Registration Process - SOLE TRADER

One of the most interesting experiences for me thus far, was the process involved in registering my business. It was indeed a learning experience, from waiting under a tent for Companies Registry to open, to visiting the that same office no less than four times, to running down to BIR trying to locate the Stamp Duty section - you truly see what a bureaucratic nation were are.

Now registering your own business can seem daunting but once you have the time to spare, it can be done at minimal cost to you (instead of the exorbitant fees that lawyer charge). Now you may ask yourself what is the purpose of registering your business and may be reluctant to advertise to Inland Revenue that you have a business. However, having your business registered gives you a level of professionalism and sets you apart from those fly-by-night companies. Plus it’s kinda the law

The next few blogs will outline the steps involved in registering your business and includes information on the different types of registration documents as well as the important buildings that you will need to visit.

The first thing you need to decide is what type of company you are going to register –
A Sole Trade
A Partnership
A Limited Liability

This blog will highlight the registration process for a Sole Trade

A Sole Trader is a type of business enterprise which is owned by one person – there is no distinction between the business and its owner.

Now a Sole Trade carries UNLIMITED LIABILITY meaning that the owner of the business is liable for debts incurred by the business (e.g. loans) or any damages incurred by the operations of the business.

Most individuals choose to register their business as a Sole Trader as they want complete control of their business. It is a simple process to register your business as a Sole Trade.

Step 1 – Obtain all forms.
You can visit http://www.legalaffairs.gov.tt/documentcentre/Forms.html#online to download and print the required forms. Remember, all forms are completed in DUPLICATE.
The first form required for Sole Traders is the Registration of the Business Name which is available at the Companies Registry, located in South Quay Port of Spain. (It’s in the building that has a very large coat-of-arms on the front where you go to get your birth certificate).The second form that you require is Application for Registration by an Individual (Form 1) which can be downloaded from the site listed above.

Step 2 – Name Search and Name Reservation
A name search must be done to ensure that there are no other existing businesses that carry your intended name. The Business Name Act doesn’t allow the registration of identical names, so basically you can't register a name that another business is already using. Incidentally, you can also visit http://rgd.legalaffairs.gov.tt/ and search the database to discover whether your business’ name is already in use by another company. Once the name is not in use, you must apply to have the name reserved and it is usually held for a period of three months, during which you must complete the registration process.
Once you have obtained the Registration of the Business Name form from the Companies Registrar, you can fill it out (in DUPLICATE) and have the person at the help desk check your form. You will then be directed to the cashier to pay the $20.00 fee. The cashier will let you know when you can return to collect the document indicating your reserved business name.

Step 3 – Collect your name reservation document
You would need to visit the Companies Registry to collect the document indicating your reserved name. You must present your receipt to collect the document.

Step 4 – Complete Registration Process
You must complete your Form 1 (in DUPLICATE) and have it vetted by an officer at the Companies Registry. Once the Form is completely correctly, she will direct you to the cashier to pay the $220.00 fee to complete the registration. The cashier will again let you know when you can return to collect your registration certificate.

Step 4 – Collect the Registration Certificate
Again you must present the receipt to collect your yellow certificate. Ensure that all the information is correct before leaving the office. And remember – DO NOT LAMINATE YOUR REGISTRATION CEDRTIFICATE!!