Starting a Business in Cape Verde

This table summarizes the procedures and costs associated with setting up a business in Cape Verde.

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Legal Form: Sociedade por Quotas de Responsabilidade Limitada (LDA)
City: Praia

	Procedure	Time to complete:	Cost to complete:
1	Search for company name and reserve the proposed name	1 day	CVE 600
2	Deposit the legally required initial capital in a bank and obtain deposit evidence	1 day	no charge
3	Registration with the commercial registry	1 day	CVE 10,000 (registration fee) + CVE 1,000 (chamber of commerce fee)
4	Obtain municipal license	21 days	CVE 30000
*5	Receive license inspection from municipality	1 day, included in previous procedure	no charge
*6	Register workers with the Social Security Office	1 day, simultaneous with previous procedure	no charge
*7	Register workers with accident insurance at insurance company	1 day, simultaneous with previous procedure	no charge
*8	Register workers with labor inspectorate	1 day, simultaneous with previous procedure	no charge
*9	Obtain and legalize the special company books	3 days, simultaneous with previous procedure	CVE 2000

* Takes place simultaneously with another procedure.

Procedure 1.: Search for company name and reserve the proposed name
Time to complete:: 1 day
Cost to complete:: CVE 600
Name of Agency:
Comment:: The investors must provide the proposed company name and purpose. The firm registry is computerized, therefore the process is fast.

Procedure 2.: Deposit the legally required initial capital in a bank and obtain deposit evidence
Time to complete:: 1 day
Cost to complete:: no charge
Name of Agency:
Comment:: To open a bank account in the company’s name, the investor must present the company’s reserved name, tax number, and statutes. Although no longer required in practice, the requirement still exists in the law.

Procedure 3.: Registration with the commercial registry
Time to complete:: 1 day
Cost to complete:: CVE 10,000 (registration fee) + CVE 1,000 (chamber of commerce fee)
Name of Agency:
Comment:: Company registration is now completed through online registration and is completed within a few hours. The incorporation notice is automatically published online. The Tax Identification number is also obtained automatically.

Procedure 4.: Obtain municipal license
Time to complete:: 21 days
Cost to complete:: CVE 30000
Name of Agency:
Comment:: There are two types of licenses: the municipal license and the license by activity. The municipal license is mandatory for all businesses operating in Praia. The license by activity depends on the activity. Not all businesses require this type of license. For instance, a commercial company that does not import or export does not need the license by activity. An inspection is performed prior to granting the municipal license. If the company needs the two licenses, the inspection is done jointly by both agencies. For commercial licenses, the municipality and the chamber of commerce coordinate to avoid duplication of licenses.

Procedure 5.: Receive license inspection from municipality
Time to complete:: 1 day, included in previous procedure
Cost to complete:: no charge
Name of Agency:
Comment:: If the company sells products to people, the Health Department will also participate in this inspection.

Procedure 8.: Register workers with labor inspectorate
Time to complete:: 1 day, simultaneous with previous procedure
Cost to complete:: no charge
Name of Agency:
Comment:: This procedure is mandatory if the company hires workers under a term contract.

Procedure 9.: Obtain and legalize the special company books
Time to complete:: 3 days, simultaneous with previous procedure
Cost to complete:: CVE 2000
Name of Agency:
Comment:: These books can be purchased at the “Imprensa Nacional” National Print for 2,000 CVE each. All pages have to be signed by the entrepreneur.