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Legal Reform & Business Registry Reform
Presentation at ECRF/CRF 2016 Conference
at City Hall
Cardiff, United Kingdom
Kwesiga Arthur,
Uganda Registration Services Bureau
Tuesday 10 May 2016
Uganda
Government Agency mandated for;
1.Business Registration– companies and business
names, partnerships, documents, debentures and
chattels.
2.Official Receiver in liquidation of companies and
bankruptcy matters.
•Intellectual Property Rights –registration of
Patents, Utility models, Industrial designs,
Trademarks, Service marks and Copyright and
Neighboring Rights.
•Civil Registration- Marriages and Registration of
Marriages conducted in Uganda
•Collect Non Tax Revenue (NTR)
Prior to the reforms in Uganda
• Process and time to register a business was
unpredictable (7-31 days).
• Registration was lengthy and costly and
required assistance of an Attorney
• Registration required a lot of documentation
• No linkages with other agencies i.e Tax body,
banks etc.
• Registration was only at one location i.e Head
office with no online services
• Large informal sector
• Required a lot of movements within the
offices to complete a service
Administrative bottlenecks
Legal bottlenecks
•Registration Agency was not autonomous
•legal framework was outdated
• No single member company
• Not harmonized with regional laws
• Did not Incorporate the principles of
Corporate Governance
• Business of companies was limited to stated
objectives (ultra vires rule)
• Minimum age for directors was 21 and
maximum was 70 years
• Limited powers to the registrar
• No provision for electronic filing
REFORM PROCESS
• Focused on experience of clients
• Make or become different and simplify
• Move from the present to a future desired state
• Identify Content
• What will change and why
• Process
• How will the change be accomplished
• The human side
• How will people deal with the change
• To shift the paradigm
• Streamline bureaucratic procedures
• Standardization: removing the “oral tradition”
• Retain only the necessary procedures, merge others and
removal of redundant ones
• One point access for customer and data entry
• The touch once principal and shared services
• Automatic data exchange between relevant
Agencies
• Better user experience where the whole procedure
of registration is conducted at a single point
• One stop centre concept
• Legal reform to enable best practices e.g online
What needed to be done
Challenges during the reform process
• Sabotage by middle men
• Change management e.g shift from manual
to electronic
• Real and perceived institutionalized
corruption
• Creating visible short-term wins
• Lack of common standards for service with
multiple agencies
• Lengthy process of amending business
licensing laws
• Ambiguous organizational structure
Reform Process
Load Balancing: Simple Flow
Before
After
File Re-0rganisation Before
After
One-Stop-Shop: Business Registration Conveyor Belt
Get Business
Name Reservation Name Reservation
Process After reforms
Legal Reforms
• Company law is updated and caters for
• Provision for online filing
• Single member Company and Regulations
therein
• Harmonized with Regional Company Laws
• Focus on Corporate Governance
• There is no limitation to the objectives
clause
• A company not allowed to give financial
assistance to any person or its subsidiary
• Minimum age for directors reduced to 18
years
• Generally more powers to the registrar
• URSB is an autonomous agency
After Reforms
• Takes 1-2 days to register a business
• Process is simplified and does not necessarily
require the services of Attorney/Advocate
• Single registration form to reduce
documentation (developed SME standard)
• Combined process for formalization
(registration, tax authority and local
authorities)
After Reforms
• Established online services
• Established regional offices to bring services
closer to the people in the rural areas
• Streamlined structure
• Zero tolerance to corruption
• Gained Public trust
• Attracted more Development Partners
• Professionalised and motivated staff
Success factors during reform
• Inter agency cooperation
• MoU’s
• steering mechanism (governance and
coordination structure)
• Unified standard for process, workflows,
and customer service,
• single registration form, silence means
consent, call center
• Capacity building to specialist staff in
licensing agencies
• Joint marketing and communications
strategy
• Increased online services
The future registry services
• Increased use of unique ID to identify a
business in all systems
• Use of electronic signatures to eliminate
physical movement of documents e.g.
certificates
• Electronic payment for business registration
to support online application
• Establishing help desk function to assist
online applicants
• Full online application for registration
• Adoption of best practices from other
countries
Scanning
Accessing the files
electronically
The Future : EDMS
I.D.
