Offshore Company Formation In Bangladesh: A Proper Guide

It It Easy To Register A New Company In Bangladesh

Due to the strategic geography and a strong and economical workforce, many foreign investors prefer to register liability protection or joint stock firms in Bangladesh. If you are comfortable with the steps, Company Formation in Bangladesh is simple. As a result, having Company Incorporation specialists in Bangladesh can make this procedure more convenient and time-consuming. Our main target is for your business to be operational within the time limit we set.

Everything you’ll need to do business in Bangladesh is included in Company Formation our service package:

1. Register your business with the Registrar of Joint Stock Companies and Firms.
2. Registered address and local company secretary.
3. Establishing New company incorporation and bank account opening.
4. Accounting & Secretarial Services.
5. Tax compliance services on an annual basis.

The Legal Entities Include In Bangladesh 

1. Private Limited Company

In Bangladesh, a high number of businesses are established as private limited corporations (LLC). Correspondingly, the responsibility is restricted to the shared capital of the shareholders, and LLCs in Bangladesh could be entirely held by foreigners.

Anyone above the age of 18 is able to form a corporation. A minimum of 2 and a maximum of 50 investors, as well as two directors, are required by law. Also, you can organize joint ventures with local businesses to pool your resources and reduce risk.

2. Public Limited Company:

A public limited company must have at least 7 members, 3 directors, and no more than one hundred stockholders. Its investors could be any legal entity or anybody over the age of 18 who meets Bangladesh’s legal requirements.

It is capable of raising donations from the general population. This should comply with the Securities & Exchange Act 1993, in addition to the Companies Act of 1994.

The Step-By-Step Procedure Of Company Formation In Bangladesh

Required Documents:

Our EOR services can help offshore company formation in Bangladesh. The offshore company formation in Bangladesh requires the following information for the purpose of offshore company formation:

1. Business Name It is necessary to secure a name clearance.
2. Articles of Association and Memorandum of Association The purpose clause in the MoA must be under 400 words and contain seven clauses, according to RJSC.
3. Information on Shareholders (National ID if the shareholder is a Bangladeshi)
4. Director Information (including Tax Identification Number)
5. Mailing Address
6. Subscriber Page and Signed Form IX A scanned copy in pdf format will be needed.
7. For foreigners: a copy of the shareholder and director’s passport.

Procedure For Business Registration

Bangladesh’s New company incorporation and also bank account opening process is partially computerized.

The Bangladeshi company formation process consists of three main steps: 

STEP 1: Name Clearance: The first step of company formation in Bangladesh is to secure name clearance for the proposed company name. As well as you will receive a bank payment slip after submitting your application for name clearing, and you must pay Taka 600 to the authorized bank. 

Tips: When visiting the RJSC website, use Internet Explorer or Mozilla Firefox. Other browsers may not be compatible.

To increase your chances of getting a name approved quickly, make sure it:

1. isn’t too similar or identical to any current local business names
2. is free of trademark infringement
3. is not vulgar or obscene
4. hasn’t been reserved yet

STEP 2: Opening Bank Account & Transferring Paid-up Capital:

If the proposed corporation has foreign shareholders, New company incorporation and bank account opening step is required.

Then, with any authorized bank in Bangladesh, create a checking account in the prospective company’s name. Additionally, you must deposit money equivalent to the shares owned by the foreign owner outside of Bangladesh. RJSC will require an Encashment Certificate from the Bank in order to incorporate.

STEP 3: Business Registration

The final step is to fill out the RJSC’s website with all of the essential information. You’ll also need to upload Form IX and the Subscriber Page. After you’ve completed all of the steps, you’ll be sent a bank payment slip to pay the New company incorporation and also bank account opening costs and stamp tax.

You’re finish once you’ve made the bank payment. You must now follow up with the RJSC in order to receive the incorporation certificate. Correspondingly officials from the RJSC will examine the information and documents. They will issue the digitally signed 

1. i) Articles of Incorporation.

2. ii) MoA and AoA.

 iii) Form XII if they are please. 

These materials will be sent to the email address on file with your RJSC account. The offshore company formation process can be delay in some cases if the owners or administrators are of a certain nationality.

Post-Registration Formalities

Document Issued By RJSC

1. Certificate of  Business Registration: RJSC will provide the firm with a Certificate of Incorporation. The certificate will include the business registration number, name, and date of incorporation.
2. Form XII: This form contains the incorporated company’s board of directors.
3. Certified MoA and AoA copies

Other things you will almost probably require when offshore company formation in Bangladesh include:

1. Certificates of ownership for each shareholder
2. Keep track of shareholders, shares, and also directors.
3. The business’s seal.
4. The company’s rubber stamp.

Applying For Trade, Tax Identification Number And Other License 

Following New company incorporation and bank account opening, you should purchase or rent a business premises in any commercial district. After that, you must obtain a Trade License and a Tax Identification Number. Lastly, you may require additional business licenses depending on your company’s activity.

Requirements For Filing Returns

Yearly Return: An Yearly General Meeting is required to be held each calendar year. The AGM must be hold within 18 months of the company’s incorporation, and no more than 15 months must pass between AGMs after that.

Regular Return: A relevant refund must be submit with the RJSC within a set amount of time if the board of directors, shareholding structure, or any another change occurs.

If You want to open a new company in Bangladesh contact us. We are experts in offshore company formation and foreign entity setup in Bangladesh.