How to Set Up an Entity in Ghana

Setting up a legal entity in Ghana is becoming increasingly appealing for businesses seeking to access West Africa’s dynamic and growing market. Ghana offers strategic location advantages, a relatively transparent business registration process, and preferential access to regional trade blocs like ECOWAS and the African Continental Free Trade Area (AfCFTA). This makes Ghana an attractive destination for companies in technology, services, agriculture, and manufacturing.

The process of registering a company in Ghana is generally straightforward, but foreign investors often encounter specific regulatory steps such as investment certification and compliance with tax and social security obligations. While the legislative environment has evolved to simplify entry for investors, paperwork and coordination with multiple authorities remain the primary challenges.

Disclaimer: This content is for informational purposes only and does not constitute legal, tax, or financial advice. Always consult official sources before acting.

What does “opening an entity” mean in Ghana?

“Opening an entity” in Ghana means formally registering a business structure under Ghanaian law that is recognized as a separate legal person. This involves choosing a legal form, registering with the relevant authority, and obtaining necessary licenses, allowing the company to operate, hire staff, and comply with local tax and reporting requirements.

Entity overview in Ghana

Below is a snapshot of key business entity setup elements in Ghana:

Step-by-step guide: How to open an entity in Ghana

Step 1: Choose the right structure

Selecting the proper business structure is foundational. A Private Company Limited by Shares is the most common form for profit-oriented ventures, providing limited liability to shareholders while allowing flexibility in ownership and management. Companies limited by guarantee are ideal for non-profit purposes. Partnerships and sole proprietorships are simpler but do not protect personal assets in the same way as limited companies. Non-Ghanaian businesses can also register an External Company (branch) if maintaining direct control.

Step 2: Verify business name availability

Before incorporation, search your chosen company name through the ORC online portal. The search checks for uniqueness against existing entities. Names must comply with local naming regulations and not be offensive or misleading.

Step 3: Prepare incorporation documents

You must prepare the following key documents:

• Completed company registration forms (available from ORC’s portal)
• Company regulations (the constitutional document detailing share structure, rights, and governance)
• Identification documents (passport or national ID) for all directors and shareholders
• Registered office address details

Step 4: Register with the Office of the Registrar of Companies

Submit incorporation documents and fees to the ORC. Once approved, the ORC issues a Certificate of Incorporation, confirming the company’s legal existence under Ghanaian law.

Step 5: Register for tax and social security

After incorporation, register the entity for a Tax Identification Number (TIN) with the Ghana Revenue Authority (GRA) for corporate tax, VAT (if applicable), and employer payroll reporting. Register employees with the Social Security and National Insurance Trust (SSNIT) for pension and social benefits contributions.

Step 6: Open a corporate bank account

Open a corporate bank account with a licensed bank in Ghana, which will require the incorporation certificate, TIN, and documentation for directors and shareholders. Many banks offer corporate account services, but KYC processes can take several weeks.

Step 7: Set up payroll and employment compliance

To hire employees, ensure compliance with labor laws by preparing employment contracts aligned to Ghana’s statutory requirements, deducting PAYE and SSNIT contributions, and filing payroll tax returns monthly with the GRA.

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Post-registration obligations

Businesses in Ghana must meet ongoing compliance requirements:

• Tax and financial reporting: File corporate income tax returns annually with the Ghana Revenue Authority and VAT returns monthly if registered
• Corporate registers: Maintain up-to-date records of directors, shareholders, and beneficial owners with the ORC
• Compliance tracking: Monitor tax, payroll, and corporate filing deadlines
• Licenses and renewals: Renew any sector-specific business licenses or permits with relevant ministries or municipal authorities
• Recordkeeping: Retain accounting, payroll, and transaction records as required under local law
• Employment law compliance: Maintain compliant employment contracts and benefits reporting under Ghana labor standards

Taxes and financial considerations

You are responsible for:

• Corporate income tax: Generally 25%, with sector-specific variations
• VAT: Standard rate 15% on goods and services, with reduced or flat rates possible in certain conditions
• Payroll/social contributions: Employers contribute 13% of an employee’s gross salary to the SSNIT, while employees contribute 5.5%, in addition to PAYE income tax withholding.
• Accounting standards: Ghanaian companies typically prepare financial statements in accordance with local regulations and international standards where applicable

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Expand internationally with Deel

Whether you’re hiring through an EOR or establishing your own local entity, Deel’s all-in-one platform gives you everything you need to expand into the United Kingdom—quickly, compliantly, and with confidence. From market entry to ongoing operations, Deel helps you hire, onboard, and manage teams seamlessly from day one.

With Deel, you can:

• Test new regions using Deel’s local entities through our Employer of Record service—hire employees compliantly, delegate payroll and taxes, and access localized employment contracts.
• Open entities with Deel Entity Setup, where our team manages everything—from incorporation and tax registration to coordination with local experts.
• Centralize your compliance and records with Deel Entity Management, including automated filings, calendar reminders, and visibility across all entities.
• Integrate with Deel Payroll and Deel HR for compliant payments, benefits, and workforce oversight—all in one platform.

For companies transitioning from the EOR model to owned entities, Deel ensures a smooth handover and consistent compliance every step of the way. Enter new markets, onboard talent, and manage your global workforce—all through one unified platform.

FAQs

How long does it take to open an entity in Ghana?
Typically, around 2–4 weeks from initial filing to issuance of the Certificate of Incorporation. Find out how long setup takes with our Entity Setup Calculator.

What is the minimum capital required?
There is no fixed national minimum capital requirement. The previous foreign investor minimum equity thresholds are subject to reform under a new GIPC Act. Until formally enacted, conventional thresholds may still apply.

Can foreign companies own 100% of an entity in Ghana?
Yes, Ghana generally allows 100% foreign ownership in most sectors, though investment certification and industry-specific rules may apply.

Do I need a local director or representative?
There is no general legal requirement for directors to be Ghanaian residents, but practical considerations such as local company administration often favor at least one locally based representative.

How much does it cost to register an entity?
Official government fees are relatively modest, but total costs vary with professional fees, licensing, and banking setup. Use the Entity Setup Calculator for tailored estimates.

Can I hire employees before the entity is fully registered?
Typically, no. However, Deel’s Employer of Record (EOR) lets you hire and pay talent immediately while your entity setup is in progress.

Can Deel help me open an entity in Ghana?
Yes. Deel Entity Setup manages the end-to-end process—from registration to payroll compliance—in over 100 countries. Deel’s local experts handle documentation, filings, and legal requirements on your behalf.

Does Deel offer ongoing compliance and payroll support?
Yes. Deel offers both managed services and self-service tools to help you stay compliant.

If you’re using Deel Entity Management, Maintenance, EOR, or Payroll, our team handles payroll, benefits, filings, and compliance obligations on your behalf.

For teams managing their own entities, Deel Compliance Hub makes staying compliant simple by providing real-time regulatory updates, risk alerts, and workforce insights across 150+ countries. Proactively manage compliance with our Compliance Monitor, Workforce Insights, and an AI-powered Worker Classifier, staying ahead of changing employment laws.

Can I switch from Deel EOR to my own entity later?
Yes. Deel supports seamless transitions when you’re ready.