How To Register a Firm In Pakistan? well firm registration in Pakistan is very easy. For partnership firm registration there is a slightly different procedure. Before establishing a partnership business in Pakistan, you must first register a firm. Why? Because it can help you in a variety of ways. For example, you can gain more public trust, reduce the likelihood of partner conflict, and so on.
The Partnership Act of 1932 governs the process of registering a company in Pakistan. However, once the firm registration form is done, you will have certain statutory rights that non-registered firms do not have.
We will discuss how to register a company or partnership in this section. What are the requirements for registering a business? And how much does it cost to register a business in Pakistan?
Documents Required for Firm Registration
These documents are required to register a firm or partnership business.
- Fill out Form 1 of the Partnership
- Rs. 1000 Partnership Deed on Stamp Paper
- Affidavit of truthfulness concerning the information on Stamp paper worth Rs. 50.
- Receipt of the registration fee for the firm.
- Copy of the office premises’ rent deed/lease agreement.
- Utility bills, primarily electricity bills, must be copied.
- Copies of partners’ and witnesses’ computerized national identification cards
- Stamp paper that has been duly attested by a notary public.
PARTNERSHIP FIRM REGISTRATION PROCESS IN PAKISTAN
A partnership (also known as a Firm / Form C) is a business structure that functions similarly to a sole proprietorship, but with multiple people running it. Depending on their agreement, the general partners split the profits and/or losses.
They share authority and responsibility for business operations. Partnership taxes are paid by the general partners on their personal tax returns in proportion to their share of ownership under the terms of the partnership agreement.
In order to register a partnership firm in Pakistan, an application on Form 1 must be filed with the registrar of firms, along with the following documents:
- A minimum of two people are required to register a business as a partnership firm, and the following information is required for each partner: Full Name, Father or Husband Name, Residential Address, and Occupation.
A copy of both partners’ national identification cards.
A partnership deed on stamp paper is required as well.
Proof of the Partnership Business’s address, typically an electricity bill
If the Partnership Business’s address is rented, a rent deed is required.
Original receipt of the Partnership Fee deposited in the National Bank of Pakistan.
Signatures of all partners in a partnership/firm in the presence of the registrar or an authorized officer.
You should keep in mind that if one of the partners is sued, all of the partners are held liable. Another disadvantage is that decision-making is shared among the partners, so no single person has control.