Anyone can start up a business. Registration at the city council is not necessary, except in certain circumstances. One can trade as a sole proprietor, or form a trading entity i.e. private company.
Only if your business turnover exceeds R1 000 000 per annum, registration is compulsory. One may register on a voluntary basis if turnover is less than R1 000 000.
Apart from income tax, and depending on your business, one should register for:
UIF – (Unemployment insurance fund)
PAYE – (Employees tax)
WCA – (Workmen’s compensation)
SDL – (Skills development levy)
Anyone who is in business to lose money should rather do nothing and sit at home. To pay tax, means that you made money. To grow your business, one needs money. Rather make it your goal to be profitable from day one.