47 Gauteng Province is regarded as Economic hub of South Africa due to its industrialisation, Manufacturing and business. Besides it is also known as the capital City of the country and occupies 1.4 % of land space. It contributes35.6% towards GDP to the country and 10% GDP to the entire African continent.SMEs contribute 42% of employment in the formal economy and 2 million of informal businesses. While close cooperation comprise 78 % of the total registered entities providing more than 20 % annual growth rate. This paper aims to examine the cost and effects of regularising business procedures in Gauteng, South Africa. The objective of the study is to investigate the extent to which regularising business procedures impact on converting SMEs to Pty under the new companies Act. The t-test was used to test the hypothesis and the significance level was p https://ijbed.org/details&cid=47 https://ijbed.org/cdn/article_file/i-4_c-47.pdf Volume 02 Issue 1 4 2014-03-01 2014-04-01 no SME New companies Act business regulations Dti CC and Old companies Act Cost and Benefit none 4563 2 0 Evelyn Chiloane-Tsoka University of South Africa AM Rasivhetshele University of South Africa