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Investment Licence

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									1.0 Business Registration/Licences (Procedures)
As in all countries, investors normally have to, before they start operations, obtain various permits or
certificates. In Uganda, the Uganda Investment Authority (UIA) acts as a facilitator to investors, who may
not be familiar with the various procedures that may be required. The formalities are detailed below: -

     TYPE OF LICENCE                          PROCEDURE                                             AUTHORITY/ORGANISATION
                                                                                                    CONCERNED
1.   Investment Licence                       An application is made to the Executive               Uganda Investment Authority
     An investment license is required for    Director of UIA on Form UIA 1 (obtainable             Plot 22B Lumumba Avenue
     all foreign Investors before any of      from the UIA or www.ugandainvest.com ). .             P.O.Box 7418 Kampala, Uganda
     their investments become                 The form is free. This is filled and returned to      Tel: +256-41-4301000
     operational. An investment License       UIA with the following:                               Fax: +256-41-4342903
     once obtained authorises the holder                                                            E-mail: info@ugandainvest.com
     to make the arrangements necessary           A copy of the certificate of incorporation       Http://www.ugandainvest.com
     for establishing the business                 and if it is a limited liability company, plus
     enterprise.                                   copies of the Memorandum and Articles of
                                                   Association
     Currently the licence is free and can
     be obtained within 2-5 working days.         A brief business plan
                                                  Detailed investment program indicating all
                                                   investment capital goods, their value and
                                                   timing of implementation.

                                              For a foreign Investor to receive an investment
                                              license, s/he must demonstrate a minimum
                                              planned investment of at least US $ 100,000,
                                              while it is US$50,000 for local investors but
                                              registration is not obligatory for local investors.
2.   Business Registration                    The investor is required to draw up                   Uganda Registration Services
                                              memorandum and articles of association (10            Bureau (URBS)
     The cost for business registration is:   copies), which should be submitted to the             Ministry of Justice
     0.5% stamp duty on share capital;        Registrar‟s Office. The investor will also have       Amamu House, Plot No. 5 George
     plus Registration fees of US$470.00.     to fill forms A1, A2, A3, A9 and 7, which are         Street, 4th Floor
     Uganda Registration Services Bureau      provided at the Registrar‟s Office (Local             Tel: +256 – 41-4233219
     (URBS) also registers patents, trade     companies). These forms can also be obtained          Fax: 256 – 41 – 4250712
     marks, copyrights, etc. There are        from the Uganda Investment Authority, who             Official Receiver: +256 – 41 -
     other minor costs like name              will also help with the registration process.         4345727
     reservations, bank charges while                                                               KAMPALA
     paying for the services and costs for    Upon submission, the documents will be
     purchase of application forms for        reviewed and once approved, the investor will
     these services. Typically most of        be issued with a certificate of incorporation
     these processes range from 1-5days.      making the business a legal entity.
                                              For registering a foreign company, the investor
     Detail of each process may be            will be required to present to the registrar, the
     obtained at:                             following documents:-
     http://www.doingbusiness.org/Explor       Certified copy of document that defines
     eTopics/StartingBusiness/Details.asp           the constitution of the company in English
     x?economyid=193#1                              and a certificate of incorporation from the
                                                    country of registration
                                               List of Directors and Secretary
                                               A statement of subsisting charges
                                               Names and address(es) of a person in
                                                    Uganda authorised to receive service on
                                                    behalf of the company.




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3.   Trading License                            The Trading License is a general business           The Public Relations Officer
     A trading license is required of any       license required for all companies including        Kampala City Council
     business operating in Uganda. The          service enterprises. The issuing authority is the   City Hall, Room A112
     license is issued by the local             relevant Municipal Authority where the              Tel: +256-41-231443
     authority (town or city council). The      business premises are situated. A trading license   Fax: +256-41-231916
     issuance of licence is instant.            can be obtained almost instantly provided the       Tel. +256-772-695296
                                                necessary documents on the nature of business       Email:
     License fee for opening up an office       to be undertaken and the location are available.    public.relations@kcc.go.ug
     is Ushs.156,500. License fee for           The fee is assessed by the Municipality or City
     carrying out a retail business is          Council. Standard forms are completed and are       Nakawa Division
     Ushs.206,500. License fee for              accompanied by Memorandum & Articles of             Tel: +256-41-4222936
     carrying out a wholesale business is       Association as well as the Certificate of           Email: nakawa@kcc.co.ug
     Ushs.366,500.                              Incorporation. For the case of Kampala City
                                                Council, the exercise is decentralised to each of   Central Division
                                                the 5 Divisions of Kawempe, Nakawa,                 Tel: 256-41-4230857
                                                Makindye, Rubaga, and Kampala Central               Email : : central@kcc.co.ug
                                                Divisions.
                                                                                                    Kawempe Division
                                                                                                    Tel: 256-41-4566907
                                                                                                    Email: kawempe@kcc.co.ug

                                                                                                    Makindye Division
                                                                                                    Tel: 256-41-4267840
                                                                                                    Email: makindye@kcc.go.ug

                                                                                                    Rubaga Division
                                                                                                    Tel: 256-41-4271711
                                                                                                    Email: rubaga@kcc.go.ug

