A completed Company Registration In Pakistan signifies that all the required legal steps have been fulfilled to establish a business entity under the regulatory framework governed by the Securities and Exchange Commission of Pakistan (SECP). Issuing a Certificate of Incorporation, which officially recognizes the business as a legal entity, is the culmination of this procedure, which involves a series of steps.
Steps to Complete Company Registration
Selection of Company Name
One of the first steps in the registration process is choosing a unique name for the company. The proposed name must comply with SECP guidelines, meaning it should not be identical to an existing company’s name and must follow certain naming conventions (e.g., no offensive or misleading terms). After submission, SECP reviews the proposed name, and if it meets the criteria, the name is approved, usually within 1 to 2 business days.
Submission of Required Documents
The most critical phase of company registration involves submitting several key documents, such as:
Memorandum of Association (MOA): This outlines the scope and objectives of the company’s business.
The Association's Bylaws (AOA): The company's internal regulations and governance structure are described in detail in this document.
Forms (Form 1, Form 21, Form 29): These forms provide information on company directors, office addresses, and compliance declarations.
All these documents must be submitted to SECP either online via the e-services portal or physically at a Company Registration Office (CRO).
Incorporation Fee Payment
For document submission, payment of the incorporation fee is required. The fee structure depends on the authorized capital of the company, with higher authorized capital requiring a higher fee. For example, the minimum fee for online submission is approximately PKR 1,800. Payments can be made electronically for online applications or physically for manual submissions.
Document Review and Approval
Once the necessary documents are submitted, SECP reviews them to ensure compliance with the Companies Act, 2017, and other regulations. If any discrepancies are found, applicants may be asked to rectify the errors and resubmit the documents, potentially delaying the process. A correctly completed application typically takes between 3 to 5 business days for online submissions.
Issuance of the Certificate of Incorporation
After successfully reviewing and approving all submitted documents, the SECP issues a Certificate of Incorporation. This certificate is a critical milestone in the Company Registration process, as it signifies the official legal existence of the company in Pakistan. The certificate includes essential details such as the company’s unique identification number, the official date of incorporation, and the company’s legal name.
Post-Registration Requirements
While the issuance of the Certificate of Incorporation marks the official completion of the registration process, the company still needs to fulfill several post-registration requirements:
National Tax Number (NTN): The company must register with the Federal Board of Revenue (FBR) to obtain an NTN for tax purposes.
Sales and Professional Tax Registration: Depending on the type of business, registration for sales tax and professional tax may also be necessary.
Licenses and Permits: Some businesses require additional permits or licenses depending on their industry, such as environmental clearances or import/export licenses.
Conclusion
Completed company registration in Pakistan refers to the process of obtaining a Certificate of Incorporation from the SECP, which legally recognizes the company as a corporate entity. This involves selecting a company name, submitting required documents, paying incorporation fees, and completing post-registration tasks such as tax registration. Once all steps are fulfilled, the company can legally commence its operations in Pakistan. Hamza & Hamza Law Associates is undoubtedly the best law firm in Lahore. I had never imagined anyone could manage my business issues, taxes, and property matters smoothly and timely.
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