Company registration in Karachi is the legal process of incorporating a business entity with the Securities and Exchange Commission of Pakistan (SECP) under the Companies Act 2017. MR Law Associates handles end-to-end company registration including name reservation, Memorandum and Articles of Association drafting, SECP filing, digital certificate issuance, NTN registration, and post-incorporation compliance for Private Limited Companies, Single Member Companies, LLPs, and NGOs in Karachi.
Registering a company provides legal liability protection, credibility with banks and clients, tax benefits, and access to government contracts. Whether you're a startup founder, professional partnership, or foreign investor setting up in Pakistan, proper company registration through SECP is the foundation of legal business operations.
What Types of Companies Can Be Registered in Pakistan?
Pakistan's Companies Act 2017 provides several entity types, each suited to different business sizes, ownership structures, and objectives. The choice of entity affects your liability exposure, tax obligations, and compliance requirements.
Private Limited Company (Pvt. Ltd.)
The most common entity for small to medium businesses. Requires 2 to 50 shareholders, at least 2 directors, and restricts share transfer to existing members. Provides limited liability protection separating personal assets from business debts. Suitable for startups, family businesses, and professional firms.
Single Member Company (SMC)
Designed for solo entrepreneurs who want corporate liability protection without partners. Requires only 1 shareholder who is also the sole director. Simpler compliance than Pvt. Ltd. companies. Ideal for freelancers, consultants, and individual business owners looking to formalize operations.
Limited Liability Partnership (LLP)
Governed by the Limited Liability Partnership Act 2017. Combines partnership flexibility with limited liability. Partners are not personally liable for business debts. Simpler compliance than companies. Ideal for law firms, accounting practices, and professional service providers.
Non-Profit Organization (Section 42)
For organizations promoting arts, science, religion, charity, or social welfare. Registered under Section 42 of the Companies Act 2017 with a license from SECP. Profits cannot be distributed to members. Suitable for NGOs, educational trusts, and charitable foundations.
How Does the Company Registration Process Work in Karachi?
Company registration in Pakistan is processed through SECP's eServices portal. The process is digital, but requires proper legal documentation. MR Law Associates handles every step from name reservation through post-incorporation setup.
- Entity type selection: We advise on the best entity type (Pvt. Ltd., SMC, LLP, NPO) based on your business objectives, ownership structure, and tax considerations.
- Name reservation: We propose and reserve your company name through SECP's eServices. Names must be unique, not misleading, and comply with SECP naming regulations. We suggest 3 alternatives in case the primary name is rejected.
- Document preparation: We draft the Memorandum of Association (company objectives and powers), Articles of Association (internal governance rules), and required SECP forms (Forms 1, 21, 29).
- Digital signatures: Directors obtain digital signatures from SECP-approved certification authorities. These are required for electronic filing.
- SECP filing: All documents, forms, and fee payments are submitted through SECP's eServices portal.
- SECP review: SECP reviews the application (5-14 working days). They may raise queries or request name changes. We handle all correspondence.
- Incorporation certificate: SECP issues the Certificate of Incorporation. Your company is now a legal entity.
- Post-incorporation: NTN registration with FBR, company bank account opening, and commencement of business certificate (for Pvt. Ltd.).
Private Limited vs. LLP: Which Should You Choose?
This is the most common decision point for businesses registering in Pakistan. Both provide limited liability, but differ in governance, compliance, and flexibility.
| Feature | Private Limited (Pvt. Ltd.) | Limited Liability Partnership |
|---|---|---|
| Governing law | Companies Act 2017 | LLP Act 2017 |
| Minimum members | 2 shareholders, 2 directors | 2 partners |
| Limited liability | Yes | Yes |
| Annual compliance | Higher (annual returns, AGM, financial statements) | Lower (annual statement of accounts) |
| Tax treatment | Corporate tax rate | Partnership tax rate (can be lower) |
| Best for | Startups, investment, scaling | Professional services, small partnerships |
| Registration time | 7-14 working days | 7-14 working days |
What Documents Are Required for Company Registration?
Documentation requirements vary by entity type. MR Law Associates prepares all documents, ensures correct formatting, and handles SECP submission. Missing or incorrect documents cause rejection and delays.
| Document | Purpose |
|---|---|
| CNICs of all directors/partners | Identity verification |
| Proof of registered office address | Rental agreement or utility bill of office |
| Memorandum of Association | Defines company objectives and powers |
| Articles of Association | Internal governance rules |
| Form 1 (Declaration of Compliance) | Compliance with Companies Act |
| Form 21 (Registered Office) | Office address declaration |
| Form 29 (Consent of Directors) | Directors' consent to serve |
Why Choose MR Law Associates for Company Registration in Karachi?
MR Law Associates provides complete business formation services from initial consultation through post-registration compliance. As a law firm, we also handle the legal requirements that arise after incorporation.
- End-to-end service: Company registration + NTN registration + tax return filing as one integrated package.
- Legal drafting: We draft Memoranda and Articles of Association tailored to your specific business objectives, not generic templates.
- Post-incorporation support: Annual SECP returns, director changes, share transfers, and compliance updates.
- Business legal needs: As your company grows, we provide contract enforcement, cheque recovery, property matters, and employment law support.
Frequently Asked Questions About Company Registration
What types of companies can be registered?
Pakistan allows: Private Limited (Pvt. Ltd.), Single Member Company (SMC), Limited Liability Partnership (LLP), Public Limited, and Non-Profit Organizations (Section 42 companies). Foreign branch offices are also possible.
How long does registration take?
Pvt. Ltd.: 7 to 14 working days. SMC: 5 to 10 days. LLP: 7 to 14 days. Delays occur if SECP raises name objections or documentation issues. We handle all correspondence.
Is there a minimum capital requirement?
No minimum capital for Pvt. Ltd. companies. You can register with Rs. 100 paid-up capital. The authorized capital determines SECP registration fees. Most companies register with Rs. 100,000 to Rs. 1,000,000.
Can foreigners register companies in Pakistan?
Yes. Foreigners can be directors and shareholders. Requirements: passport copies, foreign address proof, and BOI approval for certain sectors. 100% foreign ownership is allowed in most sectors.
Pvt. Ltd. vs. LLP: which is better?
Pvt. Ltd. for startups seeking investment and scalability. LLP for professional services and partnerships wanting simpler compliance. Both provide limited liability protection. Tax treatment differs.
What documents are needed?
Required: CNICs of all directors, registered office proof, Memorandum and Articles of Association, Forms 1/21/29, name reservation approval. For foreigners: passport copies and foreign address proof.
Ready to Register Your Company?
Contact MR Law Associates for professional SECP company registration, LLP setup, and complete business formation services.
Disclaimer: Company registration requirements and fees are governed by the Companies Act 2017 and SECP regulations, which may be updated periodically. Contact MR Law Associates at 0336-3120798 for current requirements and personalized guidance. MR Law Associates practices in Karachi, Pakistan.