4.   Environmental Compliance                    At a minimum, the project brief submitted by the              National Environment
     The National Environment                    developer to NEMA shall contain the following                 Management Authority
     Management Authority (NEMA)                 information:                                                  (NEMA)
     requires EIAs to be carried out for the                                                                   NEMA House,
     following types of investment, prior to               Name, title and address of the developer.          Plot 17/19/21, Jinja Road
     commencement: -                                       Name, purpose, objective and nature of             Tel:               +256-41-
         Urban development;                                project, including attributes such as size of      4236817/251064/5/8
         Transportation;                                   project, design, activities that shall be          Fax:               +256-41-
         Dams,       rivers,   and    water                undertaken during and after the establishment      4257521/232680
          resources;                                        of the project, products and inputs, sources of    E-mail: info@nemaug.org
         Aerial spraying;                                  inputs, etc.                                       Http://www.nemaug.org
         Mining;                                          Description of the proposed project site and its
         Forestry related activities;                      surroundings, and alternative sites, if any,
         Large-scale            agricultural               where the project is to be located.
          activities, introduction of new                  Description of how the proposed project and
          crops, animals, and pesticides;                   its location conform to existing laws,
         Processing and manufacturing                      regulations and policies governing such
          activities;                                       project and the use of the site/area proposed
         Electrical infrastructure;                        for its location.
         Management of hydrocarbons;            .
         Waste disposal;
         Natural conservation areas.

     On approval of a project brief and
     environmental impact study the
     developer is required to pay a fee to
     NEMA. This fee is used for
     monitoring the project during its
     existence and to cover administrative
     costs and ranges between
     Ushs250,000 – Ushs.2,000,000
     depending on the level of investment.
     Large projects over Ushs.5 billion pay
     a fee of 0.1% of the investment value.




                                                                                                                                    2
5.   Business/Tax Registration                 Fill out application forms for both the directors and for     Taxpayer Services (TPS)
                                               the company. These can be got from any URA Domestic           Desk
     a. Tax Identification Number:             taxes office across the country or at the UIA offices. Tax    Uganda Revenue Authority
     Anyone intending to do business in        registration is free of charge.                               Crested Towers, Tall
     Uganda is required to be tax registered   Documents to attach.                                          Tower
     for both the directors (personal TIN)                Copy of Certificate of Incorporation              Ground Floor.
     and company (business TIN). It is the                Copy of Company Form 7 indicating directors       Tel: +256-41-4317000
     main identifier.                                      particulars                                       Tel: +256-41-4317002
                                                          Proof of location of business e.g. copy of        Email; prte@ura.go.ug
                                                           tenancy agreement.                                Website:
                                                          Copies of the identifications of the directors.   www.ugrevenue.com

     b. VAT registration:                      In the case of VAT registration, URA will conduct an
     This is recommended for persons           inspection to verify the business existence and
     intending to supply taxable supplies      information submitted.
     and expect the turnover threshold of
     more than UGX 50 Million p.a.

     c. Registration as an Investment          In the case of registration as an investment trader (must
     Trader:                                   hold an Investment License), URA will require that you
     This is for a person planning to supply   issue an undertaking and security guaranteeing the
     taxable supplies in the future.           repayment of any tax refunded if you do not make taxable
     Registration as an Investment Trader      supplies within the registered period.
     for tax purposes allows one to claim a
     refund of VAT input tax suffered in
     the period prior to making taxable
     supplies provided the period does not
     exceed two years.

     d. Pay- As- You- Earn (PAYE)              PAYE file number is given automatically the investors
     Employers are also required to register   indicates s/he is going to employ people during TIN
     for Pay As You Earn (PAYE). Every         registration. This does not require a separate registration
     employer is required to deduct            step.
     monthly taxes from liable employee‟s
     salary payments and any other             Particular rates are applied depending on the amount an
     employment benefits whether               employee earns in a year of income for instance 10% for
     monetary or in kind                       amounts exceeding Ushs.1,560,000 and the amounts
                                               increase as the income increases up to 30%




