Learn how to register a trade license in Dhaka with this detailed guide. We explain the step-by-step process, required documents, fees, and how BreakBite eBusiness can help with your registration.
Introduction:
Obtaining a trade license is a crucial step for any business operating in Bangladesh. This legal document, issued by the local government authority, certifies that a business is permitted to operate in a specific area and trade in a particular sector. Whether you’re starting a small business or a larger company, knowing the process and requirements for obtaining a trade license ensures that your business is compliant with local laws.
This guide provides a step-by-step breakdown of the registration process, documents required, and the associated fees. For those looking for professional help, BreakBite eBusiness offers complete solutions for trade license registration and renewal services in Dhaka.
Businesses in other cities will need to apply to their respective City Corporation or Municipality.
It’s important to determine where your business is located and understand which local authority governs that area. You will also need to classify your business as a commercial, industrial, or professional entity.
Step 2: Gather the Required Documents
To register for a trade license, you need to prepare the following documents:
Application Form: Obtain the trade license application form from your respective city corporation office or download it from their website.
National ID Card (NID) or Passport: Copy of the owner’s NID or passport.
TIN Certificate: A Tax Identification Number (TIN) certificate is required to prove your tax status.
Proof of Ownership/Rental Agreement: A deed of ownership or a rental agreement showing the address of the business premises.
Recent Passport-Sized Photographs: Typically, two copies of passport-sized photographs of the business owner.
VAT Registration Certificate: Depending on your business type, a VAT certificate may be required.
Municipal Holding Tax Payment Receipt: Proof of payment of the municipal holding tax for your business premises.
Fire Service Clearance Certificate: For businesses that handle sensitive or hazardous materials, a clearance from the fire department may be required.
Check with your local authority for any additional documents that may be specific to your business type.
Step 3: Submit Your Application
Once you have gathered the required documents, you will need to submit them along with your filled-out application form to the City Corporation’s Trade License Department.
For Dhaka North and Dhaka South, the application can typically be submitted in person at the city corporation office or through online portals where available.
You will be given an application reference number to track the status of your application.
Step 4: Pay the Trade License Fees
After submitting the application, you will need to pay the required trade license fee. The fees vary based on the type and size of the business and location. Typically, trade license fees range from BDT 500 to BDT 40,000, depending on the nature of the business.
The payment can be made through the designated bank branches or online payment portals of the respective city corporations.
Step 5: Inspection by the Licensing Authority
After the fee payment, the licensing authority may conduct a site visit to inspect the business premises. This is particularly common for businesses that require specific safety measures, such as industrial units or those dealing with hazardous materials.
The inspection ensures that the business complies with local regulations before the trade license is issued.
Step 6: Issuance of Trade License
Once the application is approved, the City Corporation will issue the trade license, which will typically include:
License number
Business name
Business location
Type of business
This trade license is valid for one year and needs to be renewed annually.
Step 7: Trade License Renewal Process
To ensure your business remains compliant, you must renew your trade license every year. The renewal process is simple and involves submitting:
Your existing trade license
Updated documents, if any
Renewal fees (often the same or slightly higher than the initial fee)
Failure to renew the license on time may result in penalties.
Legal Compliance: Operating with a valid trade license ensures your business is legally recognized.
Trustworthiness: A registered trade license builds trust with customers and clients.
Government Assistance: Only businesses with a trade license are eligible for government subsidies, grants, and other support services.
Tax Filing: Having a trade license allows you to maintain better tax records and simplifies VAT/TAX filings.
Conclusion:
Obtaining a trade license in Dhaka is essential for running a compliant business. By following this guide, you can easily navigate the process. However, if you prefer professional assistance, BreakBite eBusiness offers complete trade license registration and renewal services to ensure a smooth process for your business.
Learn how to register a limited company in Bangladesh with this comprehensive guide. From name clearance to RJSC filing, our step-by-step process will walk you through every phase.
Introduction:
Starting a business in Bangladesh requires you to follow certain legal procedures, especially when registering a limited company. Whether you’re a local entrepreneur or a foreign investor, understanding these steps is crucial to ensure compliance with the laws set by the Registrar of Joint Stock Companies and Firms (RJSC).
In this guide, we’ll provide a step-by-step breakdown of how to register a limited company in Bangladesh.
Step 1: Name Clearance from RJSC
Before you can register your limited company, you need to secure a unique company name.
Once approved, the name will be reserved for 90 days, during which you must complete the registration process.
Step 2: Drafting the Memorandum and Articles of Association (MoA & AoA)
Once the name is cleared, the next step is to draft the Memorandum of Association (MoA) and Articles of Association (AoA). These documents are crucial for defining the purpose and structure of your company.
Memorandum of Association (MoA): Outlines the primary business objectives of your company.
Articles of Association (AoA): Governs internal operations, rights, and responsibilities of directors and shareholders.
Make sure to include:
Shareholder details (name, address, national ID/passport).
Company’s registered office address.
