NAIROBI, Kenya — Thousands of jobs could be affected if dozens of companies targeted for deregistration by the government are found to still be operational, after the Registrar of Companies initiated the process of striking 94 firms from the official register.
In a notice published on July 3, 2026, Deputy Registrar of Companies Hiram Gachugi announced that the affected firms risk removal from the register within three months unless they provide reasons why they should remain incorporated.
The move forms part of an ongoing compliance exercise under the Companies Act, 2015, which requires registered companies to meet statutory obligations such as filing annual returns and maintaining up-to-date corporate records.
“Pursuant to the Companies Act, the Registrar of Companies gives notice that the names of the companies specified hereunder shall be struck off from the register of companies,” the notice states.
“The companies shall be struck off the registry at the expiry of three months from the date of publication of this notice unless cause is shown to the contrary.”
Companies span multiple sectors
The firms earmarked for deregistration operate across a broad range of sectors, including:
- Information technology and software development
- Construction and engineering
- Healthcare services
- Transport and logistics
- Manufacturing
- Real estate
- Hospitality and tourism
- Agriculture
- Consultancy services
- Media and communications
- Renewable energy
- Education and training
Some of the companies are registered in major urban centres, raising concerns about the potential impact on workers, suppliers and creditors if any remain active.
However, the government has not indicated how many of the 94 firms are currently operational, dormant or already defunct.
What does “striking off” mean?
Under Kenyan company law, striking off is an administrative process used to remove companies that appear inactive or non-compliant.
A company may be targeted for removal if it:
- Fails to file annual returns for an extended period;
- Does not maintain required statutory records;
- Ceases business operations;
- Applies voluntarily for dissolution; or
- Is deemed inactive by the Registrar.
Legal experts note that companies scheduled for striking off are often dormant entities that have not complied with filing requirements rather than active businesses employing large workforces.
Once struck off, a company ceases to exist as a legal entity and can no longer conduct business, enter contracts or hold assets in its corporate name.
Three-month window for objections
The Registrar has provided a three-month period during which shareholders, employees, creditors and other interested parties may object to the proposed deregistration.
Any person with evidence that a company remains active or has outstanding legal, financial or contractual obligations may submit representations to the Registrar before the deadline expires.
The process is intended to protect:
- Employees with pending claims;
- Creditors seeking repayment;
- Shareholders with interests in the company; and
- Clients or suppliers involved in ongoing transactions.
Part of broader corporate compliance reforms
The latest notice comes amid broader government efforts to improve corporate governance and enhance transparency within Kenya’s business registration framework.
The Registrar of Companies has in recent years intensified enforcement against non-compliant entities in a bid to maintain an accurate register of active businesses and curb the misuse of dormant companies for fraud and other illicit activities.
Also Read: Uganda deregisters over 37,700 companies over non-compliance
Corporate compliance experts say maintaining an updated register also helps improve investor confidence and strengthens regulatory oversight.
While concerns have emerged over the possible employment impact, officials have yet to provide details on how many workers could be affected or whether the companies concerned are still actively trading.
The deregistration process is expected to proceed unless affected firms or interested parties successfully demonstrate why the companies should remain on the register.