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6.   Import Clearance Procedure                            Importer appoints a Customs Agent and hands       Customer Care Desk
                                                            him all related documents.                        Kampala Customs
     Kampala Customs Business Center of                    The appointed agent prepares an electronic        Business Center (CBC)
     Uganda Revenue Authority, is a one-                    customs declaration (Single Administrative        Uganda Revenue Authority
     stop shop for Customs transactions                     Document – SAD) at any Direct Trader Input        Nakawa headquarters
     where the control of declarations is                   (DTI) center.                                     Tel: +256-41-4334263
     based on the Risk Management and is                   A printout is generated and payment must be       Tel: +256-41-4334267
     done electronically under the                          made in the authorized bank.                      Tel: +256-41-4334268
     ASYCUDA++. Imports into the                                                                              Email; prte@ura.go.ug
     country are kept in a licensed customs      Documents to attach                                          Website:
     area pending Customs Clearance.             - Profoma invoice                                            www.ugrevenue.com
                                                 - Commercial invoice (mandatory)
     URA has basically four (4) import           - Insurance certificates (where applicable)
     regimes.                                    - Freight invoices (where applicable)
     IM4 – Direct Import for Home use            - Sales Contract/Agreement (where applicable)
     IM5 – Temporary Import                      - Certificate of Origin (for preferential rate, it is
     IM6 – Re-Import                             mandatory)
     IM7 – Customs Warehousing                   -Shipment documents e.g.
                                                        Bill of Lading (mandatory)
                                                        Airway Bill (mandatory)
                                                        Railway Consignment Note (mandatory)
                                                 - Export documents where applicable e.g.
                                                        Export entry ---- South Africa
                                                        Shipping Bills ---India
                                                        Form E ---- Pakistan
                                                 - Payment documents – Cash (Telegraphic Transfer –
                                                 T/T)
                                                        Letter of Credit
                                                        Bill of Exchange.
                                                 - Others.
                                                        Fumigation Certificate – used cloth and shoes
                                                        Phytosanitary Certificates – for plants, seeds,
                                                             soil, timber, agro chemicals, etc
                                                 Permits for restricted (regulated) goods
7.   Importation/Clearance of Raw                One requires the procedures under (6) above, and in          Customs – Trade Section
     Materials.                                  addition, one should also note that:                         Uganda Revenue Authority
     Import duty remission to zero if the                                                                     8th floor Crested Towers,
     products are on the list of raw             Customs inspects the premises of the manufacturer to         Tel: +256-414-317000/209
     materials for the East African              confirm suitability.                                         Email; prte@ura.go.ug
     Community
                                                 It‟s an added advantage if the manufacturer is registered
                                                 with UIA and UMA.
8.   First Arrival Privileges                    In addition to requirements under (6), the beneficiary may   Customer Care Desk
     For Foreigners (investors and               also need to note that:                                      Kampala Customs
     expatriates) coming into the country                                                                     Business Center (CBC)
     for the first time to work and/or reside,   a. Notify Customs.                                           Uganda Revenue Authority
     an exemption in the form of duty            b. Items should have been in use of the person in the        Nakawa headquarters
     exemptions for personal and                 previous country of residence.                               Tel: +256-41-4334263
     household effects and (1 motor vehicle      c. Items should be of a personal/household nature.           Tel: +256-41-4334267
     previously owned for at least 12            d. Item should be in reasonable quantities.                  Tel: +256-41-4334268
     months) is granted under the 5th            e. Proof that person is bona-fide changing residence.        Email; prte@ura.go.ug
     Schedule Part B 5 (3) a, b & c.             f. Items must be imported into the country within three      Website:
                                                 months of your first arrival in the country.                 www.ugrevenue.com




                                                                                                                                  4
9.    Importation/Clearance of Plant and       In addition to requirements under (8), the beneficiary may    Customer Care Desk
      Machinery.                               also need to fulfil other conditions as under:                Kampala Customs
      Import duty remission to zero                                                                          Business Center (CBC)
      Exemption from withholding tax and       a. On importation, lodge an application for VAT               Uganda Revenue Authority
      the VAT may be deferrable for VAT        deferment on URA Form 230                                     Nakawa headquarters
      registered persons (see below).          b. For a new applicant, write formally to Assistant           Tel: +256-41-4334263
                                               Commissioner – Field Delivery (AC-FD)                         Tel: +256-41-4334267
                                               c. Importer should be VAT registered                          Tel: +256-41-4334268
                                               d. Importer should be filing returns and should attach last   Email; prte@ura.go.ug
                                               3 copies (if applicable).                                     Website:
                                               e. Importer should have a Certificate of Incorporation        www.ugrevenue.com
                                               f. Importer should have fulfilled all customs procedures.
                                               g. The customs verification account should be complete
                                               and original.
                                               h. Attach all required documents as explained above.
                                               i. The deferred VAT should be discharged after 30 days
                                               on Form 231 and a discharge note.
                                               j. If machinery is coming in parts, attach a copy of the
                                               assembly plan and schedule of importation
10.   VAT Deferred Payment Facility            Items deferrable are::                                        Customer Care Desk
                                                                                                             Kampala Customs
      This is a facility granted to VAT        a. Plant & Machinery and accessories of chapters 84 and       Business Center (CBC)
      registered taxpayers where by            85                                                            Uganda Revenue Authority
      payment of VAT at importation on                                                                       Nakawa headquarters
      specified imports is postponed to the    b. Green Houses and Cold Rooms of chapter 94                  Tel: +256-41-4334263
      future. URA then collects the VAT on                                                                   Tel: +256-41-4334267
      production of final goods, where         c. Specialized Vehicles of chapter 8070.5                     Tel: +256-41-4334268
      applicable                                                                                             Email; prte@ura.go.ug
                                               d. Generators of 75 KVA and above                             Website:
                                                                                                             www.ugrevenue.com

