Enhancing Ghana’s Business Environment: The Role of the Office of the Registrar of Companies (ORC)

By Isaac Aidoo, Accra

In an ongoing effort to foster compliance and broaden understanding of its role, the Office of the Registrar of Companies (ORC) in Ghana is actively educating the public and the business community about the importance of registering businesses and submitting annual returns.

The ORC has launched a comprehensive campaign from its central location in the business district of Accra, Ghana’s capital, underscoring its dedication to its mandate.

A visit to the ORC’s office clearly demonstrates its commitment to creating a conducive business environment by providing high-quality registration services and regulatory guidance to foster business growth and national development.

The walls of the ORC are adorned with informative and engaging notices, such as ‘We do not register companies under trees’ and ‘Complete your forms inside,’ aimed at eliminating unofficial intermediaries, known locally as ‘goro boys.’

Nationwide inspection campaign

The ORC has initiated a nationwide inspection campaign to assist businesses in aligning with legal requirements through proper registration and documentation.
Mr. Nicholas Ofori Obeng-Twum, Public Relations Officer at the ORC, explains that the campaign is not intended to antagonize businesses but to ensure they are in good standing with the law by requiring the annual filing of returns.

“For all companies including those that may be a going concern, the ORC demands that returns are filed annually without fail and it is during the filling process that reveals whether or not one company or another is still in business,” Mr Obeng-Twum said.

The campaign is a permanent exercise to be carried out at specific periods by company inspector as a function of the Office.

Companies are required by Law (Companies Act 2019, Act 992) to keep books of  shareholders and Directors of the company; beneficial owners of the company; display of registration certificate at a visible location at the reception or point of entry at the office; registration documents and other documents relating to the business.

Awareness campaign

As a newly established entity separate from the Registrar General’s Department, the ORC is committed to increasing awareness of its functions, services, and identity.

This campaign aims to educate the public on the ORC’s distinct role, following its separation under Act 992, and to highlight how it supports business registrations and related issues.

By reaching out directly to stakeholders through innovative approaches, the campaign endeavours to foster a culture of business accountability and legal adherence, ultimately contributing to the country’s economic growth and stability.

Many do not know about the need to register their businesses or even file their annual returns.

That, madam Banini notes had informed the ORC’s initiative to step out from their offices from time to time to directly engage the business community about the significance of registering one’s businesses and also fulfilling their annual filing obligations. 

The painful truth is that many people have lost huge contracts due to lack of business registration documents.

Leveraging technology for better service delivery

In an era of digital transformation, the ORC has significantly invested in the automation of its services to enhance customer experience.

According to Madam Yayra Adzo Banini, Deputy Head of Company Inspectorate, the ORC’s website now offers multiple levels of interaction, from free searches to transactional services, facilitating online company registrations and operations.

Hitherto, manual processes were the order of the day at the Registrar Generals Department.

Madam Banini maintains that the ORC had no choice but to evolve in tandem with the world of technology or “die.”

 Not oblivious of the role technology plays in business, the RGD between 2004 and 2011 computerised its processes which saw the system generate numbers for clients as obtains in many financial institutions.

The ORC has since updated its systems from one lever to another for increased efficiency.

Premium service

Recognizing customer demand for expedited services, the ORC has introduced premium service options to combat the slower, unofficial alternatives provided by ‘goro boys.’

The ‘Prestige Center’ was established to provide fast-track services to clients. Businesses are thus able to complete registration formalities or whatever services they need done within hours of logging on.

Undoubtedly, this initiative reflects the ORC’s commitment to service excellence and customer satisfaction.

Legal foundation and strategic impact of the ORC

Established by Section 351 of the Companies Act 2019 (Act 992), the ORC serves as an autonomous public institution responsible for the registration and regulation of all business entities in Ghana.

Its creation marks a significant departure from the interim functions performed by the Registrar-General’s Department since 1963 and represents a strategic enhancement in the regulation and supervision of company activities in Ghana.

ORC’s broader mandate

The ORC is charged with the registration and regulation of various business entities under multiple acts, including the Companies Act 2019 (Act 992) and the Partnership Act 1962 (Act 152).

It plays a crucial role in public education on business operations, ensuring compliance, and fostering a transparent business environment conducive to economic planning and development.

To promote transparency and provide a level playing field for the business community in Ghana, the ORC has been pushing that  businesses disclose their beneficial owners in line with the Companies Act, 2019 (Act 992). Companies are required to provide information on beneficial owners during the incorporation of a business.

A beneficial owner is an individual (a natural person and not a company) who directly or indirectly, ultimately owns or exercises substantial control over a person, company or economic interest.

During incorporation of businesses, companies have within 28 days to make amendments on their beneficial owners.

Companies may also provide information on beneficial owners when filing annual returns and as an update to the Office of the Registrar.

Furthermore, Companies Limited by Shares, Companies Limited by Guarantee, Unlimited Liability Companies, and External Companies are also mandated by the law to submit information of beneficial ownership to the Registrar.

These ongoing initiatives and structural enhancements by the ORC significantly contribute to improving Ghana’s business climate, demonstrating its vital role in promoting sound corporate governance and economic growth.