The idea of entrepreneurship has been increasingly encouraged to generate self-employment and the country's socioeconomic development. It is a great alternative for those who want to earn money by investing time and resources in an area that they consider sustainable without depending on third parties.
There is, however, a certain lack of knowledge about the legal procedures for carrying out economic activities in Mozambique, which negatively influences the implementation of business and, in extreme cases, the withdrawal of those interested in undertake. The aim of this article is to provide guidance on licensing procedures specific to the commercial sector and for simplified licenses in order to allow all entities/individuals who wish to operate a business and wish to comply with the Law, to be guided.
Initially, it is important to understand that depending on the area of activity you want to undertake, there are procedures that must be followed.
Each area of activity has its own classification, that is, they are divided into sectors, namely: agriculture, communication, construction, education, energy, environment, forestry, health, security, tourism, commerce and industry, transport, finance, fisheries and aquaculture, mineral resources.
The legislative framework provides a range of requirements that investors or company entities must follow to legally conduct business in our country. For today we will provide a step-by-step guide to licensing commercial activities and companies under a simplified regime.
For these two cases, licensing is carried out at the Single Service Desk (BAU). In places where there is no BAU, the District Governments are responsible for processing and issuing the simplified license. To this end, district authorities must coordinate with BAU to ensure compliance with licensing procedures.
Licensing of Commercial ActivitiesCommercial licenses apply to commerce, commercial establishments, stores, services, commercial and foreign representation and foreign trade operators.
Requirements- Individuals: identity card, driving license, valid voter card, passport (for residents), DIRE or passport with valid business visa or permanent residence permit for foreigners, Unique Tax Identification Number (NUIT) and reservation certificate name if you want to use a commercial name.
- In the case of companies, the proof of registration or certificate of registration of the company, the power of attorney granting the powers of the subscriber if not specified in the certificate of registration as an administrator or authorized representative.
Simplified licensingSimplified licensing applies to economic activities (i.e. for micro-enterprises/micro-entrepreneurs) that may have minimal or insignificant negative impacts on the environment and therefore do not require a normally required Environmental Impact Assessment (EIA). for large industries or traders.
Business size is important in classifying the license and determining whether simplified licensing can be applied. The BAU is responsible for processing and issuing simplified licenses and certificates, as well as the suspension and revocation of commercial activities.
Procedures- Presentation of the form duly completed and accompanied by one of the following documents: • Copy of valid Identity Card (ID), passport, driving license, professional card or voter card, for nationals. • Identification and Residency Document for Foreigners or passport with business visa or temporary residence permit, valid for at least six months for foreigners.
- Applicants must also attach the registration certificate of a legal entity or copy of the publication of the statutes/of the commercial company in the Boletim da República and proof of the applicant's position, in the case of legal entities and NUIT.
- For activities whose exercise is authorized by professional associations or other entities, a copy of the document issued by these entities must be attached to the application.
- The request and the documents supporting the request may be submitted in printed or electronic format.
- Prior notice is necessary for real estate and cultural activities, Accounting, Management and consultancy services in the legal, architectural, engineering and similar areas by individuals, the annex of a residence can also be considered as a residential address.
The requirements for simplified licenses are the same as those applied to commercial licenses.
CostsFees/tariffs are charged based on the national minimum wage in force during the period in question in the public service:
- For normal licensing, fees are linked to the minimum wage of a State employee.
- For simplified licensing, a single fee of 1,639.00 MZN, (one thousand six hundred and thirty-nine meticais) The fee for simplified licensing corresponds to 50% of the minimum wage in force in the public sector.
Costs and detailed information related to licensing companies for other areas will be presented in the next article. You can also contact our company to receive any assistance you need.