Are you looking to open and register your own company in Pakistan? Are you looking for information on how to register a Pakistani company? Do you know the steps? You have reached the right place.
Company registration in Pakistan takes serious determination and thorough information. These steps are essential if you want to register a Pakistani company. You should read the entire guide.
INITIAL STEPS TO REGISTER A COMPANY IN PAKISTAN
First and foremost, to register your company in Pakistan, you need to visit the webpage of SECP.
Register on the website
Select a name for your company. It should be unique and attractive to your future clients. Once you’ve chosen the name, it is impossible to go back. You must choose the right name.
A form will be sent to you. Fill it out and submit your details.
To proceed with the registration of the company’s name, a fee challan of 100PKR must be paid. This fee must be paid at any branch of UBL/MCB.
Fill in the necessary information to complete the registration process. Then, pay the 1800PKR fee for incorporation. It is the registration fee for a company in Pakistan.
Although these steps are simple, it is important to be attentive to each step and to follow them exactly. The registration of a company can be a complicated legal process. If it doesn’t go according to plan, the person is responsible. Be careful about the entire process and the information you provide. False information can lead to legal action. This was a quick follow-up to the step-by-step guide. Let’s dive deeper into the details.
It is now easy to register a business in Pakistan thanks to the government of Pakistan. People with little or no computer knowledge can now complete the process much faster. It’s very easy and precise.
SECP (Security and Exchange Commission of Pakistan) is the main website for this process. They are responsible for the registration process. To register a company, you will need to visit the SECP office in Pakistan or the SECP website. You will also receive information from them. Covid 19 is at its highest, so it is a good idea to register your company online through the SECP website. You can also get feedback and information from the website by providing the necessary information. It is also safer. You can access the site to register your company.
WHAT IS SECP (SECURITY XCHANGE COMMISSION of PAKISTAN?
SECP is the website established by the Pakistani government that handles all the registration processes of different companies. There are many services offered by the SECP website for Pakistani citizens. It allows you to register companies and access E-services without the need for internet or Wi-Fi. It’s also useful for people who don’t have electricity. You can register a variety of companies in Pakistan.
SECP RULES ARE MANDATORY TO BE FOLLOW BEFORE OPENING AN COMPANY IN PAKISTAN
The SECP has some very important rules for Pakistani citizens. These rules should be carefully read.
Your company name should not be the same as any other company or registered LLP.
The company name should be relevant and concise. It should be formal and precise. You should not include any offensive or harmful words between the company name and it.
Under the watchful eye of the registrar, there shouldn’t be any word that is unwelcome or baseless.
Your company’s name should not be taken from any culture, religion, or race. It should not contain any religious violence or discretion.
Avoid using any word that is prohibited by Section 10 of the Act or Regulation 4 of Regulations 2017 on Companies (Incorporation).
These are the rules and regulations you need to be aware of before you register your company in Pakistan.
PAKISTAN OFFERS MANY TYPES OF COMPANIES
Before you go out there and register a company, you should have the basic knowledge of how many different types of companies are there in Pakistan and what is the process of each one. Some companies might have cons.
These are the three major types of companies that have been established in Pakistan:
Private Limited Company (LTD).
Public Limited Company (PLC).
Single Limited Company (SMC).
Each one will be explained in detail.
1.PRIVATE LIMITED COMPANY – LTD
The most limited definition of this type would be that, if two or more people come together as one and associate themselves by the law of the country can form a Private Limited Company. Only if they apply or register at a memorandum d’association and comply with the requirements of the company, this would happen.
2.PUBLIC LIMITED COMPANY
A public limited company can be formed in Pakistan by three persons who come together and agree to comply with the laws. Only if the three people apply for a memorandum of association and agree to the requirements of the company, this would happen. Public limited companies have two main subtypes. Make sure you know them before you proceed with public limited company registration. These are the two major sub-types:
LISTED: All shares of a publicly listed company are open to the public. They are extremely limited. A minimum investment of PKR 200million is required to establish a publicly listed company.
UNLISTED: Unlisted companies have little to offer the public. Therefore, the investment required to open an Unlisted Public Company is PKR 100,000.
3.SINGLE LIMITED COMPANY
The definition of this type of company revolves around the establishment of a private company by a single person after he/she associates him/herself with the law of the country can form a Single Limited Company. Only if the person applies or registers at a memorandum d’association and agrees to the company’s requirements.
These are the essential information and knowledge you need to know before you register a Pakistan company. There are many more steps involved in the process than that. You can make the process easier by reading on:
RESERVING A NAME AND CORPORATION NAME
It is important to keep this short and to the point, if you wish to register a Pakistani company. If the name you want is not available, check if it is. If one option doesn’t work, keep your options open. Thoroughly go through the fast track registration services’ (FTRS) option on the website.
You can’t go back once you have filled out the online form. Once you have completed the online form, fill out a registration form and provide your details.
The security codes will be sent to you via email or SMS. These codes are for verification purposes only.
Once your code has been verified, a pin code is generated.
The user registration fee can be paid online via bank transfer, credit/debit cards, or by cheque. You can also print your challan if you are not familiar with digital banking. You can deposit the amount in any branch of MCB and UBL. 100 PKR is the usual registration fee.
Within 24 hours, SECP will send you a confirmation email. The company name can be easily reserved if there are no prohibited words or racial references in it. You can also reserve a company name and company incorporation without using the Wi-Fi which is also called the offline system. To do this, you will need to submit your application with three proposed names to the SECP registry’s office. The process to obtain a license from the registrar’s offices will take between 3 and 5 working days.
DOCUMENTS REQUIRED COMPANY REGISTRATION in PAKISTAN
When you’re in the process of registration of your company, there are some documents that you must provide the SECP if you want to register a company in Pakistan.
Memorandum of Association, Articles of Association. These are easy to locate and the samples can be found on the SECP website.
A Memorandum of Association is basically a way to describe how your company is connected with the outside world. It also identifies which business sector your company falls under. It can be an Institution or Travel agency.
Articles of Association are about the day-to-day activities within the company. It explains the role of the CEO and directors in the company. It tells you how your company will run.
CNIC Copies and copies of the CEO, Directors, and Passports if you’re not Pakistani.
If you wish to register a different area of business, get a NOC (notice of intention/licensing) from higher-ranking authorities.
It will be difficult to open a foreign business if you don’t have enough information. Your company profile, information about your company, and the roles and nationalities of your Directors. You need to provide the Company charter’s certified copy and a Memorandum of Association and Articles of Association as well.
CERTIFICATION OF THE COMPANY
After you submit all the documents, the Securities and Exchange Commission of Pakistan (SECP) will go through them and they will check if all the documents you shared were valid or not. It may take several days. The National Institutional Facilitation Center will issue you a digital signature after verification. It can also be accessed via SECP.
This company seal is not easy to obtain. To receive the company seal, all directors must sign. If all documents are valid, you will receive a certificate from SECP. You will receive it in either digital or physical form. Once you have received the SECP incorporation certificate, you are ready to start your business. It is easy to register a Pakistani company. It takes only a few days. Back in those days, it was difficult to register companies. It would take months and even months to license a company. It is a wonderful world we live in, thanks to the SECP. They made it possible for Pakistanis to start their own businesses and register their companies without any legal hurdles. The SECP is now efficient and easily accessible.
CONCLUSION
We have provided a step-by-step guideline for registering a Pakistani company online and offline. Because of the covid 19 waves, we recommend that you use the online SECP (Securities and Exchange Commission of Pakistan), system to register a Pakistani company. Register your company at home. We hope you now have all the information necessary to register a Pakistani company.