Partnership business Registration in Bangladesh – How can you start your business easily in Bangladesh
There are numerous types of businesses in Bangladesh. One is a Partnership Firm, while the others are Sole Proprietorship and Limited Liability Company. The Partnership Act of 1932 governs the formation of a Partnership Firm. In Bangladesh, only RJSC (The Registrar of Joint Stock Companies and Firms) has the ability to register Partnership Firms. For Partnership Registration in Bangladesh, the actions outlined at the conclusion of this page must be followed.
When two or more persons with a similar mindset or similar professional backgrounds join a business and create a voluntary agreement with the purpose of producing and sharing profits, this is referred to as a Partnership Business. Minimum of two and maximum of twenty individuals can form a business partnership.
In order to open a bank account for a partnership business, registration with the RJSC is now required. For this reason, many unregistered Partnership Business proprietors will register their Partnership Business with RJSC. To obtain legal privileges, however, Partnership Business Registration with RJSC is required.
Partnership Agreement is also commonly referred to as Partnership Deed. Typically, the following provisions are included in a Partnership Deed:
- Partner’s Name, Current Address, and Permanent Address.
- Firm’s name as a partnership
- Business Description Business Address
- Duration of the Relationship
- Profit participation for each Partner
- Capital contributions made by each partner
- Conditions of Retiring
- Mode of Management
- Interest on Lending
- Dissolution of a Partnership
Steps in Bangladesh Partnership Registration:
A partnership can be registered either at the moment of formation or later. An application must be submitted to the RJSC with the following information:
- Consider Name Clearance Declaration of Partnership Firm
- Date of Incorporation of the Partnership
- Duration of the Business Partnership
- Principal place of business with Complete Address Date of Partnership Formation
- Partners’ Particulars
- Details of the Business Application must be submitted using Form- I.
We recommend that you promptly register your current Partnership Firm to avoid unforeseen circumstances. Also, whenever you establish a new partnership in Bangladesh, you must register with the RJSC. To gain knowledge about RJSC.
Benefits of Partnership Business:
Due to the nature of business start-up money being funded by the partners, the more the number of partners, the more capital they may invest in their business, allowing for greater flexibility and advancement potential.
Typically, a partnership is easier to register, operate, and maintain. Partnerships are subject to less stringent rules and regulations than corporations. As long as all partners are in agreement, they are free to run their firm as they see fit.
Every company partner contributes new ideas and abilities. It is easier to make a decision to solve a problem when there are more minds to consider it. Each partner might partake in the business’s duties and responsibilities.
After completing Partnership Registration in Bangladesh, the following documents are required to commence business operations:
- Certificate of Trade License for your newly registered Partnership.
- Certificate of VAT Registration for a Bank Account
- Certificate of Registration for Import (In case of Import Business)
- Certificate of Registration for Export (In case of Export Business)
The details how we can open a company for you in Bangaldesh.
Apr 3, 2022
Dhaka and Chittagong and Bangladesh and London
Documents that you need
- Trade License
- Tax Identification Number (TIN)
- VAT Registration Certificate
- Fire Certificate
- Environmental Clearance Certificate (if necessary)
Documents issued by RJSC
- Incorporation Certificate: RJSC will issue the company’s Certificate of Incorporation. The certificate will have the amount of the registration, the business name and the date of incorporation.
- Form XII: Form XII includes the company’s director list.
- Certified copies of Memorandum of Association and Articles of Association.Some of the other products you will most likely need when your Bangladeshi company is registered include:
- share certificates for each shareholder.
Entities in Business Formation in Bangladesh
Type of Entity
|Maximum allowed foreign ownership||Minimum paid-up capital||Minimum no. of shareholders|
Private Limited Company
Public Limited Company
|No capital*||No shareholders|
*However, if you want to hire a foreign employee, you need to make an inward remittance of US$ 50,000 beforehand.
Avenues for company formation
#1 Private Limited Company
Numerous businesses in Bangladesh are registered as limited liability corporations (LLC). The responsibility of Bangladeshi limited liability companies is restricted to the shareholders’ capital contributions, and they might be wholly foreign-owned.
Any anybody over the age of 18 may register a company. In addition, the law stipulates a minimum of two owners and a maximum of fifty, as well as two directors. In addition, keep in mind that you might organize a joint venture with a local organization to share the benefits and reduce the risks.
#2 Public Limited Company
In contrast, a public limited corporation can issue shares to the general public and is typically listed on a stock exchange.
A public limited corporation must have at least seven members, three directors, and there is no restriction on the number of shareholders. Its shareholders may be any legal entity or anybody over the age of 18 who is qualified by Bangladeshi law.
It can solicit donations from the public. In addition to the Companies Act of 1994, it must also adhere to the Securities and Exchange Commission Act of 1993.