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Source: https://www.fmassociatesbd.

com/blog/item/25-list-of-licenses-permits-
certificates-a-company-in-bangladesh-need-to-acquire

List of Licenses, Permits & Certificates


a Company in Bangladesh Need to
Acquire
Once a Company is registered, or is about to get register, it is absolute
that the person in-charge must know the niche of the business and
comply according in a much needed legal manner to avoid challenges.
For example, if a business which may have an effect on the environment
must acquire related Licenses, Permits & Certificates of a Company in
Bangladesh. We at FM Associates provides Company and Corporate
Legal services to help acquire such Licenses.

We at FM Associates provides Company and Corporate legal services to


help acquire such Licenses.
Followings are an extrinsic such Licenses or Permits for Businesses:

 
Environment Clearance Certificate

Environment Clearance Certificate is provided by the Department of Environment (DOE), Bangladesh. The laws regulating the
requirements to obtain this certificate are the Bangladesh Environment Conservation Act (ECA) 1995, the Environment
Conservation (Amendment) Act (ECAA) 2010, and Environment Conservation Rules (ECR) 1997. 
It is mandatory to obtain Environmental Clearance for each and every type of industry
and project as per Bangladesh ECA 1995 and ECAA 2010. Environmental Clearance
Certificate can be classified into the following four categories: 

  Green 

  Orange-A 

  Orange-B 

  Red 

Environmental Clearance for Green category industries and projects is provided through
comparatively simple procedure. In case of Orange-A, Orange-B and Red Category
industries and projects, Site Clearance is mandatory at the beginning, then EIA
approval and finally Environmental Clearance is issued. 

For industrial units and projects falling in the Orange-A, Orange-B, first a Site Clearance
Certificate and thereafter an Environmental Clearance Certificate shall be issued. In
case of Red category industries, firstly a Location Clearance Certificate, then
Environment Impact Assessment (EIA) approval and thereafter an Environmental
Clearance Certificate shall be issued. 

The Environment Clearance requires to be renewed after three (03) years for Green
category and one (01) year for Orange-A, Orange-B and Red category industries.
 
Import Registration Certificate (Commercial IRC)
Commercial IRC is a very important certificate to be obtained by investors who need to import products or machineries. After
obtaining this certificate, the importer can import any permissible item without any restrictions on value and quantity. It has to be
renewed annually. It has to be obtained from CCI&E under the Ministry of Commerce of Bangladesh.  
The documents required to obtain the Commercial IRC are listed below –
 

1.  Passport size photograph of the entrepreneur/managing partner/managing


director;
2.  Valid Trade License;
3.  Valid Membership Certificate from a local Chamber of Commerce and Industry
or from concerned Trade Associations;
4.  Financial Solvency Certificate;
5.  Citizenship Certificate;
6.  Treasury Challan;
7.  TIN Certificate;
8.  Partnership Deed;
9.  Certificate of Incorporation, Memorandum and Articles of Association.

 
Export Registration Certificate (ERC)
ERC is a certificate granted by the CCI&E operating the under the Ministry of Commerce of Bangladesh. After obtaining this
certificate, an exporter can export any quantity of goods at any price from Bangladesh. It also has to be renewed annually. 
The documents required to obtain the Commercial IRC are listed below –
 

1.  Passport size photograph of the entrepreneur/managing partner/managing


director;
2.  Valid Trade License;
3.  Valid Membership Certificate from a local Chamber of Commerce and Industry
or from concerned Trade Associations;
4.  Financial Solvency Certificate;
5.  Citizenship Certificate;
6.  Treasury Challan;
7.  TIN Certificate;
8.  Partnership Deed;
9.  Certificate of Incorporation, Memorandum and Articles of Association.

 
Trade License (Commercial Firms)
Trade License is a license required by law of Bangladesh for every business entity e.g. sole proprietorship, partnership, company
etc. that is legally operating here. In the cities it is issued by the respective city corporation. Multiple trade license might be
required where the business has more than one location. It has to be renewed annually and it attracts Government fees depending
on the nature and type of business to be conducted. 
The following documents would be required in order to apply for the trade license for commercial firms:-
 

1.  Application form,
2.  National ID Card of the entrepreneur;
3.  Rent receipt or ownership proof;
4.  Holding Tax payment receipt;
5.  Passport size picture of the entrepreneur;
6.  Declaration on non-judicial stamp paper; 
7.  Memorandum and Articles of Association;
8.  Certificate of incorporation (if applicable);
9.  Agreement of Partnership (if applicable);
10.  Work Permit from BOI (if applicable);
11.  Bank solvency certificate; and
12.  TIN certificate. 

