Step-by-Step: How to Register Your "Hustle" as an Official Business in Kenya

Your hustle is thriving. That side business, that craft you sell online, that service you provide—it’s growing, and you know it has the potential to be so much more. Taking the step to formally register your business is one of the most powerful moves you can make. It’s the key that unlocks trust with clients, access to loans, and bigger opportunities. It’s how you turn your hustle into an empire.

But let's be honest, the process can seem intimidating. At AZIRA, we believe in making things clear and simple. This guide will walk you through the exact steps to officially register your business in Kenya.

First, Choose Your Business Structure

Before you begin, you need to decide what kind of business you're registering. For most hustles starting out, there are two main options:

1. Business Name (Sole Proprietorship/Partnership): This is the simplest and most common way to start. You and the business are legally the same entity. It's perfect for freelancers, small shop owners, and artisans. This guide will focus on this process.
2. Limited Liability Company (LTD): This creates a separate legal entity from you, the owner. It’s more complex and expensive to set up but offers protection for your personal assets. This is usually for businesses that are more established or seeking major investors.

For most people starting out, registering a Business Name is the perfect first step.

The Step-by-Step Registration Process via eCitizen

All business registrations in Kenya are now done online through the eCitizen portal.

Step 1: Conduct a Name Search

Before you can register a name, you must confirm it’s unique and available.

• Log in to your eCitizen account.
• Click on the Business Registration Service (BRS) option.
• Click on "Make Application," then select "Business Name Registration."
• Choose the business type (e.g., Sole Proprietorship).
• Enter your proposed business name. You can submit a few options. The system will check if the name is already taken. This step has a small search fee (usually around KSh 150).

Step 2: Await Name Approval

After submitting your proposed names, you will need to wait for one of them to be approved by the registrar. This can take a day or two. You will receive a notification once your name is successfully reserved.

Step 3: Register the Business Name

Once your name is approved and reserved, it’s time to complete the registration.

• Go back into the Business Registration Service on eCitizen.
• You will find your approved name under the "My Applications" tab.
• Proceed with the registration. You will be required to fill out a form with details about your business, including:
  • The nature of the business (e.g., "Online Marketing," "Fashion and Design," "Catering Services").
  • The business address (both physical and postal).
  • Your personal details as the owner.
• Pay the official registration fee (currently KSh 850).

Step 4: Download Your Certificate

After payment, you will be able to download your official Business Name Registration Certificate. Congratulations, your hustle is now an officially recognized business!

You're Registered! What Are the Next Crucial Steps?

Getting the certificate is a major milestone, but there are a few more steps to becoming fully compliant and ready for growth.

1. KRA PIN: Your business needs to be tax compliant. While you may have a personal KRA PIN, ensure you understand your business's tax obligations, like turnover tax for small businesses.
2. County Business Permit: This is essential. You must get a business permit from the county government where you operate (e.g., Nairobi City County, Mombasa County). Operating without one can lead to fines.
3. Open a Separate Business Account: This is where your hustle truly becomes a business. Separating your personal and business finances is critical for tracking your income, managing expenses, and looking professional.

Let's Grow Your New Business, Together

Now that you have your registration certificate, the next crucial step is opening a separate account for your business. This allows you to build a financial history, which is essential when you want to apply for a loan to expand.

Our AZIRA Micro-Business Accounts are designed specifically for Kenyan entrepreneurs like you. With accounts tailored for everyone from digital talents to artisans, we provide the financial tools you need to manage your money and grow.

Formalizing your business is a major step towards achieving your dreams. At AZIRA S.H.G., we’re here to support you on that journey. Because that’s what Growing Together is all about.