Starting a business in Bangladesh can be a complex process, but with proper guidance and knowledge of the steps involved, it can be a smooth journey. In this article, we will guide you through the process of registering a business in Bangladesh.
Before we dive into the registration process, it is essential to note that Bangladesh has a mixed legal system. The country’s legal system draws its roots from both English common law and Islamic law. Therefore, it is crucial to have a basic understanding of the legal system and the business environment in Bangladesh.
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Types of Businesses in Bangladesh
There are four types of businesses that entrepreneurs can register in Bangladesh:
- Sole Proprietorship: This is a business owned by one individual. It is the simplest form of business structure, and the owner is personally responsible for all business debts.
- Partnership: This is a business owned by two or more individuals. The partners share profits, losses, and responsibilities.
- Limited Liability Company (LLC): This is a business structure where the owners’ personal assets are separate from the company’s assets, providing liability protection for the owners.
- Joint Venture: This is a business structure where two or more parties come together to conduct business in a specific project or purpose.
Steps to Register a Business in Bangladesh
Step 1: Name Reservation
The first step in registering a business in Bangladesh is to reserve a name for the company. You can check the availability of a name on the Registrar of Joint Stock Companies and Firms (RJSC) website. If the name is available, you can reserve it by paying a fee and filling out a form.
Step 2: Obtain Digital Signature and Incorporation Documents
The next step is to obtain a digital signature and incorporation documents. A digital signature is required to submit the incorporation documents to the RJSC. The incorporation documents required are:
- Memorandum of Association
- Articles of Association
- Form-I (Declaration of Compliance)
- Form-VI (Particulars of Directors)
- Form-IX (Consent of Director)
- Form-X (Notice of Address)
Step 3: Pay Fees and Taxes
After obtaining the digital signature and incorporation documents, the next step is to pay the fees and taxes. The fees and taxes depend on the type of business and the amount of authorized capital. The fees and taxes can be paid online or in person at the designated bank.
Step 4: Submit Documents to RJSC
After paying the fees and taxes, the incorporation documents and payment receipts must be submitted to the RJSC. The RJSC will review the documents and issue a certificate of incorporation.
Step 5: Obtain Trade License
Once the certificate of incorporation is obtained, the business must obtain a trade license from the local government. The trade license is issued by the City Corporation or Municipality where the business is located.
Step 6: Register for Taxation
All businesses in Bangladesh must register for taxation with the National Board of Revenue (NBR). The registration process requires submitting an application form along with the necessary documents.
Generis Global Can Help
Starting a business in Bangladesh can be a daunting task. Generis Global can help simplify the process by providing legal guidance and support. We can assist in registering your business, obtaining necessary licenses and permits, and handling legal compliance. Contact us today to learn more about how we can help you with your business in Bangladesh.