(National)
Business
Registration
(URSB)
Taxes
(URA)
Ideal
Solution
Other
Government
partners
The Future : Full Integrated Solution
END
Thank you
Kwesiga Arthur
Uganda Registration
Services Bureau

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Uganda Registration Services Bureau

  • 1. Legal Reform & Business Registry Reform Presentation at ECRF/CRF 2016 Conference at City Hall Cardiff, United Kingdom Kwesiga Arthur, Uganda Registration Services Bureau Tuesday 10 May 2016
  • 3. Government Agency mandated for; 1.Business Registration– companies and business names, partnerships, documents, debentures and chattels. 2.Official Receiver in liquidation of companies and bankruptcy matters. •Intellectual Property Rights –registration of Patents, Utility models, Industrial designs, Trademarks, Service marks and Copyright and Neighboring Rights. •Civil Registration- Marriages and Registration of Marriages conducted in Uganda •Collect Non Tax Revenue (NTR)
  • 4. Prior to the reforms in Uganda • Process and time to register a business was unpredictable (7-31 days). • Registration was lengthy and costly and required assistance of an Attorney • Registration required a lot of documentation • No linkages with other agencies i.e Tax body, banks etc. • Registration was only at one location i.e Head office with no online services • Large informal sector • Required a lot of movements within the offices to complete a service Administrative bottlenecks
  • 5. Legal bottlenecks •Registration Agency was not autonomous •legal framework was outdated • No single member company • Not harmonized with regional laws • Did not Incorporate the principles of Corporate Governance • Business of companies was limited to stated objectives (ultra vires rule) • Minimum age for directors was 21 and maximum was 70 years • Limited powers to the registrar • No provision for electronic filing
  • 6. REFORM PROCESS • Focused on experience of clients • Make or become different and simplify • Move from the present to a future desired state • Identify Content • What will change and why • Process • How will the change be accomplished • The human side • How will people deal with the change • To shift the paradigm
  • 7. • Streamline bureaucratic procedures • Standardization: removing the “oral tradition” • Retain only the necessary procedures, merge others and removal of redundant ones • One point access for customer and data entry • The touch once principal and shared services • Automatic data exchange between relevant Agencies • Better user experience where the whole procedure of registration is conducted at a single point • One stop centre concept • Legal reform to enable best practices e.g online What needed to be done
  • 8. Challenges during the reform process • Sabotage by middle men • Change management e.g shift from manual to electronic • Real and perceived institutionalized corruption • Creating visible short-term wins • Lack of common standards for service with multiple agencies • Lengthy process of amending business licensing laws • Ambiguous organizational structure
  • 10. Load Balancing: Simple Flow Before After
  • 12. One-Stop-Shop: Business Registration Conveyor Belt Get Business Name Reservation Name Reservation Process After reforms
  • 13. Legal Reforms • Company law is updated and caters for • Provision for online filing • Single member Company and Regulations therein • Harmonized with Regional Company Laws • Focus on Corporate Governance • There is no limitation to the objectives clause • A company not allowed to give financial assistance to any person or its subsidiary • Minimum age for directors reduced to 18 years • Generally more powers to the registrar • URSB is an autonomous agency
  • 14. After Reforms • Takes 1-2 days to register a business • Process is simplified and does not necessarily require the services of Attorney/Advocate • Single registration form to reduce documentation (developed SME standard) • Combined process for formalization (registration, tax authority and local authorities)
  • 15. After Reforms • Established online services • Established regional offices to bring services closer to the people in the rural areas • Streamlined structure • Zero tolerance to corruption • Gained Public trust • Attracted more Development Partners • Professionalised and motivated staff
  • 16. Success factors during reform • Inter agency cooperation • MoU’s • steering mechanism (governance and coordination structure) • Unified standard for process, workflows, and customer service, • single registration form, silence means consent, call center • Capacity building to specialist staff in licensing agencies • Joint marketing and communications strategy • Increased online services
  • 17. The future registry services • Increased use of unique ID to identify a business in all systems • Use of electronic signatures to eliminate physical movement of documents e.g. certificates • Electronic payment for business registration to support online application • Establishing help desk function to assist online applicants • Full online application for registration • Adoption of best practices from other countries
  • 20. END Thank you Kwesiga Arthur Uganda Registration Services Bureau