New owner, new address or a renovation: when your Certificate of Acceptability must change

You are buying a food business, moving to a bigger shop or knocking out a wall to extend the kitchen, and someone tells you the Certificate of Acceptability will “carry over”. It usually will not. Questions about certificate of acceptability change of ownership come up in almost every business sale we are involved in, and the buyers who ask early avoid weeks of trading illegally or not trading at all.

Here is how to think about it, and what to check before you sign anything.

What the Certificate of Acceptability is actually tied to

The Certificate of Acceptability (CoA) is issued under R638 by your local authority, through municipal environmental health. It confirms that specific food premises meet the hygiene requirements, and it is issued in the name of a specific person in charge. R638 says plainly that the certificate is not transferable from one person to another or from one premises to another. A new owner or a new location means a new application.

Three things sit behind the certificate:

• The premises: the address, layout and facilities the EHP inspected.
• The person: the person in charge named on the certificate.
• The activity: the type of food handling stated on the certificate.

Change any one of them significantly and you should assume the certificate needs attention. Our Certificate of Acceptability guide covers the first application process if you need a refresher.

Certificate of acceptability change of ownership: why the seller’s CoA is not yours

When you buy a business, you buy its equipment, stock, goodwill and perhaps its lease. You do not buy the seller’s CoA, because it was issued to them. Practically, as a buyer you should:

• Ask to see the current CoA and the most recent EHP inspection reports before signing.
• Find out whether there are open findings or notices. Those problems become yours on transfer day.
• Apply for your own CoA in good time, naming the new person in charge.
• Ask your attorney to make the sale agreement conditional on the premises being in a condition likely to pass inspection, or to include a price adjustment for structural repairs.

Ask your municipality about timing. Some will inspect before the transfer date, others only once the new owner is in place.

A short scenario

A buyer took over a well known bakery in Gqeberha and kept trading under the seller’s certificate for four months, because “nothing changed”. At a routine inspection, the EHP asked who the person in charge was. The name on the certificate belonged to someone who had moved to another city. The buyer had to apply urgently, and the inspection that followed found a broken wash hand basin and a ceiling that needed repair, both of which had been noted in the seller’s last report. A copy of that report before the sale would have saved the buyer the repair bill.

Moving, extending or renovating the premises

A move to a new address needs a new CoA, because the certificate is for the old premises. Do not open the new site on the strength of the old certificate.

Renovations are less clear cut. As general practice:

• Cosmetic work (painting, new signage, replacing like with like) usually needs nothing further, though the work must still meet hygiene requirements.
• Layout changes (moving the kitchen, adding a preparation area, removing a wash hand basin, changing toilets or changing rooms) often need the EHP to see the plans or re-inspect.
• Extensions that add food handling areas usually need the new area assessed.

Tell the local authority in writing before the builders arrive. Many EHPs will comment on plans, which is far cheaper than fixing a finished floor.

Changing what you sell: from coffee shop to full kitchen

A coffee shop selling bought in muffins is a very different risk from a kitchen cooking, cooling and reheating chicken, rice and sauces. If you add hot food, raw meat, catering for events or bulk cooking, the facilities the EHP originally assessed may no longer be enough. You may need more refrigeration, separate preparation areas, more hand basins or better ventilation.

This has a legal edge: R638 makes the CoA valid only for the type of food handling stated on it, so a certificate issued for selling coffee and packed snacks does not cover a hot kitchen. Tell your EHP about significant changes in activity before you start, and ask whether a new inspection or application is needed. Higher risk food also means more R638 duties in practice, such as temperature control records and stricter separation of raw and ready-to-eat food.

A new manager takes over: what changes for the CoA

Owners often forget this one. If the CoA names a manager as the person in charge and that manager leaves, the certificate no longer reflects who is in charge. R638 deals with this directly. When the person in charge is replaced, the new person in charge must inform the local authority in writing within 30 days, and the local authority can then issue a new certificate in the new person’s name. If that notice is not given, the certificate lapses. Put the 30 days into the handover plan, with a named person responsible.

The new person in charge also needs their own food safety training. R638 requires the person in charge to be trained, and the outgoing manager’s certificate leaves with them. The Persons in Charge (R638) course is SAATCA registered and HPCSA CPD accredited, and many new managers complete it online in their first weeks in the role, so the certificate is on file when the EHP asks.

Handling the gap while the new application is processed

Processing times vary a lot between municipalities. To reduce the risk while you wait:

• Apply as early as the process allows, and keep proof of the date you submitted.
• Keep a copy of the application and any correspondence on site, so you can show it at an inspection.
• Ask the EHP directly whether you may trade while the application is processed, and get the answer in writing if possible.
• Run the premises to inspection standard from day one: cleaning schedules, temperature logs, pest control and training records.

An independent food hygiene audit before the EHP visit is a sensible way to find problems while you still have time to fix them.

Due diligence checklist for buyers, franchisees and landlords

Check	Why it matters
Current CoA, name and address on it	Confirms the premises were approved, and for whom
Last two EHP inspection reports	Shows open findings that will become yours
Pest control contract and reports	Infestations are expensive to inherit
Training certificates for staff and person in charge	Shows what training you will need to fund
Condition of floors, walls, ceilings, hand basins	Structural repairs often fall on the new owner
Lease clauses on alterations and repairs	Decides who pays for work the EHP requires

Landlords letting premises for food use should also keep a copy of the tenant’s current CoA on file, and agree in the lease who is responsible for structural hygiene items.

What to do this week

• If you are buying, ask the seller for the CoA and the last two inspection reports today.
• Phone your municipal environmental health office and ask how they handle your specific change.
• Note who the person in charge will be and check they have current training.
• Get builders’ plans to the EHP before work starts on any layout change.
• Diarise the application, with the submission date and the name of the EHP you spoke to.

Frequently asked questions

Can I trade on the seller’s CoA until mine arrives?

No. The certificate is not transferable to a new person, and R638 does not allow food to be handled on premises without a valid certificate. Ask your municipality what it allows while your own application is processed, and get the answer in writing.

Does a franchisee need their own CoA?

Yes. Each premises needs its own certificate, and the franchise brand does not replace it. The franchisor may also have its own requirements.

Does a change of business name need a new CoA?

A name change alone, with the same owner and premises, is usually an administrative update. Check with your municipality, because practice differs.