TISEZA registration or fiscal incentives.Companies registering solely through BRELA without incentive applications are not bound by these figures.

Sector-Specific Considerations (2025)

While BRELA imposes no capital floor, sector regulators often define minimum financial capacities to ensure business viability.

Sector

Capital Requirement Source

Typical Range / Reference

Microfinance & Financial Services

Bank of Tanzania

≥ TZS 20 million (Tier 2 & 3 institutions)

Banking

Bank of Tanzania

≥ TZS 15 billion (commercial banks)

Mining & Mineral Trading

Mining Commission

Project-based; often USD 100 000 + for dealer licences

Real Estate & Construction

MIT / TBA

No fixed minimum; depends on project valuation

Manufacturing / Industrial

TISEZA / EPZA

USD 100 000 (local) / USD 500 000 (foreign) for incentive status

Agriculture & Agro-processing

MAFC / TISEZA

USD 50 000 + (for incentive qualification)

Tourism & Hospitality

TTB / MIT

USD 50 000 + for mid-scale operations

Education & Training

NACTE / MOE

TZS 50 – 200 million depending on level of institution

Choosing the Right Path

  • If you are launching a small or medium enterprise, BRELA registration alone is sufficient.

  • If you are planning a large-scale, export-oriented, or manufacturing project, register under TISEZA to access incentives.

  • If you are entering a regulated sector, check the sector-specific regulator for mandatory capitalization.


Why Proper Capital Structuring Matters

A well-declared share capital:

  • Enhances banking credibility and loan eligibility.

  • Simplifies foreign-exchange compliance with the Bank of Tanzania.

  • Strengthens your company’s investment profile when applying for permits or incentives.

  • Reflects professionalism and operational seriousness during tenders or partnerships.


8. Most Searched Services Offered at Zatra Consultants

Service Name

Pain Point Solved

Company Registration (Local/Foreign)

Long processing delays, legal complexity

Tax & VAT Setup + Optimization

Poor compliance, heavy penalties

Investment License via TIC or EPZA

Confusing procedures, missed incentives

Work & Residence Permit Facilitation

Delays, rejections, and documentation errors

Sector Licensing (Mining, Finance, etc.)

Regulatory bottlenecks, lack of awareness

Business Planning & Financial Modeling

Lack of investor-ready proposals

Trademark & IP Registration

Brand theft, unprotected IP

Compliance & Auditing Support

Penalties due to poor record-keeping and returns

Banking & Forex Account Setup

Difficult onboarding and foreign exchange compliance

9. Ongoing Compliance Checklist (Annually)

✅ Annual returns to BRELA

✅ Annual tax returns to TRA

✅ NSSF & WCF contributions

✅ Business license renewal

✅ Permit renewals for foreign staff

✅ Financial statement auditing

✅ Record AGM minutes and resolutions


10. Why Choose Zatra Consultants?

🧠 Local Expertise with Global Standards

🔍 Fast & Transparent Service

💼 Customized Business Setup Packages

📊 Investor-Ready Business Plans & Proposals

🔐 Full Confidentiality and Compliance


Contact Us — Start Your Investment Journey in Tanzania Today


Partner with Zatra Consultants — your trusted gateway for doing business in Tanzania.

Address: Sinza A, Sam Nujoma Road,

Mwenge Tower, Opposite Mlimani City,

Dar Es Salaam, Tanzania.

📱 WhatsApp: +255 747 912 965

📞 Phone: +255 747 912 965

🌐 Website: www.zatra.co


Ready to get started? Book a free consultation now and unlock the full potential of investing in Tanzania with Zatra Consultants by your side.


 
 
 
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