How to Register a Software House in Pakistan (2025 Guide)
Setting up a software house in Pakistan is a smart move given the country’s growing IT exports, skilled talent pool, and government incentives. Whether you’re building SaaS products, offering custom development, or launching a tech startup — registration is your first legal step.
In this guide, we’ll walk you through everything needed to register a software company in Pakistan — from choosing a company type to SECP registration, tax setup, PSEB enlistment, and post-registration compliance.
🧱 Step 1: Decide Your Legal Structure
The first decision you need to make is what type of legal entity you’ll register. For software houses, the most common options are:
➤ Sole Proprietorship
- Easiest to register
- Owned by a single person
- Registered with FBR only
- Limited credibility with clients or investors
➤ Private Limited Company (Pvt Ltd)
- Most recommended for software houses
- Registered with SECP
- Separate legal identity (company = legal person)
- Can open a business bank account
- Eligible for international contracts, funding, and PSEB registration
🏢 Step 2: Register the Company with SECP
If you’re opting for a Private Limited Company, you’ll need to go through the Securities & Exchange Commission of Pakistan (SECP).
Documents Needed:
- CNIC copies of directors
- Proposed company name
- Business address
- Memorandum & Articles of Association (MOA + AOA)
SECP Registration Process:
- Name Reservation (1 day)
→ Apply via SECP’s eServices Portal - Incorporation Application (2–3 days)
→ Submit digital form + attach required documents - Certificate of Incorporation
→ Issued after approval; confirms the legal formation of your company
Typical Timeframe: 3 to 5 working days
🧾 Step 3: Register with FBR (Income Tax & NTN)
Once your company is incorporated, the next step is to get registered with the Federal Board of Revenue (FBR) for tax compliance.
FBR Registration Includes:
- NTN (National Tax Number)
- Income Tax Filing Access via IRIS
- Optional: Sales Tax Registration (only if offering taxable services)
Documents Required:
- SECP Incorporation Certificate
- Company Bank Account
- Business Address Evidence
- CNICs of directors
- Letterhead with company name and address
Timeline: 1–2 working days
🌐 Step 4: Get PSEB Registration (Optional but Recommended)
The Pakistan Software Export Board (PSEB) registration is highly recommended for software houses that:
- Want to export software or services
- Want to avail tax exemptions and government incentives
- Want to be listed in PSEB’s official IT directory
Benefits of PSEB Registration:
- Tax exemption on IT exports (till June 2026)
- Access to training, grants, and export facilitation
- Legal credibility in international markets
Process:
- Register your business with SECP
- Have an NTN and bank account
- Apply via PSEB’s online portal
- Upload required documents
- Verification & issuance of certificate
Timeline: 7 to 10 working days
🧾 Step 5: Register with Provincial Tax Authorities (If Applicable)
If your software house rents an office, or operates in regions like Punjab or Sindh, you may also need to register with:
- Punjab Revenue Authority (PRA) for Punjab-based offices
- Sindh Revenue Board (SRB) for Sindh-based offices
This step applies if:
- You’re offering services within the province
- You’re issuing invoices with sales tax on services
Timeline: 3–5 working days
🏦 Step 6: Open a Business Bank Account
Once your company is registered and you have your NTN, you can open a corporate bank account.
Documents Required:
- Certificate of Incorporation
- NTN Certificate
- Board Resolution (for Pvt Ltd)
- CNICs of Directors
- Business Letterhead
- Business Address Proof
This account is mandatory to:
- Receive payments from clients
- Handle payroll and expenses
- Track your business cash flow
📄 Step 7: Set Up Monthly Compliance Systems
Once you’re fully registered, your software house must stay compliant by:
Monthly/Annual Compliance Checklist:
- File monthly tax returns (sales tax or withholding tax if applicable)
- File annual income tax returns on FBR’s IRIS portal
- Submit SECP annual return for Pvt Ltd companies
- Maintain proper financial records for audit & investor readiness
- Renew PSEB profile annually (if registered)
You can either:
- Handle this via an in-house accountant
- Or outsource to a tax & compliance consultancy like Sterling.pk
⏱ Complete Timeline for Registration
| Step | Duration |
|---|---|
| Name Reservation (SECP) | 1 day |
| Company Incorporation (SECP) | 2–4 working days |
| FBR NTN Registration | 1–2 working days |
| Bank Account Opening | 2–3 working days |
| PSEB Registration (optional) | 7–10 working days |
| PRA/SRB (if required) | 3–5 working days |
Total Estimated Time: 7 to 15 working days
(Can vary depending on responsiveness and documentation accuracy)
📌 Final Checklist Before You Start Operating
✅ Decide legal structure (Proprietor vs Pvt Ltd)
✅ Register your company on SECP
✅ Get FBR NTN & login access
✅ Open business bank account
✅ Apply for PSEB registration (for tax exemption & IT benefits)
✅ Register for Sales Tax (if needed)
✅ Ensure ongoing compliance with FBR & SECP
💡 Pro Tips
- Always choose a Private Limited Company if you plan to grow, scale, or raise funding
- Get a business email domain and website early for credibility
- Register with PSEB early to avoid missing tax benefits
- Keep your financial records clean from day one (monthly bookkeeping, tax filings)
📍Need Help?
Sterling Consultancy can register your software house end-to-end with:
- SECP, FBR, PSEB, PRA/SRB setups
- Monthly filings & compliance
- Financial system setup and guidance
👉 Visit Sterling.pk or WhatsApp us at +92 319 7508007 to get started.
