Business in Benin

An independent activity in Benin can operate as an Entreprenant or établissement individuel, or as a société commerciale such as a SARL, SUARL, SAS, SA, GIE, SNC or SCS. An individual form has no minimum capital requirement but exposes the owner to unlimited liability. SARL, SUARL, SAS and SA generally limit liability to contributions. A GIE supports cooperation between businesses but involves joint unlimited liability, while SNC and SCS structures can also create personal liability. A SA requires minimum capital of 10,000,000 FCFA. These forms operate within the OHADA business-law framework, which has applied in Benin since 1995. Before operating, check the business name, registered address and planned activity. MonEntreprise.bj and APIEx's GUFE coordinate national formalities, including registration with the Registre du Commerce et du Crédit Mobilier, or RCCM, which is the commercial register establishing legal merchant status. The file for an individual activity usually includes a biometric identity document or passport, a criminal-record extract issued less than three months earlier, a sworn declaration, a photograph and proof of address. A foreign applicant needs a consular card or residence permit. A company file additionally includes signed statutes, identity documents, criminal records, proof of domiciliation and, where required, proof that capital was deposited. Online payment can use MoMo, Flooz, Celtiis or a bank card. The process may issue the RCCM registration, an Identifiant Fiscal Unique, or IFU tax number, a CNSS notice, a declaration to the Direction Générale du Travail, or DGT, a professional or importer card, a legal announcement and a QR-verifiable record. The current portal display lists approximately 10,000 FCFA for an établissement, 22,000 FCFA for a SARL or SUARL and 37,000 FCFA for a SAS, SA, GIE and several other forms, excluding notary fees. Official pages show conflicting fees and delays, including figures of about 16,400 FCFA or 50,900 FCFA and processing times of 24 to 48 hours. Check the amount and expected processing time at live submission instead of treating one figure as fixed. Some activities need an authorization in addition to RCCM and IFU registration. Health and education activities may require approval before registration. Finance, insurance, foreign exchange, money transfer, microfinance, transport, transit, specialized imports, restaurants, bars, hotels, travel services and security services may require approval or a professional card after registration. The activity-specific authorization does not replace commercial registration or tax identification. The DGI administers taxes, e-MECeF normalized invoicing and e-Bilan financial-statement reporting. A cited threshold for the Taxe Professionnelle Synthétique, or TPS, is annual turnover below 50,000,000 FCFA excluding tax, but the applicable ministerial order should be rechecked. The cited TPS rate is 5% of annual receipts, with a minimum of 10,000 FCFA plus a 4,000 FCFA ORTB charge. The annual declaration is due by 30 April, and advance payments are due by 10 February and 10 June at the latest. VAT depends on the applicable ministerial threshold, and businesses using it need an IFU and OHADA-compliant accounts. An employer registers with CNSS when the first employee starts, and local taxes depend on the commune and establishment. Some incentives depend on status and turnover. A regular new enterprise may receive an IS or IBA reduction of 25% in the first year, 25% in the second and 50% in the third. A labelled ICT start-up with turnover of no more than 100,000,000 FCFA excluding tax may receive exemption from IS and employer payroll tax in the first two years and a 50% reduction in the third. A CGA formalization scheme for enterprises with turnover of no more than 50,000,000 FCFA excluding tax may provide a 40% IS, IBA or TPS reduction in the first four years, with audit relief in years two and three subject to exceptions. The investment code lists regime A for investments from 50,000,000 to 1,000,000,000 FCFA, regime B from 1,000,000,000 to 50,000,000,000 FCFA and regime C above 50,000,000,000 FCFA; possible incentives can last up to 17 years. ADPME offers small and medium-sized businesses guidance, training, financial and non-financial support, market access and an MPME-status certificate. The PAEB programme runs from 2023 to 2028 with a budget of 32,200,000 EUR and a target of 545 selected small and medium-sized businesses. The BCEAO SME financing framework concerns autonomous, registered non-financial businesses with annual turnover of no more than 1,000,000,000 FCFA, financial statements and follow-up by an eligible support institution. MonEntreprise.bj can process changes to activities, registered address, directors, associates, capital and shares or actions. The listed fees are 9,100 FCFA for an établissement and 18,100 FCFA for a société, with notary involvement required for company changes according to the portal. A transfer outside the tribunal's jurisdiction requires radiation before the change. For cessation or transfer, CGI Article 476 requires notification to the DGI at least three months beforehand, together with the transfer document and the parties' details and date. Activity cessation, tax closure, RCCM radiation and OHADA dissolution or liquidation are separate matters; the reviewed official process does not prove one single all-in-one closure procedure. Informal self-employment and trade exist in practice, but they do not provide the legal identity, public-procurement access or regulated-sector access associated with RCCM and IFU registration.