Friday, June 28, 2013

HOW TO BECOME A CONTRACTOR IN MALAWI

Contractors are involved in construction of roads, bridges, buildings, water and irrigation infrastructure, airports, electrical installation and all kind of infrastructure. In Malawi you do not have to necessarily be an engineer or architect to be a contractor however it is advisable to have knowledge of construction in order to successfully control your construction business operations. To that end, short courses are offered by the National Industry Council  which ranges from a period of a week to 3 months or so.This article looks at  how you can become a contractor in Malawi.

Step 1: Register with Registrar of Business Names

Every business is by law required to register with the registrar of business names in Blantyre City. An applicant is required to pay a registration fee. The firm can be registered as a limited company, partnership or sole proprietorship. A registration certificate is issued roughly after 3 weeks.

Step 2: Register with National Construction Industry Council (NCIC)

When the registration certificate is out the contractor must also as required by law register with NCIC. The contractor can register as a building contractor, civil engineering contractor, electrical contractor etc. Within each main category (i.e building contractor, civil engineering contractor etc)  contractors must apply in a particular category like MK 5 Million, MK 15 Million etc.  MK 5 Million is likely category for a start up however registration in a higher category is at the discretion of NCIC.

Step 3: Register with Malawi Revenue Authority (MRA)

It is important to pay tax obligations as such the contractor must register with MRA. Most clients these days request for a tax compliance during bidding.

Note: Electrical Contractors may be required to register with Malawi Energy Regulatory Authority