Types of Business Structures in Pakistan
Before registering, you must choose the right legal structure. Each has different liability, tax, and compliance implications. Here's a comparison of the four most common options:
| Structure | Registered With | Liability | Best For |
|---|---|---|---|
| Sole Proprietor | FBR (NTN only) | Unlimited | Freelancers, small traders |
| Partnership / AOP | Registrar of Firms | Unlimited (joint) | 2+ partners, small business |
| Private Limited Co. | SECP | Limited to shares | Startups, growing businesses |
| LLP | SECP | Limited | Professional services firms |
| Single Member Company | SECP | Limited | Solo founders wanting limited liability |
Private Limited Company Registration — Step by Step
- Name Reservation: Submit 2–3 proposed company names on SECP's eServices portal. SECP approves within 1 business day if the name is unique and compliant.
- Prepare Documents: Memorandum of Association (MOA), Articles of Association (AOA), CNIC copies of directors/shareholders, registered office address proof.
- Submit Incorporation Application: File Form-1, Form-21, Form-29 along with MOA/AOA on SECP eServices. Pay incorporation fee based on authorized capital.
- Certificate of Incorporation: SECP issues the Certificate of Incorporation within 2–5 working days — your company is now legally formed.
- NTN Registration: Apply for company NTN on FBR IRIS using the incorporation certificate. Issued within 1–2 days.
- Bank Account & STRN: Open a corporate bank account, then register for Sales Tax (STRN) if applicable to your business.
Documents Required
- CNIC copies of all directors and shareholders
- Passport-size photographs of directors
- Registered office address (utility bill or rent agreement)
- Email and mobile number of each director (for SECP biometric verification)
- Proposed company name(s)
- Nature of business / objects clause
SECP Registration Fees 2026
| Authorized Capital | SECP Fee (Online) |
|---|---|
| Up to Rs. 100,000 | Rs. 1,000 |
| Rs. 100,001 – Rs. 1,000,000 | Rs. 5,000 |
| Rs. 1,000,001 – Rs. 5,000,000 | Rs. 10,000 |
| Above Rs. 5,000,000 | As per SECP slab |
Tip: Most startups register with Rs. 100,000 authorized capital to minimize SECP fees, then increase capital later as the business grows. Capital can be unpaid initially — you don't need to deposit it immediately.
Sole Proprietorship Registration — Simplest Option
If you're a freelancer, consultant, or small trader, a sole proprietorship is the fastest route — no SECP involvement needed. Simply:
- Register for NTN on FBR IRIS using your CNIC (free, 24-48 hours)
- Optionally open a business bank account in your name with "trading as" designation
- Register for STRN if you sell taxable goods or cross the services threshold
Partnership Firm (AOP) Registration
For 2 or more partners running a business together without forming a company, register a Partnership Deed with the Registrar of Firms (provincial). The deed outlines profit-sharing ratio, capital contribution, and responsibilities. After registration, apply for a separate AOP NTN on FBR IRIS — distinct from each partner's individual NTN.
Post-Registration Compliance
| Requirement | Frequency | Authority |
|---|---|---|
| Income Tax Return | Annual (by Sep 30) | FBR |
| Annual Return / Form-A | Annual | SECP |
| Sales Tax Return | Monthly (if registered) | FBR / Provincial |
| Withholding Statement | Monthly/Quarterly | FBR |
| Financial Statements Filing | Annual | SECP (companies) |
Frequently Asked Questions
How long does company registration take in Pakistan?
A Private Limited Company can be registered in 5-7 working days through SECP's online eServices portal — name reservation (1 day) + incorporation (2-5 days). Sole proprietorship NTN takes just 24-48 hours. Partnership firm registration with Registrar of Firms typically takes 7-10 days.
Can a foreigner register a company in Pakistan?
Yes. Foreigners can register a Private Limited Company in Pakistan with 100% foreign ownership in most sectors. Additional documents required: passport copy, visa, and in some cases, State Bank of Pakistan approval for foreign investment reporting. We assist with the complete process including SBP filing.
What is the minimum capital required to register a company in Pakistan?
There is no minimum authorized capital requirement for a Private Limited Company in Pakistan — you can register with as little as Rs. 100,000 or even less. The capital does not need to be fully paid-up at incorporation; it can be issued and paid gradually as per company needs.
Sole proprietor vs Pvt Ltd — which is better for a small business?
Sole proprietorship is faster, cheaper, and has fewer compliance requirements — ideal for freelancers and very small businesses. Private Limited Company offers limited liability protection (your personal assets are protected from business debts), easier access to funding/investors, and more credibility with clients and banks — better for businesses planning to scale or seeking investment.
Register Your Company — Hassle-Free
SECP Pvt Ltd, Partnership, or Sole Proprietor — we handle the complete process from name reservation to NTN.
WhatsApp Now — 0328-4675162