WHAT DOCUMENTATION DO I NEED TO OPERATE A PERMITTED BUSINESS?

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Published: May 21, 2020

What documentation do I need to operate a permitted business during lockdown?

Depending on your business, you will need to show a Permit to Perform an Essential or Permitted Service, as well as either of the following:

  • CIPC Certificate; or
  • Documentation as required for Sole Proprietor or informal business; or
  • Accommodation Services: Permission from Department of Tourism.

 

  1. Permit to perform an essential or permitted service

Anybody that is permitted to work outside their home under the current Alert Level must carry a “Permit to Perform an Essential or Permitted Service” issued by the head of the company or institution (click here to download). This permit must always be accompanied by identification.

 

  1. CIPC Certificate (if your company is registered with the CIPC)

If you are permitted to operate under the current Alert Level, you can obtain a CIPC Certificate from www.Bizportal.gov.za.

Click on the Services tab, and then click on “COVID-19 Essential Services.”

Note that –

  • The CIPC certificate is a reference to the legal registration of the company in terms of the Companies Act, 2008, and a record of registration to the CIPC. It does not give a firm or individual a right to trade if that company does not comply with the Disaster Management Regulations.
  • Bizportal registration for a CIPC Certificate is only for companies that are registered in terms of the Companies Act. Other essential service providers, like healthcare professionals registered with the Health Professions Council of South Africa, sole proprietors who provide essential goods and services (like small business owners and spaza shops), and small-scale farmers will not register through Bizportal and will not have CIPC Certificates. Sole Proprietors and small businesses need to produce documentation as set out below under point 3.
  • The Department of Trade, Industry and Competition has stated that it a criminal offence for any business to misrepresent the nature of its operations in order to obtain a CIPC certificate.

 

  1. Sole Proprietors, Formal and Informal Small Businesses

The Department of Small Business Development published Directions on 12 May 2020, to assist micro and small businesses trading in permitted services, to comply with the Disaster Management Regulations. (To access the Directions, click here.)

  • All formal and informal small businesses or sole proprietors must have a permit to perform essential or permitted services as above.
  • For employees, the head of the small business must sign the permit,
  • In the case of the head of the business or sole proprietor, he or she must sign it him or herself, provided that –
    • He or she must be in possession of an Affidavit indicating that he or she is performing a service permitted in terms of the Regulations, and
    • Have in his or her possession either –
      • A CIPC company registration certificate; or
      • Sole trader document issued by SARS; or
      • Certified copies of the trade certificate of the owner; or
      • College certificate in the related qualification, or
      • Other documentary proof of the existence of the business and the nature of the business.
    • Any sole proprietor or informal business owner needs to produce any of the above documents together with a Permit to Perform and Essential or Permitted Service upon request by an enforcement officer.

 

  • In addition to the above, the Directions set out specific requirements for the following small and micro businesses:
    • Small scale bakeries and confectioneries need to possess a business licence or permit to trade issued in accordance with the Business Act, or a business licence or trading permit issued by your municipality;
    • Small scale hardware stores need to possess a business licence or permit to trade issued in accordance with the Business Act, or a business licence or trading permit issued by your municipality;
    • Informal restaurants and shisanyamas – for home deliveries only – must possess a business licence or permit to trade issued in accordance with the Business Act, or a business licence or trading permit issued by your municipality;
    • Trades,
      • artisan businesses, necessary for rendering emergency repair work, including plumbers, electricians, locksmiths, glaziers, roof repair work, tow trucks, vehicle recovery and automobile repairs (motor mechanics), including small-scale vehicle services centres/ workshops, small-scale motor body repair shops, and fitment centres;
      • (a) An Artisan’s business must possess a business licence or permit to trade issued in accordance with the Business Act, 1999 (Act No. 71 of 1991); or
      • (b) in the case of a vehicle service centre, fitment centre or a motor body repair workshop, if it does not already possess a business licence or trading permit, must apply for one from the municipality.
    • Cooperatives
      • Cooperatives must possess a valid and original certificate of registration as a Cooperative, in order to trade.
    • Any informal, micro and small businesses required to possess trading permits or business licences that are currently trading without permits must apply for temporary permits to continue trading.

Only certain businesses require a business trading licence to operate, please click here to find out more about business licences in the Western Cape, and here to find out more about business licences issued by the City of Cape Town.

 

 

  1. Accommodation services offering accommodation to essential services workers or for reasons related to lockdown other than isolation or quarantine.

 

You will need permission to operate from the National Department of Tourism during Alert Level 4.

 

You will be required to provide proof that the workers are performing essential services, and will be required to submit all workers’ details, with their ID numbers, and occupancy dates.

 

Permission can be obtained by contacting the Department of Tourism (either Paul Mamola (pmasemola@tourism.gov.za) or Keetso Makumbe (kmakume@tourism.gov.za).

 

The following should be included in your application (on letterhead):

  1. The name of the company seeking accommodation (employer of essential services workers) with contact details
  2. Names and surname (ID copies) of the essential workers who seek accommodation
  3. Expected date of check-in and to check-out.

 

In addition, to register as an accommodation service in the Western Cape, please follow this link.

 

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