- SECP private limited company registration takes 7–14 days via SECP's eServices portal (eservices.secp.gov.pk)
- Minimum paid-up capital for private limited company: Rs. 100,000 (no minimum for single-member company)
- Required documents: CNIC of all directors, Memorandum of Association, Articles of Association, registered office address proof
- After SECP registration: NTN registration, open bank account, register for FBR tax returns, and apply for STRN if applicable
- Sole proprietorship registration (FBR only) is simpler but offers no limited liability protection
Company registration in Pakistan is governed by the Companies Act 2017, administered by SECP (Securities and Exchange Commission of Pakistan). There are three primary business structures available to Pakistani entrepreneurs: private limited company, Association of Persons (AOP), and sole proprietorship. Each has different registration requirements, compliance obligations, and tax treatment. This guide covers the complete registration process for each structure as applicable in 2026.
Business Structure Comparison
| Feature | Private Limited (Pvt Ltd) | AOP | Sole Proprietorship |
|---|---|---|---|
| Legal Status | Separate legal entity | No separate legal entity | No separate legal entity |
| Liability | Limited to paid-up capital | Unlimited personal liability | Unlimited personal liability |
| Registration Body | SECP | FBR / Punjab RTA | FBR NTN only |
| Corporate Tax Rate | 29% (standard corporate) | Individual slab rates | Individual slab rates |
| Annual Compliance | SECP Annual Return + income tax return filing | Income Tax Return (AOP) | Personal Income Tax Return |
| Foreign Client Contracts | Preferred for contracts above $50,000 | Acceptable for local contracts | Limited to small contracts |
| Minimum Capital | Rs. 100,000 (typical) | None | None |
SECP Private Limited Company Registration — Step by Step
- Name Clearance: Go to SECP eServices (eservices.secp.gov.pk), create an account, and apply for company name clearance. Provide 3 name options in order of preference. SECP approves a name in 2–5 business days if it is unique and does not conflict with existing registered names
- Prepare Memorandum of Association (MOA): The MOA defines the company's objectives and powers. For an IT company, the MOA should include software development, IT services, and digital services in the object clause. Use SECP's standard MOA template and customize the object clause
- Prepare Articles of Association (AOA): The AOA governs internal company management — director appointments, share transfers, dividend policy. SECP Table A can be adopted as default AOA without modification for straightforward structures
- Submit Incorporation Documents: On SECP eServices, submit: Form 1 (Declaration of Compliance), Form 21 (Registered Office Notification), Form 29 (Particulars of Directors), scanned copies of all directors' CNICs, and the MOA/AOA. Filing fee is based on authorized capital (minimum fee Rs. 1,200)
- SECP Issues Certificate of Incorporation: SECP typically processes complete applications within 5–7 business days and issues a digital Certificate of Incorporation. The company's SECP registration number is printed on this certificate
- Post-Incorporation — Obtain NTN: Register the company on FBR IRIS using the SECP Certificate of Incorporation and directors' CNICs to obtain a company NTN
- Open Corporate Bank Account: Take the SECP Certificate of Incorporation, NTN certificate, and director CNIC to any commercial bank to open a corporate current account. The account enables you to pay corporate taxes via PSID
- Register for STRN (if applicable): If the company's annual revenue exceeds Rs. 10 million (or if your clients are GST-registered and need input tax claims), register for Sales Tax with FBR to obtain STRN
Documents Required for SECP Registration
- CNIC copies of all proposed directors (minimum 2 directors for Pvt Ltd)
- NTN of all directors (or CNIC can be used if NTN not yet registered)
- Registered office address — can be a residential address, with proof of address (utility bill)
- Proposed company name (3 options)
- Proposed authorized capital amount and share distribution among directors
- Nature of business / object clause description
SMC — Registering a Company Alone (No Co-Founder Needed)
A common misconception is that Pvt Ltd registration always needs two people. Since the Companies Act 2017, a Single Member Company (SMC) lets one person be both the sole shareholder and sole director, with full limited liability protection — the same protection as a multi-member Pvt Ltd:
- Nominee director requirement: Because there is only one member, SECP requires a nominee director to be named — someone who can legally continue the company if the sole member dies or becomes incapacitated. The nominee has no role in day-to-day operations
- Same documents and fee structure as a standard Pvt Ltd — the process differs only in requiring the nominee's CNIC and consent letter
- Best suited for: solo freelancers, agencies, and e-commerce sellers who want corporate credibility and liability protection without needing to bring in a co-founder just to satisfy a membership requirement
Full SMC-specific walkthrough — nominee director rules, cost table, and step-by-step process — is covered in our SMC registration guide.
Company Registration Cost Breakdown 2026
Total cost has two components: the government (SECP) fee, which scales with authorized capital, and the professional service fee for handling the paperwork:
| Authorized Capital | SECP Government Fee |
|---|---|
| Up to Rs. 100,000 | Rs. 1,000 |
| Rs. 100,001 – Rs. 1,000,000 | Rs. 3,000 |
| Rs. 1,000,001 – Rs. 5,000,000 | Rs. 7,000 |
| Above Rs. 5,000,000 | Rs. 9,000+ |
On top of the SECP fee, Kamboh Associates' complete registration service (name reservation, MoA/AoA drafting, SECP filing, NTN registration, and bank account assistance) is available from Rs. 15,000 — most clients with a standard Rs. 100,000 authorized capital company are fully operational, including bank account, within 2–3 weeks.