11    Export Procedures.                       a. A Single Administrative Document (SAD) is captured         Customer Care Desk
      Uganda‟s exports comprise of locally     by the exporter or his/her Agent at the DTI center, and       Kampala Customs
      produced/manufactured goods and the      registers the declaration.                                    Business Center (CBC)
      previously imported goods categorized                                                                  Uganda Revenue Authority
      as                                       b. The printed SAD together with the necessary export         Nakawa headquarters
      Bonded exports and Un-bonded             accompanying documents is presented to Customs                Tel: +256-41-4334263
      exports.                                 Verification Unit for confirmation of the export goods.       Tel: +256-41-4334267
                                                                                                             Tel: +256-41-4334268
      Four operational export regimes are      c. The Customs – endorsed SAD is then lodged at CBC           Email; prte@ura.go.ug
      used in the automated export system,     Exports Desk for document processing.                         Website:
      namely:                                                                                                www.ugrevenue.com
                 EX1 –Permanent Direct        Documents to attach:
                  Exports. These are mainly    a. Valid Export Certificate from Ministry of Trade,
                  local produce and attract    Tourism and Industry.
                  no taxes.                    b. Quality Certificate from relevant regulatory bodies i.e.
                 EX2 – Temporary Export/      UCDA, CDO, and UNBS.
                  Re-exports (not bonded).     c. Weighbridge slip/report.
                  Goods going out for repair   d. Certificate of origin from Uganda National Chamber of
                  or otherwise but coming      Commerce and Industry for exports destined for countries
                  back.                        outside COMESA.
                 EX3 – Permanent Re-          e. EUR.1 (movement certificate for goods destined for the
                  exports (not bonded).        EU issued by the Uganda Exports Promotion Board
                  These are normally           (UEPB).
                  personal effects.            f. International Coffee Organization (ICO) certificate of
                 EX8 – Bonded exports         origin from UCDA.
                  (CPC 8400)/ re-exports       g. Phytosanitary certificate from Ministry of Agriculture,
                  (CPC 8471). These are        Animal industry and Fisheries (MAAIF)
                  basically manufactured       h. Parking list/Tally sheet.
                  goods.                       i. Tax invoice.
                                               j. COMESA certificate of origin from UEPB for goods
      Export Incentives and Facilities.        destined to COMESA countries.
               Bonded Warehouse               k. Health certificate from MAAIF if exporting fish.           Export Promotion
                Facility                       l. Valid lint cotton export registration certificate from     Schemes
               Duty Draw Back Facility        CDO                                                           Uganda Revenue Authority
                                               m. Fumigation certificate.                                    Tel +256-414-334219
               Inward/Outward
                Processing                     n. Proof of payment of taxes(export levy) from the
               Export Processing Zones        bank in the case of hides and skins - $0.25 per kg.
                (planning).                    .



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12.   Application for Water Supply                Upon identification of an Industrial site for development,    The Managing Director
      a. Metered Charges (Charges per             the investor should:                                          National Water and
      Cubic meter)                                     Fill out form NCI and deliver it (preferably in         Sewerage Corporation
      a. Public standpipes 568/=                        person) to the respective area office (for upcountry    Plot 39 Jinja Road
      b. Residential         879/=                      offices) or to NW&SC 6th Street Industrial Area for     P.O. Box 7053
      c. Institutional/Government, 1082/=               Kampala.                                                KAMPALA
      Industrial/commercial, First 500m3 per           The Block-mapping section of the corporation offers     Tel: 256-41-
      month = 1,462/=                                   an updated site-plan                                    4257800/256596
      501-1500m3 per month, =1,462/=                   A file is opened and an account number allocated to     Fax: 256-41-4345531
      Over 1500m3 per month, =1,324/=                   the client                                              Email:
      d. Industrial/Commercial assessed at             An estimate of the cost of the required materials is    commercial@nwscug.org
      Ushs.1,462/m3                                     availed to the client to purchase on the open market    www.nwscug.org
                                                       The materials are inspected by NW&SC officials for
      Un-Metered Charges (Charges per                   suitability and an approval is signed
      Cubic meter)                                     The client pays connection fees proportionate with
      a. Public standpipes: 75m3,, = 42,600/=           the size of the desired pipe as given by the
      b. Institutional/Government,. Assessed            Corporation.
      at shs.1,082/m3
      c. Industrial/Commercial, Assessed at
      shs.1,462/m3

      NB: Other charges related to the pipes
      to used at premises
13.   Application for Electricity Supply          Once the installation is found to be in conformity with the   UMEME Head Office:
                                                  required standards, internal processing of the customer‟s     2nd floor, Rwenzori House
      Having finished construction of a           application will be effected. This includes but may not be    Plot 1 Lumumba Avenue,
      house, a prospective customer must          limited to: approval of the application, surveying, drawing   P.O.Box 23841,
      hire a competent wiring contractor,         sketch maps, and costing. Once the installation is found to   KAMPALA.
      licensed by Umeme to complete the           be in conformity with the required standards, internal        Tel: +256-31-2360600
      electrical wiring in the house. The         processing of the customer‟s application will be effected.    Fax: +256-41-4347949
      customer will receive a genuine             This includes but may not be limited to: approval of the      e-mail:
      Wiring Certificate. Then the                application, surveying, drawing sketch maps, and costing.     umeme@umeme.co.ug
      prospective customer approaches the                                                                       www.umeme.co.ug
      nearest Umeme office within his/her         After 12 working days, the customer will be informed to
      location for application with: Passport     come and pay for the service. Currently, the fee stands at
      size photograph; Wiring Certificate         Shs. 197, 000 (Capital Contribution) and Shs. 100,000
      and TIN number.                             (Security Deposit). Note. This is only for a No-Pole
                                                  Service. For One pole service, the amount is Shs. 323,200
      The installation inspector/surveyor         (Capital Contribution) and Shs. 100,000 (Security
      will visit the site to verify whether the   Deposit). An account number will be issued in respect of
      wiring conforms to the requirements         the payments.
      of the company. This will take about 3
      days.

