Bangladesh is rapidly developing and emerging as a vibrant hub for both local and international businesses. Whether you’re a foreign investor looking to enter the market or a local entrepreneur setting up your venture, securing the right licenses is mandatory for legal operation. At Dhaka Consulting, we specialize in guiding businesses through the complex process of obtaining necessary licenses, ensuring compliance with all relevant regulations.
Why Are Business Licenses Important in Bangladesh?
Licenses provide the legal authority to operate your business in Bangladesh. Licenses are essential for demonstrating compliance with local laws and regulations and for gaining trust with customers, partners, and authorities. Without proper licensing, businesses risk fines, shutdowns, or other legal complications.
Types of Business Entities
Before obtaining licenses, it’s important to determine the appropriate structure for your business. While sole proprietors need minimal registration, other forms of business such as partnerships or companies must be registered with the appropriate authorities in Bangladesh.
Key Licenses Required for Businesses in Bangladesh
Depending on the nature of your business, various licenses and permits may be required. Dhaka Consulting offers a full suite of services to help you secure all necessary approvals. Below is a comprehensive list of the key licenses you might need, along with the responsible government agencies.
1. Trade License
- Agency: City Corporations, Municipalities & Union Parishads
- Purpose: Mandatory for all businesses, it legitimizes your right to operate within the jurisdiction.
2. Tax Identification Number (TIN)
- Agency: National Board of Revenue (NBR)
- Purpose: Required for all business entities for tax compliance and to facilitate financial transactions.
3. VAT Registration
- Agency: National Board of Revenue (NBR)
- Purpose: Enables businesses to charge and collect Value Added Tax (VAT) on goods and services.
4. Environmental Clearance Certificate
- Agency: Department of Environment (DOE)
- Purpose: Essential for businesses involved in manufacturing or any activity that impacts the environment.
5. Fire License
- Agency: Fire Service and Civil Defense (FS&CD)
- Purpose: Required for businesses operating in buildings where fire safety is a concern, such as factories and offices.
6. Bonded Warehouse License
- Agency: Customs Bond Commissionerate (CBC)
- Purpose: For businesses involved in import-export activities that require warehousing of goods under bond.
7. Approval of Factory Plan
- Agency: Department of Inspection for Factories and Establishments (DIFE)
- Purpose: Necessary for manufacturing units to ensure compliance with safety and labor laws.
8. Import Registration Certificate (IRC) and Export Registration Certificate (ERC)
- Agency: Office of the Chief Controller of Imports & Exports (CCI&E)
- Purpose: Mandatory for businesses engaged in import and export activities.
9. Work Permit for Foreign Nationals
- Agency: Bangladesh Investment Development Authority (BIDA) and Bangladesh Export Processing Zones Authority (BEPZA)
- Purpose: Required for businesses employing foreign workers.
10. Copyright, Patent, and Trade Marks Registration
- Agency: Department of Patent, Design, and Trade Marks (DPDT)
- Purpose: To protect intellectual property rights, including designs, patents, and trademarks.
11. Registration of Factory and Establishment
- Agency: Department of Inspection for Factories and Establishments (DIFE)
- Purpose: Ensures that all factories comply with labor regulations and safety standards.
12. Acid License
- Agency: Deputy Commissioner (DC) of all Districts
- Purpose: Required for businesses dealing with acids for industrial or commercial use.
13. Approval of Foreign Loan
- Agency: Bangladesh Investment Development Authority (BIDA)
- Purpose: Necessary for businesses seeking to obtain loans from foreign sources.
14. Construction Certificate
- Agency: RAJUK (Dhaka), CDA (Chittagong), KDA (Khulna)
- Purpose: Required for building new structures or making significant modifications.
Note: Authorities of Bangladesh Government may impose or introduce new type of licenses in addition to the licenses stated above. Keep yourself updated with the new rules and regulations.
Why Choose Dhaka Consulting?
Obtaining necessary business licenses in stipulated time in Bangladesh can be challenging. Dhaka Consulting provides expert guidance and support throughout the licensing process. Our services include:
- Comprehensive consultancy tailored to your business needs.
- Assistance with documentation and application preparation.
- Liaison with government agencies to expedite approvals.
- Up-to-date knowledge of regulatory changes to ensure compliance.
Whether you are a local entrepreneur or a foreign investor, Dhaka Consulting is here to help you successfully set up and run your business in Bangladesh. Contact us today to learn how we can assist you in obtaining the right licenses to legally operate your business!