Category: Business Client Services
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Introduction Under Kenyan law, when terminating an employee, an employer must have both a valid reason for the termination and follow the fair disciplinary procedure set under the Employment Act. This helps prevent legal disputes for unlawful or unfair termination. A termination that appears commercially reasonable may still be declared unfair or unlawful if procedural…
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Introduction Most partnership disputes do not begin when the disagreement happens. They begin much earlier, when the founders start a business based on trust, assumptions, friendship, or verbal understandings, without properly documenting them. At the beginning, this usually feels harmless as everyone is aligned and the business is small. No one expects conflict. When things…
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A company can spend years building value, only for everything to unravel when one of the partners wants to exit. Exits are not always voluntary. Therefore, it is important to have a solid mechanism that protects both minority and majority shareholders in the event of a forced exit. This is what drag-along and tag-along clauses…
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After the difficult hurdle of developing our business idea, you can convince a spouse, friend, relative, an investor or other type of business partner to invest in your idea based on trust. The classic “we will figure things out as we go.” The company is registered, shares are issued, roles are assumed, and operations begin.…
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In Kenya, compliance with Data protection laws requires more than a privacy policy. Under the Data Protection Act 2019, organisations must implement structured governance frameworks to manage regulatory exposure, cross-border data risk, and commercial liability. This guide explains how businesses can build defensible data protection systems aligned with statutory and investor expectations. Data Protection Is…
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AI governance is becoming essential for Kenyan businesses adopting artificial intelligence tools into their operations. This guide explains the legal risks, compliance obligations under the Data Protection Act 2019, and the AI governance structures organisations must implement to limit regulatory and commercial exposure. Many Kenyan businesses are already using artificial intelligence (AI) tools across core…
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In Kenya, the Employment Act sets the minimum terms and conditions of employment and recognises different types of contracts. Each type of contract has different implications on an employee’s rights to benefits, notice, termination, and job security. Every employee is entitled to a contract of employment as a matter of right. It is therefore vital…
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Share transfers in Kenya are a critical part of managing company ownership and investment. Whether you’re bringing in a new investor, exiting the business, transferring shares to family, or restructuring your company, knowing how to transfer shares legally and efficiently is essential. Many business owners underestimate the importance of following due process—until they’re stuck trying…
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A Private Limited Company is the preferred business structure for many entrepreneurs starting or restructuring a business in Kenya. Investors and credit providers also prefer it. This guide includes everything you need to know about Private Limited Companies in Kenya. What Is a Private Limited Company? A Private Limited Company (abbreviated “LTD”) is a company…
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Is a General Partnership Right for You? If you’re starting a business in Kenya and you have one or more partners, a general partnership might be a simple and affordable way to get going. Similar to a sole proprietorship but making it possible to have partners, a general partnership is a suitable business structure for…
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Introduction In Kenya, a Limited Liability Partnership is an excellent business structure for professionals and small businesses looking to grow while managing risk. An LLP combines the flexibility of a partnership with the liability protection of a company. This article breaks down everything you need to know about Limited Liability Partnerships in Kenya. What Is…
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In Kenya, a sole proprietorship is the easiest and most affordable business structure to set up. Starting a business is, by itself, overwhelming, so it helps that you can simply start and change the structure as the business grows. Sole proprietorships are the perfect structure for individual entrepreneurs who want to formalise their business, open…