      For usage, electricity charges currently
      range between Ushs. 140.1 – 233.1 for
      large industrial users during off-peak
      and peak respectively. For medium
      industrial users, the rates range from
      Ushs.282.6 – 430.6 respectively for
      off-peak and peak periods. For detail
      of the charges and other costs, please
      visit: www.era.or.ug/tariffs/php




                                                                                                                                    6
14.   Application for Work Permit                1. Special Passes                                              The Commissioner
      The UIA assists investors in obtaining     The Special Pass entitles the holder to stay in Uganda for     Department of Immigration
      work permits from the Directorate of       an initial period of three months, renewable for two more      Ministry of Internal Affairs
      Citizenship and Immigration.               months.                                                        Jinja Road
      Licensed investors are required to                                                                        P.O. Box 7165 Kampala,
      submit their work permit applications      Application Form 10A available, which is also available        Uganda
      through the UIA for faster and easier      at UIA free of charge, is filled out and submitted to the      Tel: 231641 or 231031
      processing.                                Immigration Department. A Special Pass is given within         www.immigration.co.ug
                                                 one day and a processing fee of US$ 50 is paid.
      Issuing Procedures                         Extensions are given for US$ 20. The investor may
      An investor submits the application        contact UIA in case of any difficulty. For fees see:
      with all the relevant documents to         www.immigration.co.ug
      UIA. At the UIA, the applications are
      evaluated and recommended by the           2. Entry (Work) Permits
      Executive Committee. The evaluation        The Work permit entitles the holder to stay in Uganda for
      process may require a visit to the         a period of between one- three years and this period may
      project site to access investment on the   be extended on the investor‟s request.
      ground and number of jobs (local and
      foreign) created. Upon approval by         For each of the above, the applicant is required to fill out
      UIA, the application for a work permit     Form 1, which is available from the Directorate for
      will go to the Immigration Office, who     Immigration. Each applicant (investor) is requested to
      in turn will grant final approval.         attach the following, on submitting to the UIA the
                                                 completed work permit application forms:
      Appeal/ Problem Cases                       Two passport size photographs;
      An applicant whose application is           A photocopy of the applicant‟s passport;
      rejected can appeal to the Minister of
      Internal Affairs. The appeal should be      A copy of UIA Investment Licence;
      done within a period of one month           A recommendation letter from UIA.
      from the date the applicant is informed
      about the rejection. Appeals are made      For potential expatriate employees, should submit the
      to the Minister for Internal Affairs and   following documents, in addition to the above listed:
      a US$ 500 non-refundable appeals.          Copies of academic certificates, Curriculum Vitae, and A
                                                 letter of appointment, letter of good conduct from one‟s
      For fees see: www.immigration.co.ug        home country. Application is done prior to the
                                                 prospective expatriate entering Uganda.




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15.      Approval of Building Plans by             After approval by the Council, the plans are stamped and       The Public Relations
         Kampala City Council (KCC)                one copy is availed to the developer                           Officer
                                                                                                                  Kampala City Council
        Stage 1: Submission and                    Stage 2: Construction Phase                                    City Hall, Room A112
        Approval of Plans                              The developer should give notice to the Chief Town        Tel: +256-41-231443
            Obtain four sets of submission             Planner, specifying the date and time of                  Fax: +256-41-231916
             forms from the Area Building               commencement. The information should be                   Tel. +256-772-695296
             Inspector of your respective               forwarded through the respective Area Building            Email:
             Division;                                  Inspector at the Divisional Headquarters. The             public.relations@kcc.go.ug
            Submit four sets of the duly               developer must obtain a job card from the Area
             filled forms to the Area Building          Building Inspector at the Division offices.               Nakawa Division
             Inspector at your divisional
             offices accompanied by : Four         Stage 3: Occupation Phase                                      Tel: +256-41-4222936
             sets of architectural drawings1;          On completion of construction, the developer/owner        Email: nakawa@kcc.co.ug
             and a sketch of the location plan          or his Architect shall duly complete applications
             drawn to scale of 1:2500                   forms applying for a certificate of occupation or         Central Division
            The submitted documents are                occupation permit.                                        Tel: 256-41-4230857
             distributed by the Area Building          Inspection fees – paid by the occupant                    Email : :
             Inspector to: Medical Officer of      The Principal Building Surveyor recommends to the              central@kcc.co.ug
             Health – for Public Health            Chief Town Planner to issue a written permit of
             requirements such as ventilation,     occupation.                                                    Kawempe Division
             sanitation etc.; Chief Town                                                                          Tel: 256-41-4566907
             Planner – for such as                 NB: other authorities may also follow similar paths            Email:
             accessibility, density of buildings                                                                  kawempe@kcc.co.ug
             and people, user activity in
             relation to zoning, plot coverage                                                                    Makindye Division
             and ratio, skyline, etc.; City                                                                       Tel: 256-41-4267840
             Engineer – for structural details                                                                    Email:
             especially in cases of storied                                                                       makindye@kcc.go.ug
             buildings; and Land Officer – for
             verification of title/ownership of                                                                   Rubaga Division
             land.                                                                                                Tel: 256-41-4271711
                                                                                                                  Email: rubaga@kcc.go.ug

