Before registering a business in Rwanda, it’s essential to understand the types of companies eligible for registration. Here are the main company types available:

Company Limited by Shares:
In this type of company, member liability is limited to their shareholding. If the company is liquidated, members are responsible only for any unpaid portion of their shares.

Company Limited by Guarantee:
This structure limits member liability to the amount they pledged to contribute if the company winds up. This type is often chosen by non-profit organizations.

Company Limited by Shares and Guarantee:
This company combines aspects of both shares-based and guarantee-based structures. It has shareholders with liability limited to their shares and members who have pledged specific contributions in the event of liquidation.

Unlimited Company:
Members of an unlimited company have no liability limit. If the company is liquidated, they are fully liable for the company’s debts and liabilities.

Protected Cell Company:
This company type allows the separation of assets and liabilities into individual “cells,” each functioning as a distinct legal entity. It’s commonly used in the insurance sector, enabling each cell to underwrite specific risks.