 
Trade License (Manufacturing Firms)
Trade license is a license required by any business entity in Bangladesh to operate legally in its soil. Although the procedure for
obtaining trade license for commercial and manufacturing firms is the same, the documents required in case of manufacturing
firms is much more compared to that of the commercial firms essentially because of the nature of operation of the former. It also
has to be renewed annually and it attracts Government fees depending on the nature and type of business to be conducted. 
The documents required to obtain a trade license for manufacturing firms are stated below:-
 

1.  Application form;
2.  National ID card;
3.  Rent receipt or ownership proof;
4.  Holding Tax payment receipt;
5.  Passport size picture of the entrepreneur;
6.  Declaration on non-judicial stamp paper; 
7.  Memorandum and Articles of Association;
8.  Certificate of incorporation (if applicable);
9.  Agreement of Partnership (if applicable);
10.  Work Permit from BOI (if applicable);
11.  Bank solvency certificate; 
12.  TIN certificate; 
13.  NOC declaration from the locality;
14.  Location Map;
15.  Sketch along with details of the proposed factory;
16.  Fire license; and
17.  Environment Clearance Certificate. 

 
Taxpayer’s Identification Number (TIN) Certificate
TIN Certificate is a unique number for each tax payer i.e. individual or company, of
Bangladesh provided by the NBR. With the notion of ‘Digital Bangladesh’, online
application for e-TIN certificate is now available. It is a certificate that is needed by
every individual who is required to pay tax in Bangladesh. It does not require renewal
unlike many other certificates discussed in this guide. 
Income Tax Ordinance (ITO), 1984 as amended up to July 2015 and Income Tax Rules 1984 are the governing laws of taxation
in Bangladesh. 
Requirements to be met in order to obtain TIN certificate are as follows:-
 
1.  Name of the applicant;
2.  Mobile phone number;
3.  Incorporation number of the company (if applicable);
4.  Date of incorporation of the company (if applicable);
5.  Trade License (if applicable);
6.  National ID/Passport. 

 
Value Added Tax (VAT) Registration Certificate
With time, VAT has become one of the major sources of revenue for the Government of Bangladesh. VAT Registration
Certificate is issued by the NBR operating under the Ministry of Finance, Bangladesh. VAT certificate has to be obtained by each
business entity that is required to pay VAT by law. 
VAT Act 1991 and VAT Rules 1991 are the governing laws of VAT in Bangladesh. 
Documents required to obtain VAT Registration Certificate are stated below:-
 

1.  Trade License;
2.  TIN Certificate;
3.  IRC/ERC;
4.  List of invoice and stored product;
5.  Passport size photos;
6.  Deed of Agreement;
7.  Bank solvency certificate;
8.  BOI registration; and
9.  Memorandum and Articles of Association. 

 
BOI Registration (Local and Foreign Investment Projects)
Investment projects in Bangladesh, either local or foreign, have to be registered with the
BOI in order to obtain various monetary and non-monetary benefits from the
Government of Bangladesh. 

The documents required for registration with BOI for local investment projects comprise
of:-

1.  Prescribed application form;


2.  Trade License;
3.  Certificate of incorporation;
4.  Memorandum and Articles of Association;
5.  Deed of proposed land;
6.  Project profile;
7.  Background of directors or partners;
8.  Pay order or bank draft of registration fee;
9.  TIN Certificate.

The documents required for registration with BOI for foreign investment projects comprise of:-
 
1.  Prescribed application form;
2.  Trade License;
3.  Certificate of incorporation;
4.  Memorandum and Articles of Association;
5.  Deed of proposed land;
6.  Joint Venture Agreement;
7.  Project profile;
8.  List of shareholders/directors;
9.  List of machinery;
10.  Encashment Certificate;
11.  Pay order or bank draft of registration fee;
12.  TIN Certificate.

 
Fire License
Considering the environment and to ensure the safety of the establishment along with the workers engaged in the business, it is
mandatory for buildings and business organizations to obtain fire license. It is issued by the Fire Service and Civil Defense
(FSCD) authority operating under the Ministry of Home Affairs, Bangladesh. 
The documents required to be submitted in order to obtain a fire license are as follows:-
 

1.  Prescribed application form;


2.  Trade license;
3.  Yearly valuation certificates;
4.  Deed of agreement;
5.  Layout of the establishment;
6.  Certificate of Incorporation;
7.  Memorandum and Articles of Association;
8.  No objection certificate from the local authority;
9.  Clearance certificate from the FSCD office;
10.  Deposit slip/treasury challan. 