16.      Land Acquisition                          Land acquisition/leasing is governed by the Registration       Uganda Investment
         Land use in Uganda is regulated by        of Titles Act. The seller or lessor must be in possession of   Authority
         the Town and Country Planning Act.        a Certificate of Title. A Certificate of Title in the names    Plot 28 Kampala Road
         Land use including changes to existing    of a party is sufficient proof of ownership of the land in     P.O.Box 7418 Kampala,
         land use must be in accordance with       question. Investors should, where applicable, insist on a      Uganda
         the approved outline scheme in respect    written consent from the spouse and children of the            Tel: +256-41-4301000
         of that area. Where the investor‟s land   owner/vendor prior to effecting a purchase. Where the          Fax: +256-41-4342903
         does not fall within the planning area,   children are minors, the Local Land Committee can give         E-mail:
         there are no limitations in changing      such consent. Leasehold land is normally available from        info@ugandainvest.com
         from one land use to another.             district, town or municipal council boards. The Buganda        Http://www.ugandainvest.c
                                                   Land Board is also another body with authority to lease        om
         The Land Act 1998 provides for 4          land. Steps to follow:
         types of land tenure systems; mailo,                                                                     Ministry of Lands,
         customary, freehold and leasehold.         1.   Identify land available by contacting landlord           Housing & Urban
         Leasehold tenure is the only land               (District Land Board, Municipality or individual         Development
         tenure available to foreign investors           with title).                                             Century House, Parliament
         and this consists of: -                    2.   Title Search – Establish if vendor or purported          Avenue
                                                         owner/landlord has a „clean or unencumbered‟ title.      Tel. +256-41-4342931
         A foreign investor can (subject to         3.   Complete land application form in the case of
         renewal) acquire a leasehold interest           buying land from an institutional landlord. (For         Uganda Land Commission
         in land for up to 99 years                      individual, go to step 4)                                Century House, Parliament
                                                    4.   Sale Agreement and Transfer – Upon approval of           Avenue
                                                         application, the landlord will issue a certificate of    Tel. +256-41-4342931
                                                         allocation, which is effected by payment. The
                                                         actual sale (transaction) should be evidenced by a       The Secretary
                                                         sales agreement between vendor and buyer along           Buganda Land Board
                                                         with an instrument of transfer, which enables the        P.O.Box 14205
                                                         buyer to have the registration on the title officially   Kampala, Uganda
                                                         changed into the buyer‟s names.                          Tel:+256-41-4344056
                                                                                                                  Fax: :+256-41-4344189

                                                                                                                  Other District/City/Town
                                                                                                                  Council Boards


1
    The developer (owner) should sign the plans. The plans or drawings should be printed clearly and intelligibly.



                                                                                                                                        8
17.   Application for banking licence            The Central Bank shall, within six months after receipt of      The Director
      (guided by the financial institutions      a complete application and in accordance with section 12        Commercial Banking
      Act 2003.                                  of the Act, investigate and prepare a detailed report in        Department
      A non-refundable application fee of        respect of each application. The Central Bank shall             Bank of Uganda (BOU)
      Uganda shillings one million for           inform the applicant, in writing, of its decision to grant or   Plot 37/43 Kampala Road
      banks, and Uganda shillings five           refuse to grant the licence. Where the Central Bank             Kampala, Uganda
      hundred thousand for non-bank              decides to grant a licence, it shall, in the notice             Telephone: 257240 or
      financial institutions shall accompany     communicating the decision require the applicant to             258441/9
      each application for a licence. Each       submit, within a period of two weeks, a certificate of          Fax: 258515
      application for a licence shall be         deposit in the name of the applicant indicating that it has     Email: info@bou.or.ug
      accompanied by the following               deposited or invested an amount not less than the required      Web site: www.bou.or.ug
      supporting documents:                      minimum paid-up capital.
      (a) an information sheet for the
      applicant and for each of its              Licence fees and other requirements
      substantial shareholders (if corporate),    An initial licence fee prescribed by notice of the Central
      subsidiaries or affiliates in the form     Bank shall become due and payable soon after
      set out in Schedule 2;                     notification of the decision to grant a licence and
      (b) a personal declaration form for        thereafter an annual fee prescribed from year to year by
      each of the proposed directors,            the Central Bank shall be payable on or before the 31st
      officers and substantial shareholders (    day of January each year in accordance with section 13 of
      if natural persons) in the form set out    the Act until the licence is revoked.
      in Schedule 3;
      (c) individual credit references for the             The minimum capital funds unimpaired by
      applicant and each of the substantial                 losses of a licensed bank shall, at any one
      shareholders, directors and officers                  time, not be less than Uganda shillings four
      from his or her bankers;                              billion.
      (d) proposed capital structure of the                The minimum capital funds unimpaired by
      financial institution;                                losses of a licensed non-bank financial
      (e) a business plan and financial                     institution shall at any one time not be less
      projections for at least three years
                                                            than Uganda shillings one billion an
      (including the assumptions underlying
      the projections and a sensitivity                     individual or body corporate owned or
      analysis of the plan on varying                       controlled by one individual other than a
      assumptions);                                         reputable financial institution or a reputable
      (f) the Certificate of Incorporation;                 public company approved by the Central Bank
      and the Memorandum and Articles of
      association.

