We can help you to convert a close corporation (CC) to a private company ((Pty) Ltd). Go from CC to PTY. Every CC has to do the conversion eventually. It is no longer possible to register a new close corporation or CC. However, you can carry on trading under a CC that existed before 1 May 2011. But CC’s will slowly become extinct and every CC will (at some point) have to be converted into a private company ‘(Pty) Ltd’. Many people choose a CC (and still prefer a CC) because a CC gave them the advantages of incorporation, with lower costs and simpler administration. Virtually all the advantages that a CC had, can now also be obtained by having a private company under the new Companies Act. For example:
- the annual return fee is the same regardless of whether you have a CC or a company
- small private companies do not need to be audited or produce audited financial statements
- small private companies do not need to convene an annual general meeting (AGM)
Some argue that there are actually more advantages to being a private company rather than a CC.
- Compete with bigger companies in the same market.
- Invite other parties to invest as shareholders in your business.
- Raise more capital to grow your company.
- Enable companies and CCs to be shareholders in your business.
- Benefit by being regulated by a law (the new Companies Act) that is up-to-date with international best practice.
- Administer your company electronically.
- Ensure that the rights, duties and responsibilities of members are clearly set out.
- Avoid disputes between members.
We can prepare the documents you need to do this and help you with the process. By using our service you can:
- save time by doing it faster,
- save money by getting it right and not have to repeat the same steps a number of times.
Who is it for?
It is for members of any CC that is in business.
What is the process to convert a CC to a company?
- You answer a questionnaire.
- We create the necessary documents customised for you. You review and approve them.
- The relevant people sign them.
- They get filed with CIPC.
How long does it take to convert your CC to PTY?
About five minutes to complete the questionnaire. About 24 hours for us to quote you a fixed price. About 20 minutes for you to complete the second questionnaire. About five days for us to create the necessary documents. It is not possible to estimate how long it will take CIPC to convert a CC once the documents have been filed with CIPC.
If you are interested, please complete the form on the right or enquire now. We will contact you to find out more about your requirements and give you a quote.
Do you convert CCs for your clients?
We can help you to explain to your clients why they need to convert their CCs. Secure old or create new streams of revenue for you. Enhance your brand and value proposition in the eyes of your clients. We also offer special rates if you plan to do more than 20.