 
Certification Mark (CM) License 
BSTI has the responsibility to specify a Standard Mark to be called the BSTI
Certification Mark which shall be of such design and contain such particulars as may be
prescribed to represent a particular Bangladesh Standard. It is a license which has to be
renewed after every three (3) years and is issued by the BSTI operating under the
Ministry of Industries, Bangladesh. 

In order to obtain the CM License, the following documents would be required:-

1.  Trade license;
2.  Permit from BOI
3.  Trademark registration application;
4.  Label or packet of the product;
5.  TIN certificate;
6.  VAT certificate;
7.  Environment clearance certificate;
8.  Premises license;
9.  Letter of credit;
10.  Invoice;
11.  Bill of entry;
12.  Import Registration Certificate(IRC);
13.  Radiation certificate (if applicable)
14.  License from District Commissioner;
15.  Flow sheet
16.  List of machineries in factory;
17. 17. Bio-data of the chemist. 

Approval of Factory Plan and Registration for Factories and Establishment


Every factory operating in Bangladesh, in order to function legally, must obtain approval of its plan and must register with the
DIFE, operating under the Ministry of Labor and Employment, which is the sole authority for providing the approval and
certificate of registration for factories. It is subject to renewal every financial year. 
The documents required for issuance of the approval and the certificate of registration comprise of the following:-
 

1.  Land document;
2.  Site plan/layout/master plan;
3.  Detailed construction plan;
4.  Machine layout and flow chart of manufacturing process;
5.  Trade license;
6.  Electricity demand note;
7.  Fee payment slip;
8.  Certificate of incorporation;
9.  Articles and Memorandum of Association.

Business License In Bangladesh


 (16 votes, average: 5.00 out of 5)
Without business license in Bangladesh no foreign investors are permitted to start any
business in Bangladesh.  The following business license in Bangladesh is required to
start a new business: 1. Company Registration 2. Trade License 3. Income Tax 4.
VAT license 5. Import/ export license 6. Fire License 7. Building Plan Approval 8.
Manpower 9. Factory Setup License 10. Ministry Permission 11. BOI/ BEPZA
permission

PRIVATE LIMITED COMPANY WITHOUT LIMITED LIABILITY COMPANY NO FOREIGN

REGISTRATION INVESTORS ARE ALLOWED TO START A BUSINESS IN

BANGLADESH. COMPANY INCORPORATION IS THE FIRST

BUSINESS LICENSE IN BANGLADESH AS REQUIREMENT.

CONDITION OF REGISTERING INCORPORATION:

·         MINIMUM 2 (TWO) PARTNERS

·         ANY AMOUNT OF PAID UP CAPITAL

·         100 PERCENT FOREIGN OWNERSHIP IS ALLOWED

·         BUSINESS ADDRESS SHOULD BE IN COMMERCIAL

BUILDING
·         BANK CERTIFICATE IS REQUIRED TO REGISTER FOREIGN

OWNERSHIP COMPANY

MANAGING TRADE LICENSE FROM CITY CORPORATION OR LOCAL

GOVERNMENT OFFICE IS SECOND STEP. PROVIDE SUPPORTING PAPERS:

TRADE LICENSE ·         PASSPORT COPIES

·         APPLICATION AND PHOTOS

·         TENANCY AGREEMENT

APPLY BY ONLINE AND PROVIDE PHYSICAL PASSPORT COPY BEFORE


INCOME TAX CERTIFICATE
INCOME TAX OFFICER TO VERIFY AND ISSUE CERTIFICATE.