      Upon receipt of an application form
      together with the requisite application
      fee and supporting documents in
      accordance with regulations 11 and
      12, the Supervision Function of the
      Central Bank shall, within ten days,
      send the applicant a formal letter of
      acknowledgement or a letter of
      deficiency in accordance with sub
      regulations (2) or (3), as the case may
      be.




                                                                                                                                    9
18.    Application for a Mining Licence          Types on mineral rights - for the purpose of carrying           The Commissioner
                                                 out prospecting, exploration and mining, the law provides       Geological Survey &
       In order to operationalize the Mineral    for a number of licences namely:                                Mines Department
       Policy, a new legislation, Mining Act,                                                                    P.O. Box 9 Entebbe,
       2003 was enacted and appropriate          Prospecting Licence - the licence is granted to the holder      Uganda
       regulations were gazetted thereby         to prospect for minerals around the country and the             Telephone: 256-41-
       replacing the Act of 1964 which was       licence is non-exclusive. It is granted for one year and is     4320118/4320656;
       out-dated in many respects. The           not renewable.                                                  4320559
       provisions in the new Act conform to                                                                      Fax: 256-41-4320364
       the contemporary industry conditions      Exploration Licence - the licence area is to a maximum          Emails:
       and practices. They include:              of 500 sq. km and duration of 3 years, renewable for two        minerals@infocom.co.ug;
                                                 terms of 2 years each. On each renewal, half the area is        gsurvey@starcom.co.ug
       Ownership of Minerals - this is           relinquished.                                                   www.energyandminerals.g
       vested in Government and their                                                                            o.ug
       exploration and exploitation require      Retention Licence - the licence is a new feature in the
       authority from Government.                law. It is granted to the holder of an exploration licence in
                                                 cases when the identified mineral deposit can not be
       Royalties - All minerals obtained         exploited due to economic reasons. Its duration is 3 years,
       from any mineral right are subjected      renewable once for 2 years.
       to royalty payment for example:
       precious stones - 5% of the gross         Mining Lease - the licence is for mining operations and is
       value, precious metals - 3% of the        granted for 21 years and is renewable for 15 years.
       gross value, base metals and ores - 3%
       of the gross value, and industrial        Location Licence – the licence is for mining operations of
       minerals vary from 500 to 3000            a smaller investment where expenditure to achieve
       Uganda shillings per tonne.               production will not exceed 500 currency points (a
                                                 currency point is worth 20,000 Uganda shillings). It is
                                                 granted to citizens of Uganda or in case of corporate, only
       Adequate Compensation - the law           where citizens of Uganda hold at least 51% of ownership.
       provides for fair compensation upon       Its duration is 2 years, renewable for other terms of 2
       disturbance of surface rights of          years each.
       landowner or lawful occupier.

       Mineral Agreements – the law
       provides the investor and government
       sign agreements relating to operations
       in order to stabilize legal, social and
       economic obligations of either party.
19.    Application for Communication             Here are the guidelines on application requirements and         The Executive Director
       Licences                                  processing procedure for service and infrastructure             Uganda Communications
                                                 licences under the new licensing regime. The licences are:      Commission (UCC)
       Following Ministerial policy                                                                              12th floor
       guidelines of May 11th 2006 and of        a.. Public Service Provider (PSP)                               Communications House
       20th October 2006, the Uganda             Under this, there are two types of licences available:-         Plot 1 Colville Street
       Communications Commission has             Public Voice and Data licence; and Capacity Resale              P.O.Box 7376, Kampala
       developed a new Telecommunications        licence                                                         Uganda
       Licensing Regime. The new regime is       b. 2. Public Infrastructure Provider Licence (PIP)              Tel. +256-312-339000 ; or
       based on a distinction between            This licence permits the holder to establish, operate and       +256-41-4339000
       Infrastructure Provision and Service      maintain infrastructure for the provision of                    Fax: 256-41-4348832
       Provision. According to the               communication services (if they are a PSP licence holder)       Email: ucc@ucc.co.ug
       Ministerial Guidelines, infrastructure    and/or offering it commercially for use to PSPs                 www.ucc.co.ug
       is interpreted to mean plant,             c. 3. General Licence
       equipment and systems associated          This category of licensees does not pay licence fees but
       with transmission, reception and          registers with UCC and subsequently receives a
       switching of telecommunications           Certificate endorsing their operations in the sector. Under
       (electronic) signals. A                   this category today, we have public pay communications
       telecommunications service is taken to    networks (payphone kiosks, fax bureau and internet/cyber
       be the relaying of messages of any        cafés).
       form (voice or data) over
       communication infrastructure between
       a sender and a receiver
       Costs:
       Application fee =$2,5000
       Fees: One-time Entry Fee2 = $100,000
       Annual Licence fee = $10,000
       Levy of 1% on Gross Annual Revenue


