CIPC CLEAN-UP: COULD YOUR COMPANY VANISH ON PAPER?

In 2025, many South African companies aren’t closing due to financial failure—they’re quietly being deregistered by the Companies and Intellectual Property Commission (CIPC) for non-compliance.

CIPC runs an automated process targeting companies that miss filing their annual returns and beneficial ownership (BO) declarations. Missing these deadlines places companies “in deregistration,” which can lead to final deregistration—a status where a company legally ceases to exist.

Final deregistration has serious consequences: frozen bank accounts, stalled business deals, and potential personal liability for directors. Beneficial ownership rules now require companies to declare real human owners controlling or benefiting from the business. No BO declaration means no annual return filing.

Despite the risk, companies “in deregistration” can still trade—final deregistration is the real cutoff point. Luckily, there are reinstatement routes via CIPC or the courts, but these require evidence of business activity or property ownership and must be applied electronically since August 2025.

To avoid this legal trap, companies must appoint someone responsible for monitoring their CIPC and BizPortal compliance, filing annual returns and BO updates on time, and checking company status regularly, especially before entering deals.

Ultimately, CIPC’s deregistration regime is about transparency and survival. Keeping your filings up to date keeps your company alive in law and protects your directors. Ignoring this risks your company disappearing silently from the register.

Disclaimer: The purpose of this article is to provide general information and highlight potential risks. It is not a substitute for legal, compliance or accounting advice for your company. We recommend consulting with a suitably qualified professional for advice tailored to your specific circumstances.