How to Set Up an Entity in Togo

Setting up a legal entity in Togo positions businesses to tap into West Africa’s strategic trade corridors and dynamic domestic market. The Togolese government has undertaken reforms to improve the ease of doing business, streamline business creation, and attract foreign investment through clearer procedures and incentives.

While opening a company in Togo involves typical bureaucratic steps—from name reservation and statutory filings to tax and social security registrations—the process is generally manageable with preparation and local support. Many foreign investors choose the structure that offers limited liability and operational flexibility, but understanding regulatory, tax, and compliance obligations upfront is essential for smooth entry.

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 Togo?

In Togo, opening an entity means legally registering a business with the national authorities under a recognized commercial form. This process grants the company a legal personality, enabling it to enter into contracts, hire employees, and operate in the market.

Entity overview in Togo

Here is a summary of the key features of company formation in Togo:

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

Step 1: Choose the right structure

Foreign businesses typically choose a Limited Liability Company (SARL / Société à Responsabilité Limitée) because it limits investor liability to the capital invested and allows ownership by a single shareholder. Larger ventures or those seeking to raise capital publicly may consider a Public Limited Company (SA / Société Anonyme), which has stricter governance and capital requirements. Non-commercial presences like Branch Offices allow market engagement without a separate legal personality but expose the parent firm to liability. Representative offices are limited to promotional activities only.

Step 2: Verify business name availability

Business names must be unique and compliant with Togo’s commercial naming rules. You can check names online through the CFE. A name reservation confirms exclusivity before document submission.

Step 3: Prepare incorporation documents

You must prepare and authenticate several core documents, typically including:

• Articles of association detailing business purpose and share structure.
• Shareholder and director identification (passport or ID).
• Proof of registered address (can sometimes be the office of a notary/agent locally if acceptable)
• Statement of capital contribution proving deposit of prescribed capital for the entity type (e.g., SARL)

Additional sector licenses may be required for regulated businesses.

Step 4: Register with the CFE

Submit your incorporation package to the CFE. This is the one-stop authority for company registration in Togo, handling filings and issuing the company’s Certificate of Incorporation and registration on the RCCM.

Step 5: Register for tax and social security

Once incorporated, register with the Togo Revenue Authority (OTR) to obtain a corporate Tax Identification Number (TIN) and register for VAT (standard 18 %). Employers must also register with the National Social Security Fund (CNSS) for payroll and social contributions.

Step 6: Open a corporate bank account

Opening a corporate bank account with a local or international bank in Togo requires standard KYC, including the company’s incorporation certificate and governance documents. Local accounts facilitate salary payments, VAT remittances, and other local transactions.

Step 7: Set up payroll and employment compliance

Before hiring employees, register as an employer with the CNSS and ensure compliant employment contracts per Togolese labor law. Employers must withhold contributions and meet reporting requirements for wages and social security.

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Post-registration obligations

After incorporation, companies in Togo must maintain compliance with governance, tax, and employment norms:

• Tax and financial reporting: Submit annual corporate tax returns and VAT filings to the Togo Revenue Authority, typically aligned with the calendar year
• Corporate registers: Keep updated records of directors, shareholders, and beneficial owners, and file changes with the CFE/RCCM
• Compliance tracking: Monitor deadlines for tax and corporate filings with a local calendar or service provider to avoid penalties.
• Licenses and renewals: Renew any sector-specific licenses or permits as required.
• Recordkeeping: Retain accounting, payroll, and HR records for the duration required under Togolese law.
• Employment law compliance: Maintain compliant employment contracts, payroll reporting, benefits contributions, and safety standards.

Taxes and financial considerations

You are responsible for:

• Corporate income tax: Standard rate around 27% on profits
• VAT/GST: Standard 18% on most goods and services; PMEs with annual revenue below certain thresholds may face adjusted requirements
• Payroll/social contributions: Employers and employees must contribute to social security; employers also withhold payroll taxes
• Accounting standards: Companies typically follow OHADA accounting and reporting standards under the regional business law framework

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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 Togo?
Typically 4–8 weeks, depending on the entity type and completeness of documentation. Find out how long setup takes with our Entity Setup Calculator.

What is the minimum capital required?
For an SARL, the typical minimum is around XOF 1 million (≈ USD 1,700), while larger types like PLCs have higher requirements.

Can foreign companies own 100 % of an entity in Togo?
Yes. Entities may be 100 % foreign-owned, and there is generally no mandatory local shareholder requirement.

Do I need a local director or representative?
Non-resident directors are generally permitted; however, appointing a local representative can ease interactions with authorities.

How much does it cost to register an entity?
Government, notary, and professional fees can range from XOF 300,000 to 800,000+ (≈ USD 500–1,350+). Find out the setup cost with our Entity Setup Calculator.

Can Deel help me open an entity in Togo?
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