Basic documentation requirements for setting up operations in Bangladesh are not complex to prepare but an understanding of country specific requirements would help investors go through a more efficient process.
Broadly speaking, there are five steps to setting a business operation in Bangladesh. The first step is to register the company with the Registrar of Joint Stock of Companies (RJSC) followed by other relevant documents like VAT, TIN, COI etc.
Once the documentation formalities are completed, the next step is to register with the Bangladesh Investment Development Authority (BIDA). While registering with BIDA, the investor will require two copies of the application form, two attested copies of the deeds of the proposed land, two copies of project profile in case the total project cost exceeds BDT 100 million (~USD 1.2 million) and seven copies of the background of proprietors in the official letterhead.
Any investor can open up operations in Bangladesh easily by following these five simple steps.
While TIN and tax return documents can typically be accessed within two working days, obtaining VAT return documents may take up to three weeks. A uniform VAT rate of 15% is applicable for both goods and services in Bangladesh. VAT is imposed on goods and services at each stage of import, manufacturing, supply, and trading. Services rendered from outside the country and services provided within the country are both subject to VAT.
The final piece of document to obtain is the trade license, which shouldn’t take more than seven working days.
