TKay Legal Blog

  Charlie, shine your eyes before you sign any contract o! Because in this Ghana, if you no read, you go bleed. Let’s break it down, small-small.   1. “We Go Sort It Out” Terms Red Flag: Contract talk plenty but no specific details. You see lines like “we go deliver fast” or “quality work.” Translation : When gbe na gbe start, nobody go gree say dem be wrong. Wetin You For Do : Put timelines. Write figures. Describe the work well. No assumptions. This be business, not friendship.   2. No Way Out Red Flag: The contract no talk how you go commot if things no go well. Translation : You dey inside till Jesus come. Wetin You For Do: Add exit plan. If you wan terminate, how? How long you for give notice? What go happen to unfinished work?   3. All the Stress Dey Your Side Red Flag : You go do everything. You go supply, deliver, beg for payment and the other party dey flex. Translation: Dem win p3, you dey do marathon. Wetin You For Do : Balance the roles. If you dey carr...

  Someone slides into your DMs and says, “I need it urgently, start for me, I’ll pay.” You want to secure the bag, so you say yes. Before you say yes to any job, whether  verbal, written, big or small, you need to confirm the basics. Here are 5 things to agree on first: 1 . The Scope of Work Exactly what are you doing? What are you NOT doing? Don’t assume they understand. Don’t assume you’re on the same page. Example : “I’m designing 3 flyer options. Additional versions will attract extra charges.”   2 . The Price Say it clearly and early. Include what the price covers. Is delivery included? Does it cover revisions? State it. Example : “Total is GHS 450. This includes two edits. Extra revisions are GHS 50 each.”   3. Delivery Timeline When is it due? What happens if they delay giving you materials? If it’s “urgent,” clarify what “urgent” means and what the extra cost is.   4 . Payment Terms Will they pay a deposit? How much deposit is required before you start?...

  Not every agreement is a contract but every contract is an agreement. The difference? The law only protects contracts that have the right elements. Let’s break them down:   1. Offer One party clearly proposes something— “I’ll design your logo for GHS 500.” 2. Acceptance The other party says yes without changing the terms. “Cool, go ahead!” No “maybe.” No “we’ll see.” Just clear acceptance. 3. Consideration Both sides must be giving something of value. You offer your service and they offer money (or goods, or something else agreed). No freebies, no favours. If nothing is being exchanged, there’s no contract. 4. Intention to Create Legal Relations Both people must mean business, literally. It can’t just be a friendly promise or casual arrangement.You must both intend for the agreement to have legal consequences if broken. 5. Capacity The people making the deal must be legally fit to do so. That means they’re adults, mentally sound and not under any legal restriction. 6. Legali...

  At some point, you’ve agreed to do something for someone in exchange for money. Maybe to sew a dress, cater an event, deliver drinks, braid hair or design a logo. You didn’t sign a form, you didn’t print a document but the job happened. The service was delivered. Money was expected. That is a contract! What then is a contract? A contract is a legally binding agreement between two or more people that law will enforce. Under Ghanaian law, there are different types of contracts that can still be considered valid and binding even without a signed piece of paper. (Yes, there are exceptions) Types of Contracts 1. Implied Contracts An implied contract is a legally recognized agreement that’s never written or even said aloud but it’s clear from the behaviour of both parties that a deal exists. In other words, nobody needed to say anything but you both knew what to expect. Example: A customer walks into your salon, sits in the chair and you begin her usual treatment. She doesn’t explain ...

    Let’s talk. She needed 50 packs of food for her office event. You agreed on the price. No deposit, but she said “ I go pay you right after delivery.” You got to work, bought ingredients, cooked through the night, delivered on time. Everyone loved it. She said, “Thank you so much, sis. God bless you.” That was three weeks ago. Now? She’s not picking your calls. No money.  Just silence. And when you follow up, her response is simple: “But we didn’t sign anything.” Now, you’re left with debt and disappointment. You start to wonder, “was that even a contract?” That is  the question so many small business owners ask when things go wrong.Because somewhere along the line, we’ve been made to believe that contracts are for “big people” like the companies, the boardrooms, etc. But that’s not true. A contract can be written. It can be verbal. It can even be implied. It’s not about size. It’s about clarity. It’s about protecting the work you’ve poured your tim...

    So, your business is growing. You’ve passed the GHS 20,000 mark and now the Tax Stamp system no longer applies to you. Don’t panic, the law still has something in place to help you stay legal and  structured. It’s called the Modified Cash Basis. This system is part of Ghana’s Modified Taxation rules, made for small businesses that have moved beyond the informal level, but aren’t yet big enough to handle full accounting requirements.   Here’s how it works: Under Modified Cash Basis, you only report income you’ve actually received, not what you’re owed. If you sold goods in December but got paid in February, you only declare it in February. It’s a cash-first, reality-based method that helps you stay honest without being overwhelmed. You may qualify if: • You are a resident for tax purposes • Your income comes only from Ghana • Your turnover is more than GHS 20,000 but not more than GHS 500,000 • You’re not registered for VAT • You’re not in a partner...

  For many small business owners, tax is a constant worry. The fear of doing it wrong. The stress of not knowing what’s expected. The confusion around forms, figures  and filing. And let’s be honest, most of it feels like it was designed for big companies, not the everyday small businesses owner trying to make an honest living. But here’s the good news, the law has made room for you too. Through the Presumptive Tax system under Ghana’s Modified Taxation rules, there’s now a simple, straightforward way for small businesses to stay legal without losing sleep. It’s called the Tax Stamp and it’s built to meet you right where you are. The Tax Stamp is part of what the Income Tax Act, 2015 (Act 896) calls presumptive taxation. This is a special system for individuals operating small businesses who may not have detailed accounts or formal structures. Instead of asking you to calculate profits, submit audited statements or go through complex tax returns, the law offers a simple pa...

Let’s talk about the business structure most people in Ghana start with: the sole proprietorship.   The way the sole proprietor is   taxed is totally different from how   someone who runs   a limited liability company is taxed. Let’s refresh our memories. Shall we?   What Exactly is a Sole Proprietor? Simple. A sole proprietor is you, running a business in your own name, without creating a separate legal entity. There’s no difference between you and the business. What the business earns is considered your personal income. This means you don’t pay “company tax.” Instead, you pay personal income tax, just like someone working a regular job. But instead of being taxed on a salary, you’re taxed on your business profit. Now, What is Personal Income Tax? Personal Income Tax (PIT) is the tax you pay on any income you personally earn. Whether it comes from employment, rent, investments or your own business. For sole proprietors, it’s your business profits th...