Company / Firm Registration in Pakistan, SECP Registration
Following types of company's registrations are available in Pakistan:
- Single Member Company (SMC)
- Private Limited Company (LLC)
- Limited Liability Partnerships (LLP)
- Public Company
- Branch / Liaison Office
1. Single Member Company (SMC)
Single Member Company (SMC) holds a separate legal entity comprising of 1 owner (Director / Member). This type is introduced in Companies Act 2017 to facilitate the sole proprietors to form a separate legal entity.
2. Private Limited Company (LLC):
A private limited company is a corporation formed by two or more people by getting registered with SECP. Such type of companies can't offer their shares to the public. Liability of the shareholders are limited to their contributed amounts only. PKR 100,000 is the minimum capital required to establish such form of a company.
3. Limited Liability Partnerships (LLP)
Limited Liability Partnerships or LLP can be registered by two or more persons who enters into an agreement to carry a lawful business after being registered with the SECP as an LLP. This form of company registration was introduced in May 2018 by SECP to give the business a legal status which is separated from their partners. It allows the partners to organize their internal management on the basis of mutual agreement while enjoying the benefits of limited liability company.
4. Public Company:
A public limited company offers their shares to the public. These shares are traded in the stock exchange. Buyers of the shares have the limited liability and can't be held responsible for any business losses in access to the amount they have paid for the shares. Accounts of the public limited companies are audited and are made available to the public for the information.
5. Branch / Liaison Office:
Liaison office is established and registered by a foreign company in order to extend their assistance to their customers in Pakistan. The primary motive behind their establishment is to provide a local channel of communication between the foreign company and their clients in Pakistan. Businesses registered under this category are not allowed be involved in any commercial or a trading activity.