Why start Limited Company in Bangladesh

At recent days most of the countries economically depends on other countries for importing goods from other countries and exporting goods to other countries. Some countries enjoy geographically benefits to produce of particular agricultural crops some are not, that’s why creating trade & commerce to one country to another country. Doing business within two countries is called international business. Opening International business needs a large capital which is not good enough for operating to proprietorship or partnership business, so starting a limited company business is most effective that’s why start limited company in Bangladesh is the best all the way.

Limited Company business is the biggest part of trade and commerce into all over the globe. If someone wants to start a company business in Bangladesh, at first decide a good name selection for company of name clearance certificate and then commence company registration at RJSC (Office of the Registrar of Joint Stock Companies and Firms) in Bangladesh. Company registration has a certain legal procedure to establish of a company business in Bangladesh.

First of all, at least 2 (two) person and not more than 50 (fifty) Directors/ share holders for a privet limited company and at least 7 (seven) and highest unlimited share holders limited by shares can incorporate a public limited company at RJSC in Bangladesh under Company act 1994.

Two or more entrepreneurs joining together to commence a large business and invest huge capital for developing big factory /industries or can be developed large business and each share holder is a distinct intellectual of a particular business field for expanding company market, however, a sole proprietorship or partnership business are not possible to increase business arena as like limited company all the way.

A Limited Company can involve many kinds of business into Bangladesh and overseas country, which business activities are mentioned into memorandum of Articles of the company. Setting up a limited company in Bangladesh is followed by company act 1994. To establish a limited company in Bangladesh needs to company registration at RJSC (Office of the Registrar of Joint Stock Companies and Firms). After completing company registration or getting Incorporation Certificate then needs to collect few certificates for continuing business activities such as Trade License, Export Registration Certificate, Import Registration Certificate, Business Association Membership Certificate, VAT Certificate (Value Added Tax), TIN Certificate (Taxpayers Identification Number) and so on.

Limited Company has to a company Bank Account to deposit paid up capital or opening money of the company for this reason buyer/ business party feel secure to receive & payment of cash through proper banking Chanel, which is more transparent and safe than other kinds of businesses. Every share holder has to transfer his /her paid up capital from Personal Bank Account to Company’s Bank Account, as a result sufficient money will be ready to operate a large volume of business into local or foreign countries. On the other hand, sole proprietorship and partnership business suffering to the shortage of capital to deal handsome or large business in country or abroad.

Limited Companies’ bank also support loan facilities for increasing business capital to invest more, if company’s board of Director wants to lend money from respective bank, however, proprietorship or partnership business loan facilities are not sufficient enough for operating big business.

Privet limited company formation/ registration is the best way of starting a company business in Bangladesh. Vattern, energetic and enthusiastic entrepreneurs can open a limited company in Bangladesh by taking incorporation certificate from RJSC after completing company registration process in Bangladesh. Foreigner and large buyer wants to know your business information through authentic ways; company registration at RJSC could show exact information of your company to buyer or foreign traders, so limited company is more trust-able than other shorts of businesses for local, international and multinational business all the way.

Foreign and international traders want to business deal in with Company’s Director, Managing Director and Chairman, so limited company business can be expanded easily of inside or outside of the country, and other businesses are not possible as like to do.

Recently, a number of companies, most of the garments and software industries are opening or converting into limited company for attracting foreign investment by transferring company share or increasing share (new share allotment) of company from RJSC in Bangladesh.

Foreign and local entrepreneurs can invest their investment to open 100% foreign owned company or Joint venture Company into the country. There are many booming business sectors waiting for you (who are enthusiastic entrepreneurs) to invest here on it, such as, truism sector, garments industries, Agro-based plants, Frozen foods & Sea foods industries, Jute products & Jute mills, Fruit processing plants, Handicrafts and many more. Now truism is one of the most attractive and lucrative business sectors of foreign and local entrepreneurs to develop tourist accommodations and tour & leisure activities. Because they’re laying world’s longest sandy sea beach at Cox’s bazaar (140 Kilo meter long, 295 sunny days with mild weather and rest 70 days of windy sunny & rainy atmosphere), largest Mangrove forest and the Royal Bengal Tiger and Spotted Dare habitat Sundarban forest (10,000 Squire Kilo Meter 60% land into Bangladesh) in southwestern part of the country. World’s biggest artificial Lake Kaptai at Rangamati situated eastern parts of the land. Kuakata is another famous sandy sea beach for enjoying the rising sun from dawn to dust.

Now Bangladeshi ready-made garments’ sector is grabbing the leading possession into the world’s fashion industry. Potato export is another booming business of Bangladesh now seventh largest potato producing country into the world. According to the Bangladesh Bureau of Statistics (BBS), Bangladesh produced 92.54 million metric tons of potatoes in fiscal year 2014. For exporting potato needs export registration certificate to export foreign destination from Bangladesh. Foreign, international and multinational investment will be very much effective for global trade & commerce by operating Joint Venture, Local or 100% foreign owned Company registration form RJSC in the country. Now some of the world famous fashion Company’s regional office, Branch office, Country office and Liaison office are doing trade and commerce in Bangladesh with cordial atmosphere.

Author: Aman123