How You Can Register Your Company Online in Pakistan
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Registering a company online in Pakistan is extremely easy now. Learn all about the e-services and e-registration portal here, and get your company registered right away!
When establishing a business in Pakistan, the first and the most important step that you need to take is to make sure that you register your company. This will help you save your business from legal issues. Nowadays, company registration in Pakistan is a simple and hassle-free task. SECP (Securities and Exchange Commission of Pakistan) has launched an online service, through which you can register your company within no time. The SECP company registration process offers e-services that include services such as company name lookup and availability.
There are five steps that you need to follow for your business registration in Pakistan, however, the process does not take long. Once you’re aware of the requirements, and the different aspects that you need to investigate, the online company registration in Pakistan does not take time. However, what you need to focus on is the understanding of documents required, and the fees involved.
Here is a complete guide on how to register a company in Pakistan:
Seek Approval on Name of the Company
The first step for registering your company online is deciding on the name of the company. SECP has published a list of prohibited terms that cannot be used by any business in its company name. Thus, before looking into the company name options, you should go through the prohibited list. This will help you save time and effort. You now have a clear idea as to what terms cannot be a part of your company name, thus your efforts of going back and forth are minimized.
Choose a unique name for your company. Also, your company name should be something that is easy for your customers and clients to remember. So, in addition to unique, your company name should be easy to remember. After you’ve chosen a name, check for its availability. The ‘business name search’ feature offered by SECP helps you to generate unique business name ideas, and if your chosen option is available, you may go on with the process of registering business name, or else you might have to think of another name.
For company name registration in Pakistan, you will need to create an online account with SECP. Here’s how you can do it:
- Log on to ‘e-services’ page on the SECP website.
- If you want to obtain same day registration service, select ‘fast track registration services’ (FTRS).
- Enter data in the online form and submit.
- You can either pay online through your credit/debit card, or can take a print out of the ‘challaan’, and deposit the amount in any of the selected branches of MCB or UBL. For normal registration, the fee is Rs 200/ and for urgent processing, fee is Rs. 700/
You will receive a confirmation email from SECP within a day, if there is no prohibited work in your selected company name.
Obtain a Digital Signature and Create a Company Seal
After you receive a confirmation from SECP regarding your company name, you will be required to submit the following documents:
- Declaration of compliance.
- Office Location
- Particulars of directors, secretary, chief accountant and auditors
- Copies of Memorandum and Articles of Association with each member’s signature.
Once you have presented all the details of your company partner(s), your next step will be to get their digital signatures registered. Take a print out of the registration form, and get it signed from all the director(s) of the company and submit it. This would then be deemed as your official company digital signature. You would also be required to register your company seal(logo), thus make sure that you have decided and created a company seal(logo). This also needs to be put on the registration form while submitting.
Register for Income, Sales and Professional Taxes
In order for your company to be registered completely, it is essential that you register for all types of taxes that are applicable to your business.
To register for income tax, you need to generate a National Tax Number (NTN) for your company. You can submit your NTN application at the tax facilitation of the Regional Tax Office (RTO) of the Federal Board of Revenue (FBR). The following documents are a part of the NTN registration requirements, and they need to be submitted at the nearest facilitation counter of the RTO:
- Proof of registration
- Articles and Memorandum of Association
- Bank Account Number
- Copies of National Identity Cards (NIC) of all director(s)
- Attested Business address
For registering sales tax, you will need to apply for a sales tax number (STN) at the tax facilitation centre of the Regional Tax Office of the Federal Board of Revenue. For the professional tax registration, register your company with the Excise and Taxation (ET) department of the district your company will be operating in. All these taxes are necessary for the legal formation of a company in Pakistan.
Register with ESSI and EOBI
Registering with Employee Social Security Institution (ESSI) and Employee Old Age Benefit Institution (EOBI) is extremely important. Your company registration process cannot be completed without ESSI and EOBI.
For ESSI, depending on the location of your business, you will need to register with any of the following:
- Punjab Employees Social Security Institution (PESSI)
- Sindh Employees Social Security Institution (SESSI)
- Balochistan Employees Social Security Institution (BESSI)
- Khyber Pakhtunkhwa Employees Social Security Institution (KPESSI)
By registering with these institutions, your employees will be secured against diseases, illnesses and other mishaps. The benefits offered under this program are similar to those of an insurance scheme, where your employees and their dependents will be entitled to various cash benefits such as provident fund, gratuity, conveyance charges, pension, paid leaves etc.
The Employees Old Age Benefit Institution (EOBI) offers retirement benefits to employees. Every company with five or more workers is required to be registered with the federal EOBI. EOBI facilitation centres are located in every city, thus depending on your city of business, you can file for EOBI registration at your nearest location..
Register with the Labor Department of the District
According to the labour act of Pakistan, when registering a company, it is extremely important that the business registers itself with the labour department of the district. Depending on the city the business is operating in, the company should make sure to register itself with the District Chief Inspector of the Labor Department of the district. There are a few documents required for the same purpose. These include form A available at the labor department along with Bank Challaan.
All the above-mentioned steps are essential when registering a company online in Pakistan. Companies must follow all these steps in order for smooth and hassle-free online registration process for their business. In addition to following these steps, businesses should make sure that all the required documents are duly submitted as and when required. Failing to do so will lead to a delay in the registration process. The SECP online company registration website is extremely user-friendly. You will be guided throughout the process, so, even if you get stuck at some point during the process, you can follow the guide and get through it.