How to register a micro-finance company in Zimbabwe

To register a micro-finance company in Zimbabwe requires several steps. These include incorporating the company in Zimbabwe, opening a company bank account, acquiring tax clearance and getting a micro-finance licence from the Reserve Bank of Zimbabwe.

1. Register the company as a Private Limited Company

The first stage is to register a company. The company needs to be registered as a Private Limited Company to be able to meet the requirements of the RBZ.

2. Apply for a bank account and tax clearance certificate

The next stage is to open a bank account for your recently registered micro-finance company. Once you have a bank account you will need to get a tax clearance certificate.

3. Apply for a micro-finance licence with the RBZ

• Submit certified copies of certificate of incorporation, memorandum, and articles of association to RBZ.
• Use names from the Registrar of Companies.
• NGOs and Trusts should register separate companies to conduct microfinance business.
• RBZ will not accept applications from companies limited by guarantee.
• Such companies should convert to share capital companies and register as microfinance institutions.
• Microfinance companies should operate from formal business premises.
• The RBZ requires micro-finance companies to have  minimum share capital of US$20,000.00. This should reflect both on the company papers and the bank balance of the company.
• Proof of the sources of the funds should be submitted.
• Submit a tax clearance certificate.
• Submit a recent bank statement covering the past three months.
• Corporate Shareholders (with at least 5% shareholding) should submit copies of audited financial statements for the past two years and Tax Clearance Certificate.