Company Registration in Pakistan

CMA Law Associate provides clients with detailed information on how to set up and run a business in Lahore. In Lahore, we have extensive experience registering businesses for start-ups, small businesses, and global corporations.

Moreover, our business and tax advisers have been forming new businesses in Lahore for years and will handle all of the complicated legal paperwork. And it all starts with a free consultation in which we’ll go through the newest information on how to launch a business in Lahore. However, the sort of business entity you choose for your company can bring a slew of advantages in terms of compliance management and taxation concerns with government agencies.

CMA Law Associate can assist you in making the best choices for your company entity. Furthermore, our focus is always on the legal requirements that your company needs during the selection and implementation stages.

Types of business registration in pakistan

Types of business registration - CMA
Sole Proprietorship

A sole proprietorship in Lahore is a business in which a single person owns and runs the business.

Limited Liability Partnership (LLP)

A public limited company in Lahore is a firm with a limited liability that allows its shares to be sold and exchanged in the open market.

Manufacturing Business Registration

Non-profit companies in Lahore use a unique type of Public Limited corporation called a Company Limited by Guarantee.

Real Estate And Construction Company Registration

A Private Limited Firm or a Public Limited Company in Lahore is a company that is share limited. Additionally, the members of this company's ownership are not in-charge to the sum paid for the shares they possess.

IT Company and Call Center Company Registration

It is similar to a Private Company Limited by Shares in Lahore, except that the member's responsibility does not have restrictions. However, directors and shareholders will lose their personal assets if the firm is unable to pay its debts.

Partnership Firm Registration

A Private Limited Company (PLC) in Lahore is a legal corporate entity that you can form with just two directors. This sort of corporation is not allowed to exchange its stock publicly and has a maximum of 50 stockholders.

The Advantages Of Starting A Business OR Company In Lahore, Pakistan

In comparison to other types of business registration, private limited company registration is more popular in Lahore and throughout Pakistan. Furthermore, the Private Limited Company structure is ideal for people who are just starting out in business since it allows them to receive finance in the form of shareholding. However, you can register the company by a minimum of two people who will subsequently become Directors and get shares based on their capital. Moreover, if necessary, the Company’s directors promptly transfer their shares to others.

A private limited company is a legal entity unto itself. However, the liability of Directors and Shareholders in this Business Entity do not have access to the level of their shareholding, which means that a Private Limited Company protects its Directors and Shareholders from the Company’s obligation. Because of this, the Private Limited Company is increasingly well-known.

There are a few advantages to forming a private limited company in Lahore, Pakistan.

  1. A funding-attractive structure
  2. Legally distinct entity.
  3. Domestically and internationally, business growth is smooth.
  4. Personal Assets are not at risk of being attached in the event of a loss.
  5. Being a legal entity that can attract international investment
  6. Shares can be easily transferred to others using a simple technique.
  7. Succession indefinite
  8. Recognized
  9. Credibility in the Market
  10. Low-cost, highly targeted advertising
  11. Growth Possibilities on an Exponential Scale

How To Register A Business In Lahore, Pakistan

How To Register A Business In Lahore, Pakistan

Creating An SECP User Account

We need to create a director’s Login in SECP before we can process the application for company registration. However, you require the following information for this purpose:

  1. A copy of the CNIC
  2. Proposed Director’s Email
  3. Proposed Director’s Phone Number
  4. Request for a Name Reservation

However, the first step in forming a company is to apply to the Pakistan Securities and Exchange Commission for “Availability of Name” for the prospective firm (SECP).

Pay the fee associated with registering a business and submitting the required documents.

Following receipt of the Name Availability Letter from SECP, applicants must apply for company registration using either the online process or the manual process, depending on the client’s needs.

List Of Documents Needed To Register A Business In Lahore, Pakistan

The SECP requires the following papers and forms in order to file an application for company registration:

FORM II (Registration/Incorporation Application)

  1. Letter of Availability with Name
  2. Copies of Proposed Directors from CNIC
  3. Articles of Association and Memorandum

Moreover, the fees associated with the Company Registration process are paid at specified branches of The Muslim Commercial Bank (MCB) and United Bank Limited (UBL) in Pakistan using the necessary bank form.

However, there is a procedure for forming a company in Lahore, Pakistan.

Minimum Company Registration Requirements In Lahore, Pakistan

  1. There must be at least two directors.
  2. There must be a minimum of two shareholders.
  3. Rs. 100,000/- as a minimum share capital.
  4. Company Tax Registration (Income Tax, Sales Tax, and Professional Tax).

If you want to file income tax for your business, you must first apply for a National Tax Number (NTN) at the Federal Board of Revenue’s Regional Tax Office (RTO) (FBR). The following are the requirements for this application:

  1. Form NTN (TRF-01)
  2. Certificate of Incorporation
  3. Articles of Association and Memorandum
  4. Account number at a bank
  5. Copies of firm directors’ National Identity Cards (NICs) Electricity Bill
  6. If the business premises are owned by the directors, the tenancy agreement must be accompanied by a copy of the owner’s CNIC or proof of ownership.

Tax Registration For Professionals

Based on Company Paid-up Capital, ETO Professional Tax will issue a Payment Challan (PFT-2) on 32-A. Thereafter you must deposit professional tax in any NBP/SBP branch in Punjab and give a copy of the Paid Challan to ETO Professional Tax.

Company Registration With ESSI And EOBI

Depending on where the firm is located, the corporation must register with:

  1. Employees’ Social Security Institutions in Punjab (PESSI)
  2. Employees’ Social Security Institution of Sindh (SESSI)
  3. Baluchistan Province (BESSI) or Khyber Pakhtunkhwa (KPK) is a province in Pakistan (KPK ESSI).

However, employees who are registered with the Employees Old-Age Benefits Institution (EOBI) can receive a pension when they retire. Moreover, they can also receive an old-age grant and survivor’s pension if they become disabled.

Moreover, industries or commercial entities with five or more employees must register with the Employees Old-age Benefits Institution in their respective region (EOBI).

Company Registration With The District's Labor Department

Lastly and most importantly, these companies that want to defend their employees’ labor rights must register with the District Chief Inspector of the labor department in their region. If an employer wants to register himself, then he must submit Form A along with the appropriate bank form.