2
 Applicants intending to use wireless infrastructure exclusively in the ISM (Industrial, Scientific and Medical) bands (2.4GHz and
5.8GHz) instead pay US $2,000 as their one time entry fee and are exempted from paying annual licence fees



                                                                                                                                     10
20.   Application for a Drug License             Application Process.         The application process is        The Executive Secretary/
      The manufacture, importation,              essentially the same for the three classifications of retail   Registrar
      prescription and sale of drugs in          pharmacy, wholesale pharmacy, and pharmaceutical               National Drug Authority
      Uganda are governed by the National        manufacturer. Initially, the prospective investor should       Plot    46/48   Lumumba
      Drug Authority. The NDA classifies         present his plans to NDA in a letter. The contents of this     Avenue
      drugs; maintains a register of drugs;      letter are not prescribed, and are not expected to be          P.O. Box 23096
      licenses Retail Pharmacies, Wholesale      detailed, but should indicate the type of activity and         Kampala, Uganda
      Pharmacies, and Pharmaceutical             prospective products. The NDA will then issue a letter in      Tel. 256-41-347391/2
      Manufacturers; and licenses the            support of the project to UIA, in the event that the           Fax: 256-41-255758
      importation of drugs.                      investor is seeking an investment license or incentives.       Email: ndaug@nda.or.ug
                                                 UIA will require this letter from NDA prior to issuing an      Web site: www.nda.or.ug
      Operational Requirements.                  investment license.
      Importers of pharmaceuticals must
      apply for an annual license, as well as    The next step is to submit the “Application for a
      submit each shipment for a specific        Certificate of Suitability of Premises for Operating a
      license. Normally, the importer is also    Wholesale Pharmacy” (or Retail Pharmacy or
      a registered Pharmacy (or                  Pharmaceutical Manufacturing) to the NDA on the
      manufacturer), although it is possible     prescribed form. The application must be accompanied
      for exceptions to be made. There           by a detailed set of plans for the premises, and the
      must be a supervising registered           application fee. The NDA evaluates the plans according
      Pharmacist associated with the firm,       to criteria detailed in the Regulations, as shown under the
      as with the general licensing process.     model inspection report. Upon approval, the Authority
      Applicants must fill out the form          issues a Certificate of Suitability of Premises. Prior to
      “Application for an Annual                 operation, businesses in the sector must obtain an
      Importation Licence for                    operating license from the NDA. Firms must submit the
      Pharmaceuticals.                           “Application for a Licence to Operate a Wholesale
                                                 Pharmacy” (or retail pharmacy or pharmaceutical
      In addition to the annual license,         manufacturing operation). The Certificate of Suitability
      which authorizes the firm to import, a     of Premises must accompany this form, along with the
      Verification Certificate is required for   license fee. This form must indicate that there is a
      each consignment. Importers (and           registered pharmacist associated with the project, either as
      exporters) must list the contents of the   a partner or director, and operationally in a supervisory
      shipment on the “Application for           position. The application must also include an attestation
      Verification Certificate to                from the registered pharmacist. Upon approval, the NDA
      Import/Export, and submit it to the        issues the “Licence to Operate a Wholesale Pharmacy”
      NDA along with the commercial              (or retail pharmacy or pharmaceutical manufacturing
      invoice for approval. The NDA will         operation). Firms conducting more than one type of
      then issue its Verification Certificate    business, i.e. wholesale and retail, must apply for both
      to the Importer.                           types of certificates and licenses.

      Fees: Fees for Small-scale                 For detailed guidelines for registration please visit:
      manufacturers -= USHS.620,000 and          http://www.nda.or.ug/guidlines.php
      for large-scale manufacturers –
      Ushs.1,130,000. Other fees, please see
      http://www.nda.or.ug/fees.php
21.   Application for National Social            This is a compulsory saving Scheme, which covers all           NSSF
      Security Fund                              employees in the private sector, including non                 Workers House, Ground
      The National Social Security Fund          governmental organizations and parastatal bodies that are      Floor, Plot 1 Pilkington Rd
      (NSSF) is governed by the revised          not covered by the government Pension scheme. It is            P.O. Box 7140m,
      National Social Security Fund Cap          mandatory that every employer observes the following           Kampala- Uganda
      222 revised Laws of Uganda 2000            under the Act: - to register the organization with NSSF        Tel: +256-41-4330755
      where currently employer contributes       when the employer has 5 or more employees; - to register       Fax: 256-41-4258646
      10% of gross pay and employee 5%           all his employees between the age of 16-55 years as            customerservice@nssfug.or
      but all remitted by the employer           members on the Fund. The procedure takes from 1 to 7           g
      monthly.                                   days and is free of cost.                                      www.nssfug.org

       For further detail regarding the registration procedures and other requirements, please contact:
                                                  Uganda Investment Authority
                                                    Plot 22B Lumumba Avenue
                                                  P.O.Box 7418 Kampala, Uganda
                                                       Tel: +256-41-4301000
                                                      Fax: +256-41-4342903
                                                  E-mail: info@ugandainvest.com
                                                   Http://www.ugandainvest.com




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