Requirements for Company Registration in Pakistan
Requirements for Company Registration in Pakistan
While establishing a company in Pakistan, it is imperative to know the requirements and procedure of registering a business here. This article explains the requirements for Company Registration in Pakistan and the cost of company registration in Pakistan. To get the process underway, you should know the types of companies you can register. Below are some of the most important details to consider. These guidelines should help you choose the best company formation method for your new business in Pakistan.
Forms of company registration
The main documents for company registration are the Memorandum of Association (MoA) and the Articles of Association (OA). The Memorandum of the Association must state the basic objectives of the business. These objectives can be any business activity, from trading to general order suppliers. All the business plans must be stated in the Memorandum of the Association, which must be prepared in four copies. Moreover, the documents should contain a company’s contact details and the address of the registered office.
The first step in the process of company registration in Pakistan is choosing a name for the company. The name should be original, avoiding any words or phrases that are banned in the country. After determining the name, you must submit the documents to the Securities and Exchange Commission of Pakistan (SECP). These documents must be legally valid. A digital signature may be obtained through the National Institutional Facilitation Technologies. To register a company in Pakistan, the SECP provides a guide on how to file and complete the forms.
The company incorporation brochure is available on the eServices portal. This brochure provides all the necessary guidance on how to incorporate a company. To complete the process, you must fill up the online form with all the necessary data and signature with PIN. You must also make a payment of the incorporation fee using your credit card, debit card, or ATM. The fee for the incorporation depends on the Authorized Capital of the company. The higher the amount, the higher the fee.
In addition to the necessary forms for company registration in Pakistan, you must register for sales tax and professional tax. You can apply for a sales tax number by visiting a sales tax facilitation center of the RTO of the FBR. You must also register for the Professional Taxation Department in the District where your company operates. In addition to the federal and provincial taxes, you need to register for the Employees Old Age Benefits Institution in Balochistan, Khyber Pakhtunkhwa. Insured employees are entitled to pension on retirement. A company should also be registered with the Federal Employees Old Age Benefits Institution.
Process of company registration
The process of company registration in Pakistan starts with registering the name of the company. The name must be unique and contain no words that are prohibited in Pakistan. The company’s incorporation documents are evaluated by the Securities and Exchange Commission of Pakistan (SECP). The registration documents must be authenticated using a digital signature, which is acquired from the National Institutional Facilitation Technologies. The fees charged for registering a company in Pakistan can vary from US$ 2800 to $5500, depending on the type of company.
Once a company has a registered name, it must submit all the necessary documents to the Security and Exchange Commission of Pakistan (SECP). The requisite documents must include a copy of the director’s passport, contact number, physical address, paid capital declaration, and the position of directors. Once all the documents have been submitted, the company will be listed on the SECP website and its incorporation fee will be 1800 rupees.
The next step in the company registration in Pakistan is to prepare the Memorandum of Association, a document that lays out the general objectives of the business. It can be general order supplier, trading company, or anything else. It should list all the business plans for the company. Four copies of the Memorandum of Association must be prepared in order to complete company registration in Pakistan. In addition to the Memorandum of Association, the company must submit a Power of Attorney for all important documents.
The next step is to apply for the SECP’s Incorporate Certificate. This can take anywhere from 24 hours to less depending on whether there are objections. For some types of businesses, such as non-banking finance companies, security services, and associations of not-for-profit organizations, it is necessary to acquire a prior license. This can take some time, but it is definitely worth it. In general, the process is straightforward.
Incorporating a company in Pakistan requires the submission of a Memorandum of Association and Articles of Association (MoA). After the MOA and Articles of Association are approved by the SECP, the company can begin functioning. Depending on the city where the business is, the company will also need to acquire a company seal. If this does not make sense for the company, the SECP will refund your application fee and send you a confirmation email.
Requirements for company registration in Pakistan
In order to start a company in Pakistan, you must first apply for incorporation. The first step in this process is to decide on a company name. It must be unique and should contain no prohibited words. Once the name has been chosen, you must submit all the required documents to the Securities and Exchange Commission of Pakistan (SECP). The SECP checks all documents and grants digital signatures. You can acquire these documents on the SECP website.
The Companies Ordinance, 1984, mentions three types of companies: private limited company, public limited company, and single member company. Public limited companies may be listed or unlisted. Private companies have two directors and a company secretary. One can own 100% of a public limited company and not need to have a license to import or export from the country. Public limited companies can also be 100% foreign-owned and can have shares purchased by anyone with any nationality. In addition, Pakistan permits companies to have two forms of share capital: authorized and paid-up. Listed companies need more documents than unlisted companies.
Once you have decided on a name for your company, you can start the process to apply for incorporation. You can apply for company incorporation online or in person. The process can take up to 1.5 months. You must also apply for name availability. You can apply for name availability online, and it normally takes three to four days to process. Once you have a name, you can apply for company incorporation in Pakistan.
The first step towards company registration is obtaining the company name. A registered company will have seven directors. After you have chosen a company name, the next step is to apply to the Registrar or Deputy Registrar of Companies. You must also make sure that the company name is available. You must choose a name that is not misleading or inappropriate for your business. Lastly, you must make sure that the name is not already registered with any international or national trade marks.
Cost of company registration in Pakistan
To register a company in Pakistan, you must pay a registration fee to the Securities and Exchange Commission of Pakistan (SECP). This fee depends on the authorized capital of your company and is usually ten percent of its nominal share capital. The minimum capital required is one hundred thousand rupees while the maximum capital varies depending on the business profile, the number of directors, and the initial investment of subscribers. The filing fee may change from time to time, so it’s important to check the SECP website or other electronic medium to confirm the price of your registration.
The cost of company registration in Pakistan is comparatively low. The registration fee for a company without share capital is Rs 200. If you intend to import goods from abroad, the cost will be higher. However, if you plan to export goods, the fee will be even lower. It is possible to import products without a license. Foreign investors can also set up 100% foreign-owned companies in most business sectors. In addition, shareholders can be of any nationality, except for Israeli nationals. There are two types of share capital in Pakistan: authorized and paid-up. In the Articles of Association of a company, the amount of authorized capital must be declared.
After you have submitted the application form, you will be sent an availability letter. This letter reserves your chosen name for sixty days. That is more than enough time to incorporate a company in Pakistan. You can also choose to submit your application online, which will cost you less than half of the physical fee. However, you must pay a separate fee if you plan to submit documents by mail. You can find more information about the costs of company registration in Pakistan at the end of this blog.
The price of company registration in Pakistan varies depending on the type of company you want to incorporate. An unlisted company, for example, requires a minimum capital of PKR 100,000. The cost of company registration in Pakistan is PKR 150,000. If you plan to sell the company’s shares, you must pay a minimum capital of PKR 500,000. If you plan to incorporate a company that is more complicated, you should seek legal advice in Pakistan before registering.
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