AS BUSINESS LICENSE IN BANGLADESH, VAT LICENSE IS NEEDFUL FOR ALL

CORPORATIONS. THE FOLLOWING PAPERS ARE REQUIRED:

·         BANK SOLVENCY CERTIFICATE

VAT LICENSE

·         APPLICATION FORM

·         TENANCY AGREEMENT

·         REGISTRATION CERTIFIED COPIES

IMPORT/ EXPORT LICENSE EXPORT OR IMPORT LICENSE IS REQUIRED FOR THE EXPORTED AND/ OR

IMPORTER. THE FOLLOWING PAPERS ARE REQUIRED AS BUSINESS LICENSE


IN BANGLADESH:

·         COMPANY CERTIFIED COPIES

·         TRADE LICENSE

·         TAX AND VAT LICENSE

·         MEMBERSHIP FROM CHAMBER OF COMMERCE

·         GOVERNMENT FEES

TO SETUP FACTORY AS BUSINESS LICENSE IN BANGLADESH, THIS IS

MANDATORY ONE. YOU NEED TO PROVIDE THE FOLLOWING PAPERS:

·         LAND/ BUILDING PLAN

·         COMPANY REGISTRATION CERTIFIED COPIES AND TRADE


FIRE LICENSE
LICENSE

·         VAT AND TAX LICENSE

·         FIRE MATERIALS / MACHINERIES PURCHASE COPIES

·         BANK DEPOSIT

RAJUK/ LOCAL BUILDING PLAN TO START A FACTORY, RAJUK OR LOCAL AUTHORITY PERMISSION IS

REQUIRED. SUPPORTING PAPERS ARE:


 

·         LAND OWNERSHIP COPIES

·         NO OBJECTION CERTIFICATE TO SETUP FACTORY

·         PRE-PLAN PASS (ARCHITECTURE)

FACTORY MACHINE (S) PURCHASE COPIES HAVE TO PROVIDE TO


FACTORY MACHINERY
AUTHORITIES TO SETUP FACTORY.

ITS NEED A PERMISSION FROM GOVERNMENT MANPOWER DEPARTMENT

FACTORY MANPOWER PERMISSION IN CERTAIN AREAS TO SETUP A FACTORY. ALL ABOVE OBTAINING PAPERS

HAVE TO PROVIDE THEM TO BE APPROVED.

AS REQUIREMENT OF BUSINESS LICENSE IN BANGLADESH, SOME

EMPLOYERS HAVE TO TAKE NO OBJECTION OR OTHER PERMISSION FROM


MINISTRY OR CONCERN DEPARTMENT
CONCERN DEPARTMENT, FOR EXAMPLE: TELECOMMUNICATION,
PERMISSION AS BUSINESS CATEGORY
CHEMICAL, EDUCATION, AGRICULTURE, PROPERTY DEVELOPER,

TRANSPORT, HEALTH AND SO ON.

ADDITIONAL REQUIREMENT OF BUSINESS LICENSE IN BANGLADESH IS BOI/

BEPZA PERMISSION. THIS PERMISSION IS REQUIRED FOR OPENING

BRANCH/ REPRESENTATIVE OFFICE OF FOREIGN PARENT COMPANY AND


BOI OR BEPZA PERMISSION
WORK PERMIT AND / OR BUSINESS/ EMPLOYMENT VISA. IN CASE OF

SETTING UP FACTORY IN INCOME TAX FREE AREAS BEPZA PERMISSION IS

REQUIRED.

Licensing in Bangladesh pros and cons


HOW MANY DAYS ARE REQUIRED TO APPROVE PRIVATE LIMITED
ANS: 7-30 DAYS
COMPANY REGISTRATION?

HOW MANY DAYS ARE REQUIRED TO OBTAIN TRADE LICENSE? ANS: 4-7 DAYS

HOW LONG TAKES FOR INCOME TAX CERTIFICATE? ANS: 1-2 DAYS

HOW LONG MAY NEED FOR VAT LICENSE? ANS: 5-7 DAYS

HOW LONG TAKES FOR IMPORT/ EXPORT LICENSE? ANS: 7-10 DAYS

HOW LONG MIGHT NEED FOR FIRE LICENSE? ANS: 10-30 DAYS

HOW LONG MAY NEED FOR RAJUK/ LOCAL BUILDING PLAN? ANS: 30-60 DAYS

HOW LONG MAY NEED FOR FACTORY MACHINERY? ANS: 7-15 DAYS

HOW LONG MAY NEED FOR FACTORY MANPOWER PERMISSION? ANS: 2-5 DAYS

HOW LONG MIGHT REQUIRED FOR MINISTRY OR CONCERN


DEPEND, MIGHT BE LONGER…
DEPARTMENT PERMISSION AS BUSINESS CATEGORY?

-BRANCH OFFICE: 30-45 DAYS


HOW LONG MAY NEED FOR BOI OR BEPZA PERMISSION?

-WORK PERMIT: 15-30 DAYS


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