How to incorporate a company in Pakistan

Incorporating a company in Pakistan is the first legal step toward building a formal business structure. Whether you are a local entrepreneur or a foreign investor, registering a company with the Securities and Exchange Commission of Pakistan (SECP) opens the door to legal protections, tax benefits, and business credibility.

This guide walks you through the entire process of company incorporation in Pakistan, including requirements, timelines, types of companies, SECP portal usage, compliance obligations, and post-incorporation essentials.

Table of Contents

1. Introduction

2. Why Incorporate a Company in Pakistan

3. Legal Framework for Incorporation

4. Types of Companies in Pakistan

5. Key Benefits of Incorporation

6. Pre-Incorporation Checklist

7. Step-by-Step Guide to Incorporation

8. Name Reservation Through SECP

9. Digital Signature and User Registration

10. Submission of Incorporation Documents

11. Memorandum and Articles of Association

12. Company Incorporation Forms

13. Payment of Incorporation Fee

14. Certificate of Incorporation

15. Post-Incorporation Legal Requirements

16. FBR Registration (NTN and STRN)

17. Opening a Business Bank Account

18. Registration with PSEB, PRA, or other Regulators

19. Tax and Audit Obligations After Incorporation

20. SECP Compliance Filings and Forms

21. Choosing the Right Company Structure

22. Role of a Corporate Consultant in the Incorporation Process

23. Common Mistakes During Incorporation

24. How Sterling.pk Helps You Register a Company

25. SEO Title and Meta Description

1. Introduction

Company incorporation in Pakistan is administered by the SECP, under the Companies Act, 2017. It is now easier than ever to incorporate a company online using SECP’s eServices portal.

2. Why Incorporate a Company in Pakistan

Incorporating your business provides:

• Legal protection for owners

• Improved access to funding

• Recognition as a formal entity

• Access to government contracts and licenses

• Increased credibility with clients and partners

3. Legal Framework for Incorporation

The process is governed by:

• Companies Act, 2017

• SECP Incorporation Regulations

• Income Tax Ordinance, 2001 (for tax registration)

• FBR e-Enrollment Rules

4. Types of Companies in Pakistan

You can register the following company types:

• Private Limited Company (Pvt Ltd)

• Single Member Company (SMC)

• Public Limited Company (Listed/Unlisted)

• Company Limited by Guarantee

• Non-Profit Association (Section 42 Company)

5. Key Benefits of Incorporation

• Limited liability for owners

• Perpetual succession

• Easier access to capital

• Tax advantages in certain cases

• Legal recognition and protection

6. Pre-Incorporation Checklist

Before you apply:

• Choose a unique company name

• Identify shareholders and directors

• Prepare documents: CNICs, address, business details

• Draft Memorandum and Articles of Association

• Arrange for digital signatures (required for SECP filings)

7. Step-by-Step Guide to Incorporation

The process involves:

1. SECP eServices registration

2. Name reservation

3. Digital signature acquisition

4. Document submission

5. Payment of fee

6. Certificate issuance

7. Tax registration with FBR

8. Opening of corporate bank account

8. Name Reservation Through SECP

You must first reserve your business name via the SECP eServices portal.

• Name must be unique and not misleading

• Offensive or religious names are restricted

• Use SECP’s name search tool to check availability

9. Digital Signature and User Registration

All company incorporations require a digital signature issued by NIFT.

• Register as a user on SECP eServices

• Submit CNIC and email details

• Purchase a digital certificate (valid for 1-2 years)

10. Submission of Incorporation Documents

Once your name is approved, upload the following to SECP:

• Form I: Declaration of compliance

• Form 21: Notice of situation of registered office

• Form 29: Particulars of directors, CEO, etc.

• MOA and AOA

• CNIC copies of directors and witnesses

11. Memorandum and Articles of Association

• MOA defines the company’s purpose and activities

• AOA outlines internal rules, voting rights, board powers

• Standard templates are available for general business activities

12. Company Incorporation Forms

All filings must be done digitally:

• Form I – Compliance declaration

• Form 21 – Registered office details

• Form 29 – Details of management
  All forms must be signed digitally and submitted via SECP’s portal.

13. Payment of Incorporation Fee

Fees vary depending on capital and company type:

• SMC: Around PKR 1,800–2,200

• Pvt Ltd: Starting from PKR 2,000+

• Payable via bank challan or 1LINK (online payment gateway)

14. Certificate of Incorporation

After document verification, SECP issues a Certificate of Incorporation within 1–3 working days. The company now has a distinct legal identity.

15. Post-Incorporation Legal Requirements

Once incorporated, the company must:

• Register with FBR for NTN

• Open a company bank account

• Register for sales tax if applicable

• Maintain statutory records and hold annual meetings

16. FBR Registration (NTN and STRN)

Every company must:

• Apply for an NTN using IRIS portal (FBR)

• Provide incorporation certificate, CNICs, lease agreement, letterhead

• Apply for Sales Tax Registration (STRN) if relevant

17. Opening a Business Bank Account

Required documents include:

• Certificate of Incorporation

• MOA and AOA

• Board resolution authorizing account opening

• NTN and CNICs
  Choose a bank that offers corporate accounts with e-banking and integration support.

18. Registration with PSEB, PRA, or other Regulators

Depending on your sector:

• PSEB registration is mandatory for IT exporters

• PRA registration for services under Punjab Revenue Authority

• Sector-specific licenses for telecom, healthcare, education, etc.

19. Tax and Audit Obligations After Incorporation

New companies must:

• File annual income tax returns

• File monthly sales tax returns, if registered

• Conduct annual audits (mandatory for some companies)

• Withhold tax where applicable under various sections (149, 153, etc.)

20. SECP Compliance Filings and Forms

Recurring filings include:

• Form A – Annual return

• Form 29 – Whenever directors change

• Form 45 – Compliance certificate
  These filings are mandatory to keep your company active and compliant.

21. Choosing the Right Company Structure

• SMC: Ideal for solo entrepreneurs

• Private Ltd: Best for partnerships and growing businesses

• Public Ltd: Required for large-scale fundraising and listings
  Corporate consultants help choose the optimal structure for your goals.

22. Role of a Corporate Consultant in the Incorporation Process

Professional assistance ensures:

• Error-free form submission

• Compliance with naming and capital rules

• Efficient communication with SECP and FBR

• Ongoing support for filings, taxes, and licenses
  Firms like Sterling.pk offer end-to-end incorporation and compliance solutions.

23. Common Mistakes During Incorporation

• Choosing an ineligible or reserved name

• Incorrect or missing documents

• Using outdated MOA templates

• Failing to register with tax and sales authorities

• Not filing mandatory post-incorporation forms

24. How Sterling.pk Helps You Register a Company

Sterling.pk specializes in company incorporation with services such as:

• Name search and reservation

• Preparation of MOA/AOA

• Complete SECP documentation and filings

• FBR registration for NTN and sales tax

• Corporate bank account facilitation

• Compliance calendar and advisory support
  We make the incorporation process seamless for local and foreign clients.