HOW FOREIGNERS MAY SETUP INVESTMENT IN UGANDA

HOW FOREIGNERS MAY SETUP INVESTMENT IN UGANDA
Law applicable
Constitution of the republic of Uganda
Companies Act 2012
The Investment Code Act CAP 92, sections 9, 10, 11,12,13,14, and 15
The income tax Act,
Value Added Tax Act,
Uganda Citizenship and Immigration Control Act,
National Social Security Fund Act among others.
Uganda Investment Authority ACT
• A foreign investor means a person who is not a citizen of Uganda or a company in which more than 50 percent of the shares are held by a person who is not a citizen of Uganda; or a partnership in which the majority of partners are not citizens of Uganda.
• Foreign investors require a minimum of US$100,000 in planned investment license.
To set up an investment in Uganda, foreign investors need to obtain an investment license from the Uganda Investment Authority. Local investors are not obliged to license as per to the Investment Code but the investment license gives the local investors access to various benefits, especially when importing plant and machinery.
• a Foreign investor who is intending to engage in trade only shall not be required to apply for investment license but shall incorporate a company with the Registrar General of companies as is required by law, deposit a sum of one hundred thousand United States dollars or its equivalent in Uganda shillings at the Bank of Uganda, which shall be specifically used for importation or direct purchase of goods for the business.
Steps taken
• Obtain a postal address (PO Box number) POSTA UGANDA under which you will register your company.
• Register your company in Uganda with registrar of companies at Uganda Registration Services Bureau.
• After registration you will be issued with copies Memorandum and Articles of Association, and a Certificate of Incorporation form A2, A3, 7, 9 among others.
• Apply for tax identification number from Uganda Revenue Authority.
• Open bank account with any bank of your choice.
Apply for an investment license using Form UIA 1 and attach copies Memorandum and Articles of Association, and a Certificate of Incorporation a brief business plan. Form UIA .
• Unless otherwise Obtain a trading license from a local authority wherever the trade will be conducted that is City Council/Authority, Municipal Council, Town Council, among others. The trading license is granted upon payment of a prescribed fee.
• Obtain work permits from Directorate of Immigration, under the Ministry of Internal Affairs

HOW FOREIGNERS CAN SETUP INVESTMENT IN UGANDA
Law applicable
Constitution of the republic of Uganda
Companies Act 2012
The Investment Code Act CAP 92, sections 9, 10, 11,12,13,14, and 15
The income tax Act,
Value Added Tax Act,
Uganda Citizenship and Immigration Control Act,
National Social Security Fund Act among others.
Uganda Investment Authority ACT
• A foreign investor means a person who is not a citizen of Uganda or a company in which more than 50 percent of the shares are held by a person who is not a citizen of Uganda; or a partnership in which the majority of partners are not citizens of Uganda.
• Foreign investors require a minimum of US$100,000 in planned investment license.
To set up an investment in Uganda, foreign investors need to obtain an investment license from the Uganda Investment Authority. Local investors are not obliged to license as per to the Investment Code but the investment license gives the local investors access to various benefits, especially when importing plant and machinery.
• a Foreign investor who is intending to engage in trade only shall not be required to apply for investment license but shall incorporate a company with the Registrar General of companies as is required by law, deposit a sum of one hundred thousand United States dollars or its equivalent in Uganda shillings at the Bank of Uganda, which shall be specifically used for importation or direct purchase of goods for the business.
Steps taken
• Obtain a postal address (PO Box number) POSTA UGANDA under which you will register your company.
• Register your company in Uganda with registrar of companies at Uganda Registration Services Bureau.
• After registration you will be issued with copies Memorandum and Articles of Association, and a Certificate of Incorporation form A2, A3, 7, 9 among others.
• Apply for tax identification number from Uganda Revenue Authority.
• Open bank account with any bank of your choice.
Apply for an investment license using Form UIA 1 and attach copies Memorandum and Articles of Association, and a Certificate of Incorporation a brief business plan. Form UIA .
• Unless otherwise Obtain a trading license from a local authority wherever the trade will be conducted that is City Council/Authority, Municipal Council, Town Council, among others. The trading license is granted upon payment of a prescribed fee.
• Obtain work permits from Directorate of Immigration, under the Ministry of Internal Affairs

A proximate cost in case you engage a transaction lawyer  is about ugx 2000,000 and  above however no government fees save for certification of company documents 

Author is A regional transactions legal consultant (ADVOCATE) at NOA REGIONAL ASSOCIATED ADVOCATES AND LEGAL CONSULTANTS
Email address: onlinetransactionconsultancy@gmail.com.

contacts. +250787311255,+256788105242,+256782105042
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NOTE: whereas the author has made necessary efforts to ensure the accuracy of this post, it is not intended to provide specific legal advice to a particular individual as individual situations may differ.

For specific technical / legal transaction advice on this subject matter and related subject, you may contact the author at online consultancy fee, or contact any transaction legal consultant of your choice.
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