Details of the directors and managing personnel.
Step 3: Open a Bank Account and Deposit Initial Capital
Before you can proceed with registration, you need to open a bank account in the proposed company’s name. This bank account will be used to deposit the initial paid-up capital.
Visit a bank in Bangladesh with your name clearance approval.
Open an account under the company’s name.
Deposit the required paid-up capital (the amount depends on your business type).
Obtain an Encashment Certificate from the bank, confirming the deposit of capital.
Step 4: Submit Documents to RJSC for Registration
How to register a limited company in Bangladesh? Once the bank account is set up and the initial capital deposited, you’re ready to submit all documents to the RJSC for registration. This is the most critical step in the process.
Documents required for company registration:
Name Clearance Certificate.
Memorandum of Association (MoA) and Articles of Association (AoA).
Directors’ particulars (including Form IX for director appointments).
Form XII: Annual return form detailing the company’s financial status.
You will need to pay the applicable government fees at this stage. Once submitted, RJSC will review your application, and if everything is in order, your company will be officially incorporated.
Step 5: Obtain the Certificate of Incorporation
Once your registration is approved, RJSC will issue a Certificate of Incorporation, officially confirming that your company is registered. This document includes:
Your company registration number.
Date of incorporation.
The company’s legal status.
At this point, your company is now legally recognized in Bangladesh.
Step 6: Post-Incorporation Compliance
After registering your company, there are several post-incorporation formalities you must follow:
Trade License: Apply for a trade license from the City Corporation where your business is located. This is mandatory for operating any business in Bangladesh.
Tax Identification Number (TIN): Register your company for a TIN with the National Board of Revenue (NBR) to ensure compliance with tax laws.
VAT Registration: If your business meets the VAT threshold, register for VAT to ensure proper tax reporting.
Step 7: Additional Considerations for Foreign Investors
If your limited company includes foreign shareholders, there are a few additional steps:
Board of Investment (BOI) approval is required for certain industries.
A business visa may be necessary for foreign directors, and you may need to secure work permits for expatriates working in the company.
Foreign investors must inject at least USD 50,000 into the company’s capital to obtain a work permit.
Conclusion:
By following these steps, you can successfully register your limited company in Bangladesh and ensure it operates legally and efficiently. Whether you’re starting a local business or setting up operations as a foreign investor, understanding the registration process is the first step toward success.
If you need professional help with the registration process, BreakBite eBusiness is here to assist you every step of the way, from name clearance to post-registration compliance.
Call to Action:
Contact BreakBite eBusiness today to get started with your company registration. We offer complete solutions, including document preparation, compliance guidance, and more. You can easily do all the stuffs without any hustle by just ordering at https://breakbite.com/product/limited-company-registration-rjsc/
The Women Entrepreneurs Business Support Centre hosted a webinar on the topic of Business Intelligence Solution (BIS) to educate and empower women entrepreneurs about the advantages of using data-driven insights to enhance their business operations. The session featured keynote speaker Mohammad Nakibul Alam, Senior Executive and Data Analyst at Icreation Limited, who introduced the importance of BI systems and their potential impact on small and medium enterprises (SMEs).
Date: October 8, 2024 Organized by: Women Entrepreneurs Business Support Centre Participants: 40
Key Points Discussed
1. Importance of Business Intelligence for SMEs: Mohammad Nakibul Alam highlighted the crucial role of BI systems in improving decision-making processes. He emphasized that transforming raw data into actionable insights enables businesses to identify trends, evaluate performance, and implement strategic initiatives effectively.
2. Benefits of the Sales Dashboard for SMEs:
Sales Forecasting: Entrepreneurs can use historical sales data to predict future sales patterns.
Performance Tracking: A Sales Dashboard provides a comprehensive view of daily, weekly, monthly, quarterly, and yearly sales performance, including profit margins and product-specific sales data.
Identifying Business Loopholes: The dashboard allows business owners to detect operational gaps and make strategic adjustments to boost performance.
Customer Analytics: By leveraging customer analytics, entrepreneurs can build a loyal customer base and reduce social media advertising costs.
As the Associate Professor of the Department of Marketing and International Business, Dr. Farzana Nahid added valuable insights, highlighting the wider benefits of Business Intelligence for SMEs, particularly in streamlining decision-making and fostering growth. And Adnan Ahmed who moderated this session also added the importance of using Artificial Intelligence in Business.
Key Entrepreneur Insights
Many participants, including Afroza Naznin Shumi, Lameya Mitu, and Rudronil Das Gupta, expressed a strong interest in integrating BI systems into their business models. While the concept was new to several attendees, there was a notable eagerness to adopt these tools to enhance their operations and improve decision-making.
Conclusion
The primary objective of the webinar was to introduce women entrepreneurs to the potential of Business Intelligence systems in driving growth and resilience in the current challenging business climate. By integrating BI solutions, entrepreneurs will be equipped to better navigate future challenges and make informed decisions that align with their business goals.