AOP Registration in Pakistan
An AOP (Association of Persons) is a partnership of two or more individuals for a business purpose. It does not require SECP registration but must register with FBR. AOP income is taxed at individual slab rates but reported in a separate AOP income tax return.
AOP registration with FBR: apply through IRIS as an AOP entity. You will need a partnership deed (written agreement between AOP members) specifying profit/loss sharing ratios. AOP members must each have individual NTNs, and the AOP itself gets a separate NTN.
A well-drafted partnership deed should clearly define each partner's capital contribution, profit and loss sharing percentage, decision-making authority, and the process for a partner's exit or the AOP's dissolution. Disputes between partners are one of the most common reasons businesses end up in court, and a vague or missing deed makes such disputes far harder to resolve. Even for AOPs between family members, a written deed is worth the small upfront cost.
Sole Proprietorship in Pakistan
A sole proprietorship is the simplest business structure. There is no formal registration body — a sole proprietor registers with FBR by obtaining an NTN with business category. The business is treated as the individual for tax purposes — business income is declared in the individual's income tax return under "Income from Business."
For local businesses, a sole proprietorship NTN is sufficient. For opening a business bank account, some banks require a business registration certificate from the relevant provincial authority (e.g., Punjab Small Industries Corporation for certain trades).
Need help with company registration in Pakistan?
Kamboh Associates handles SECP Pvt Ltd registration, AOP setup, FBR NTN, and post-registration tax compliance across Pakistan.
WhatsApp: 0328-4675162Which Structure Should You Choose — Quick Decision Guide
- Solo founder, want limited liability, no co-founder: SMC (Single Member Company)
- Two or more founders, planning to raise investment or work with foreign clients: Standard Pvt Ltd
- Two or more partners, local business, informal profit-sharing: AOP/Partnership
- Testing an idea, low revenue, no employees yet: Sole Proprietorship (upgrade to Pvt Ltd/SMC once revenue justifies it)
- Freelancer wanting a bank-friendly, professional identity without SECP compliance overhead: Sole Proprietorship with NTN
Post-Registration Tax Calendar for Companies
After company registration, compliance is ongoing. Key dates for a newly registered Pvt Ltd company:
| Compliance Obligation | Deadline | Authority |
|---|---|---|
| corporate tax return return | December 31 (for June 30 FY) | FBR IRIS |
| SECP Annual Return | 30 days after AGM | SECP eServices |
| Monthly WHT Statement | 15th of following month | FBR IRIS |
| Monthly sales tax return filing (if STRN) | 18th of following month | FBR IRIS |
| Quarterly Advance Tax (if applicable) | 25 Sep, 25 Dec, 25 Mar, 15 Jun | FBR IRIS / Bank PSID |
Frequently Asked Questions
How long does SECP company registration take in Pakistan?
The complete SECP private limited company registration process typically takes 7–14 business days: name clearance takes 2–5 days, and document submission to certificate of incorporation takes another 5–7 days after submission. Errors or missing documents in the application extend the timeline. Using SECP's online eServices portal is faster than physical submission.
What is the minimum capital required to register a private limited company in Pakistan?
The Companies Act 2017 does not prescribe a minimum paid-up capital for private limited companies. However, the minimum authorized capital for a standard Pvt Ltd is Rs. 100,000 (subscribed and paid-up capital must equal at least this amount). For specialized sectors (banking, insurance, financial services), separate regulators prescribe minimum capital requirements. For IT and services companies, Rs. 100,000 authorized capital is standard.
Can a single person register a private limited company in Pakistan?
Yes. SECP allows single-member private limited company registration under the Companies Act 2017. A single-member company (SMC) has one shareholder and one director (who may be the same person). The SMC enjoys limited liability and separate legal entity status just like a multi-member Pvt Ltd. Registration process and documents are the same as standard Pvt Ltd registration.
What are the annual compliance requirements for a private limited company?
A private limited company must: (1) file an annual return with SECP within 30 days of the annual general meeting; (2) file a corporate income tax return with FBR by the deadline (typically December 31 for companies with June 30 fiscal year end); (3) file monthly WHT statements with FBR if the company is a WHT agent; (4) file monthly sales tax returns if STRN-registered; (5) maintain statutory books of accounts, minutes, and registers. SECP has recently digitized most filings through the SECP eServices portal.
Do I need a physical office to register a company in Pakistan?
A registered office address is required for SECP registration, but it does not need to be a commercial space. A residential address can be used as the registered office for a private limited company. You will need to provide proof of address (utility bill or tenancy agreement). Many startups and freelancers register their company at their home address and operate from there or remotely.
What is the tax rate for a private limited company in Pakistan?
The corporate income tax rate for private limited companies in Pakistan is 29% of net taxable profit (TY2026 rate — verify Finance Act 2026 for any updates). In addition, small companies (turnover below Rs. 250 million, paid-up capital below Rs. 25 million, and meeting other criteria) are taxed at a reduced rate of 20%. Companies must also pay minimum turnover tax under Section 113 at 1.25% of gross receipts if net profit is below the normal tax threshold.
Can I convert a sole proprietorship or AOP into a Pvt Ltd/SMC later?
Yes, and it is a very common path. There is no formal "conversion" mechanism — you register the new Pvt Ltd or SMC as a fresh entity with SECP, then transfer business assets, contracts, and bank relationships from the old structure to the new company. Existing clients and contracts typically need to be re-signed or assigned to the new legal entity. Plan the transition around your financial year-end to keep tax filings clean.