Convert your CC to a PTY

Benefits of changing to a New Pty

There are a variety of benefits. You will then be in line with the majority of new companies in South Africa. You will be released for the CC Accounting officer requirements. CC's need to have their books, overseen and signed off by an Accounting Officer, on a yearly basis. This means that there is a yearly accounting fee.

New Pty's that are SME's generally never need an audit, or an Accounting Officer. However you still need to maintain an accurate set of books for SARS, and specify in your Annual Return who is the person responsible for the books

Cons of changing to a New Pty

Clients may look at your registration number to get a feel how long you have been in business. So if you are a 2012 company, they will respect you more. Changing to a Pty means you will have a new registration number, seemingly indicating that you are a new business, when in reality you may have been around for many years already.

Share Certificates are harder to understand then Membership Percentages. Knowing that you own 30% of the company sounds different to saying I own 360 shares.

Time

Changing a CC to a PTY can take between 6-8 weeks

Costs

On Completion you will have... A new Pty company, with a registration number starting with the year of the change.