Private Limited Company Registration services in Pakistan [2023]

Overview

Setting up a private limited company is one of the highly recommended ways to start a business in Pakistan. This type of company offers limited liability for its shareholders with certain restrictions placed on the ownership. An LLP has partners, who own and manage the business. Whereas in private limited company registration, directors may be different from shareholders.

Sidekick.pk, your trusted legal advisor, provides a cost-effective company registration service in Pakistan. You may learn how to register your business here. We take care of all legal formalities and fulfill the compliances, as defined by the Security and Exchange Commission of Pakistan (SECP). Post-approval of the company registration process, you receive a Certificate of Incorporation (SECP), along with valid CNIC & NTN. Now, you can open a current bank account and begin your business operations.

Benefits

Registering a company offers many benefits. A registered company increases the authenticity of your business. It helps your business:

• Shield from personal liability and protects from other risks and losses

• Attract more customers

• Procure bank credits and good investment from reliable investors with ease

• Offers liability protection to protect your company’s assets

• Greater capital contribution and greater stability

• Increases the potential to grow big and expand

Checklists

• Three Names of the proposed company

• Neat and Clear Scanned copies of CNIC's of all the proposed Directors / subscribers

• NTN of the proposed directors / subscribers

• Registered address / correspondence address of the proposed Company

• The principal business of the proposed company

• Nature of the business activity

• Authorized Capital

• Paid up Capital

• Value per share e.g.Rs. 10, Rs. 50 or Rs. 100 etc

• Combination of Shares agreed to be subscribed by each director / subscriber

• Name of the Chief Executive of the Proposed Company

• Authorization from other subscribers. (For Offline only)

• Telephone numbers and email ID of all the proposed directors

• Telephone numbers and email ID of all the proposed directors of the Company

• Name of declarant person

• SECP login details of the proposed directors / subscribers(if any)

Documents Required

In Pakistan, Public limited company registration cannot be done without proper identity and address proof. Listed below are the documents accepted by the SECP for the online company registration process:

#1 Public Limited Company

Generally speaking, a public limited company has their shares offered to the general public. Those shares are with limited liability.

Anyone can acquire the shares. It may be through a public offering or through trading in the stock market.

There are two types of public limited companies in Pakistan, unlisted and listed.

	Listed	Unlisted
Allowed Foreign Ownership	100%	100%
Minimum Capital	PKR 200 million (~USD 1.6M)	PKR 100,000 (~USD 823)
Listed in Stock Exchange	Yes Shares must be subscribed by at least 500 applicants	No
Minimum No. of Shareholders	7	3
Time of Incorporation	6 weeks	6 weeks

How to register a company in Pakistan?

The Step by Step Procedure of Private Limited Liability Company Registration in Pakistan
The procedure of registering a public limited company is same as above. However, they may require you to submit more documents.

Step 1: Approval of Company Name

This is the first step of company registration in Pakistan is choosing the company’s name. It is important to devise a unique company name that would set you apart from the rest in the industry.
You must follow the restrictions and guidelines. For example, make sure that your company’s name does not include any prohibited words.

Step 2: Submission of Documents

Once the company name gets the approval, you need to submit the incorporation documents to the Securities and Exchange Commission of Pakistan (SECP).

Step 3: Certificate of Incorporation

After submitting the documents, the SECP evaluates them. They check their validity. A digital signature is granted by the National Institutional Facilitation Technologies (NIFT) and can be acquired through the SECP.
Also, they issue the certificate of incorporation. Presentation of the company may be needed. However, this depends on where the business started.

Step 4: Deposit of Shares

After the registration, shareholders must deposit their corresponding amount of shares to the company’s bank account.

Step 5: Registration of Income, Sales, and Professional Taxes

In conclusion, the last step of company registration in Pakistan is the registration with the Federal Board of Revenue (FBR) and issuance of a national tax number (NTN). A sales tax registration number may be registered if applicable.

Alternatives to company registration in Pakistan

Branch Office

A branch office is a suitable alternative to company registration if your company wants to have a presence in Pakistan without setting up a separate legal entity.
Branches carrying out a contract in Pakistan can be established. However, a branch office cannot take part in any commercial or trading activities of whatever nature. Therefore, your activities depend on the contract you signed. The contract restricts your activities.
The parent company owns 100% of the branch office in the country of origin. Since it is not a limited liability company, it does not require any minimum capital either.

FAQs

What are the rules for picking a name for a private limited company?

The registrar of companies (RoC) across Pakistan expect applicants to follow a few naming guidelines. Some of them are subjective, which means that approval can depend on the opinion of the officer handling your application. However, the more closely you follow the rules listed below, the better your chances of approval. First, however, do ensure that your name is available.

How much time is needed for setting up a private limited company in Pakistan?

If you have all the documents in order, it will take no longer than 15 days. However, this is dependent on the workload of the registrar.

Do I need to be physically present during this process?

No, new company registration is a fully online process. As all documents are filed electronically, you would not need to be physically present at all. You would need to send us scanned copies of all the required documents & forms.

What documents are required to complete the process?

All directors must provide identity and address proof, as well as a copy of the PAN card (for Indian nationals) and passport (for foreign nationals). No-objection certificate must be submitted by the owner of the registered office premises.

Private Limited Company Registration services in Pakistan with sidekick.pk