FAQ

Business Formalization

Q: What is business registration?
A: Formalization includes registering a business and ensuring it complies with regulations and obligations such as employee welfare, depending on the size and activities of the business.

Q: What are the benefits of formalizing a business?
A: Formalizing a business provides credibility, access to financing, legal protection, and ensures compliance with laws and regulations.

Q: What are the steps involved in formalizing a business?
A: The steps include registering the business with the government, obtaining necessary licenses, setting up legal and financial structures, and filing paperwork.

Q: What documents are required to formalize a business?
A: The required documents include a business plan, articles of incorporation, tax identification number, and any other documents required by the relevant laws.

Q: What are the costs associated with formalizing a business?
A: The costs vary depending on the type of business and jurisdiction but generally include registration fees, licensing fees, and other necessary fees.


Tax Registration

Q: What is tax registration?
A: Tax registration is the process of declaring your business to tax authorities and contributing to local economic development by paying taxes.

Q: What are the main taxes I have to pay as a business owner?
A: Business owners usually pay personal income tax or corporate income tax, depending on the business type.

Q: What are the benefits of complying with tax regulations?
A: Complying with tax regulations allows you to obtain a tax clearance certificate and enables you to apply for public contracts, which can benefit the business financially.

Q: What types of simplified tax regimes may apply to businesses?
A: Simplified tax regimes may include progressive taxation, which classifies businesses based on turnover and determines tax liability as a percentage of sales.


Bookkeeping

Q: Why is bookkeeping important for your business?
A: Bookkeeping helps track income and expenses, provides necessary financial records for tax reporting, and improves access to financial services.

Q: What is bookkeeping?
A: Bookkeeping involves recording the income and expenditure of money within a business and maintaining financial records for reporting purposes.

Q: How does bookkeeping work in The Gambia?
A: Businesses are required to maintain proper records and document annual returns as per the 2012 Income and VAT Act and other relevant legislation.


Registration Procedures

Q: What are the steps for registering a business in The Gambia?
A: In The Gambia, business registration involves applying for a name reservation, filling out forms, submitting identification documents, and paying the required fees.

Q: What does registering a sole proprietorship entail?
A: Registering a sole proprietorship includes single ownership, no sharing of profits, unlimited liability, and fewer legal formalities.

Q: What are the constraints of a partnership business?
A: Constraints include unlimited liability for general partnerships, the risk of dissolution, and no transfer of shares.

Q: What are the benefits of registering a company?
A: Benefits include larger financial resources, expansion potential, diffusion of risks, and limited liability for shareholders