It is mandatory to start a new business getting Trade License in Bangladesh. Generally, proprietorship business can start after getting Trade License. However Limited Company and Partnership business firstly needed of registration at RJSC (Office of the Registrar of Joint Stock Companies and Firms ). After getting Incorporation Certificate or Partnership Firm Registration at RJSC then to collect trade license. Basically, Trade License issued by local authority. At rural area trade license issuing authority is Union Council and Urban area trade license issued by municipality or Upozila Council. Metropolitan city areas trade license issuing authority is City Corporation as like Dhaka City Corporation, Gazipur City Corporation etc.
How to collect Trade License in Bangladesh:
By providing following documents someone can collect Trade License in Bangladesh:
- Select a good name of the business ( proprietorship business)
- Owners name ( for proprietorship business)
- Managing Director’s name ( Limited Company)
- Partner’s Name (for Partnership Business)
- Passport Size photographs 3 copies (Owners, Managing Director…)
- Business Address
- Incorporation Certificate (for Limited Company)
- Memorandum of Association & Articles of Association ( If Limited Company)
- Partnership Deed ( If Partnership Firm)
- Parents Name of owners, Managing Director of the company
- Indicate business sector/ sectors
- National ID card copy/ Passport copy (owners, Managing Director..)
- fees deposit chalan copy
- VAT chalan copy of Trade License
- Office rental deed of the company
- Needs respective authority’s permission ( if necessary)
After getting trade license to collect company’s TIN Certificate (Taxpayers’ Identification Number) and to open company’s bank account (business account) for operating business transaction of the company. Moreover, must collect VAT Certificate (Value Added Tax) of deducting VAT at port by the customs’ authority for exporting and importing goods and others business activities. Also needs TIN Certificate for deducting AIT at source (Advance Income Tax) to operate business in Bangladesh. If two or more entrepreneurs want to start the business have to Incorporate a Company or Register a Partnership Firm at RJSC in Bangladesh.