Options for registering companies in Senegal
Senegal is a West African country operating under the OHADA legal framework, which standardises corporate law across member states. The jurisdiction provides a structured regulatory system for business formation and foreign investment.
Business entities are incorporated under OHADA company law and registered with national authorities. Foreign investors may establish and operate entities subject to local licensing, compliance and tax obligations.
Senegal offers international investors the following legal structures for establishing a local presence:
Limited liability company (Société à responsabilité limitée - SARL)
- A limited liability company is an incorporated entity with separate legal personality, where shareholder liability is limited to the value of subscribed contributions. Personal assets are not exposed to company liabilities.
- This structure supports commercial activities across trading and service sectors and provides a locally incorporated vehicle for revenue-generating operations. It allows contracting, invoicing and asset ownership.
- No statutory minimum capital is required, although XOF 100,000 is commonly recommended to support operational requirements. The subscribed capital is defined in the company's incorporation documents.
- Corporate income tax applies at 30% on taxable profits derived from Senegalese activities, in line with national tax rules applicable to resident companies. Annual tax filings and accounting obligations apply.
- This structure does not require resident management and allows foreign ownership, but it must maintain formal incorporation and compliance. It is not intended for informal or unregistered activities.
Branch (Succursale)
- A branch is an extension of a foreign company and does not have separate legal personality, meaning obligations and liabilities attach directly to the parent entity. It operates as a permanent establishment.
- This structure enables foreign companies to conduct business activities directly in Senegal under the control of the parent company. It is often used for project-based or operational activity.
- No minimum share capital is required, as funding is provided directly by the foreign parent through operational allocations. The level of capitalisation depends on business activity and operational scale.
- Corporate income tax applies at 30% on profits attributable to the branch's Senegal operations, in accordance with territorial taxation rules. Local reporting and tax registration obligations apply.
- This structure requires a resident branch representative and does not provide liability separation from the parent company. It is unsuitable where risk isolation or independent legal status is required.
Representative office (Bureau de représentation)
- A representative office is not a legal entity and does not have separate legal personality, operating as a liaison structure under the authority of a foreign parent company. It has no independent liability framework.
- This structure is limited to non-commercial activities such as market research, coordination and promotion and cannot engage in revenue-generating operations. It supports preparatory business presence only.
- No minimum capital requirement applies, as the representative office is funded directly by the parent company for administrative and liaison functions. No capital is registered for trading purposes.
- Corporate income tax does not apply, as the representative office is not permitted to trade or generate income in Senegal. Any commercial activity requires conversion to a taxable entity.
- This structure requires local representation and oversight and cannot enter contracts or issue invoices. It is not suitable for operational business or direct market participation.
Free zone company (Entreprise franche d'exportation - EFE)
- A free zone company operates under a special regime for export-oriented activities, within a regulated framework designed to support investment and industrial growth. Eligibility depends on meeting defined criteria.
- This structure supports export-focused operations and sectors with significant external revenue generation, aligning with national investment policies. Activities must comply with free zone conditions.
- No minimum capital is required, although XOF 1 million is typically recommended depending on project scale and operational commitments. Capitalisation is aligned with approval requirements.
- Corporate income tax applies at 15% subject to meeting eligibility conditions, including export thresholds and regulatory approval under applicable regimes. Preferential treatment depends on compliance.
- This structure does not require resident management but is subject to approval and compliance with export and regulatory conditions. It is not intended for unrestricted domestic market activities.
To help you choose the right structure, we have created an 'at a glance' summary table for the common company types that outlines key differences in formation processes, requirements and timelines. It serves as a valuable resource for foreign companies looking to set up or expand a business in Senegal.
Comparison of the common types of companies in Senegal
Information verified against APIX Senegal
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