BUSINESS REGISTRATION IN BANGLADESH
Bangladesh is a very ideal place for investment. The country is located in geographically strategic position with a vast number of populations fit to work. The population of the country is about 170 million so the local market is quite big as well. At the moment the main business sectors are Ready made Garments (RMG), Leather and leather goods, Jute, Home Textile, IT, Service sector, Poultry, Agro based industry, Banking finance and insurance, Infrastructure development, Power and Energy, Tourism and hotels, Education, Health, Pharmaceuticals, Telecom, Information Technology etc.
We shall highlight on the main steps of Business registration in Bangladesh.
For Private limited company/ Subsidiary :
- The first step is to carry out a name clearance with Registrar of Joint Stock & Companies (RJSC)
- After the Name clearance is done a blocked bank account is required to be opened with any banks in Bangladesh where the paid up capital of proposed company needs to remit from outside Bangladesh.
- Memorandum of Article and Association is drafted and prepared. Once the paid up capital is remitted the bank issued an encashment certificate and afterwards all documents are submitted to RJSC for incorporation. Relevant Govt fees need to be paid.
- RJSC issues Incorporation certificate and MoA&A and other relevant documents.
For Liaison office/ branch office :
- A board resolution from the parent company needs to be issued with declaration to open a branch office or liaison office in Bangladesh
- The incorporation certificate, MoA&A of the parent company in English needs to Attested from relevant Bangladesh embassy/ High Commission.
- An application with all supporting documents listed above needs to be filed with Bangladesh Investment Development Authority (BIDA) and the application once approved in BIDA board , Government fees is required to be paid. After payment of Government fees , permission for Branch office or liaison office is granted.
Subsequent licenses for all Entities :
- A trade license issued by City Corporation
- An ETIN no issued by National Board of Revenue
- A VAT registration issued by National Board of Revenue
Licenses if the company intends to import and Export :
- Membership of any trade organization /chamber of commerce in Bangladesh
- Import registration certificate issued by Registrar of Import and Export
- Export registration certificate issued by Registrar of Import and Export
Licenses required for manufacturing plants/company :
- Factory license from Department of Factories & Establishment
- Environment certificate
- BIDA registration
- Fire safety license
We at S Hossain & Associates law firm in Bangladesh provide one stop service to set up business in Bangladesh. We have practical experience in setting up business in Bangladesh without any surprises and in a business friendly manner.
**Process flow for setting up business in Bangladesh. Prepared by S Hossain & Associates Law office, Law firm, lawyer, Advocate in Bangladesh