Why No One Is Talking About Company Incorporation?

Bangladesh, unlike several other rising countries, enables incorporation of company to be formed with 100 percent foreign ownership. A wholly foreign owned enterprise (WFOE) incorporated in Bangladesh can join into contractual contracts with other natural or artificial parties even outside Bangladesh to perform revenue generation, industrial production, and business ventures as a separate business subject to industry regulations.

Bangladesh’s economy has been growing at over 6% per year for the past decade, and it has a large local consumer base, making it an appealing location for business incorporation registration.

Key Elements:

  1. Company incorporation registration is the process by which a company becomes legally recognized in a new competitive market.
  2. The memorandum of association, often known as the corporate rule book, is written during the formation of a company.
  3. To guarantee limited liability, the owner and the business are tax separately in an incorporation registration process.

Thesis Statement

Registration and incorporation of a company can help it acquire capital by selling shares, as well as make it easier to transfer ownership to another party and enjoy more lenient tax treatment on loss prepayments. But not all small businesses can benefit from this

Barriers Of Business Incorporation Registration In Bangladesh

  1. Formalities: The procedure of registration and incorporation of a company is a lengthy and complicated legal process. These convoluted procedures exist to dissuade people who aren’t serious or passionate about doing business.
  2. Expenses: Incorporation registration involves a hefty company incorporation cost to be pay as registration and other fees.
  3. Corporate Disclosure: Employees and lower-level staff of the company have limited access to company information and upper officials after the formation of a company.
  4. Greater Tax Burden: Companies that are incorporated must pay a greater tax. There are no discounts for businesses incorporation registration, and there are no minimum taxable limits.
  5. Separation from Ownership: Members of a company’s small shareholder group have little effective control over the formation of the company and other choices.

Outcome Of Efficient Federal Incorporation Registration

  1. Generates Capital: A firm can get money in two ways: equity, which refers to acquiring funds from the public, and debt, which refers to borrowed loans or other sources of credit. After incorporation of a company, it is seen as more trustworthy, making it easier to borrow finance.
  2. Establishes an Entity: The Companies Act of 2013 has offered an individual with the ‘separate entity’ benefit that was previously unavailable under the process of incorporation registration. As a result of this change, the single owner now has limited liability.
  3. Limited Liability: Members are only obligate to pay up to the amount of their unpay debt. The formation of the company limits its liability to the number of unpaid shares.
  4. Share Transferability: Federal Incorporation registration allows a business entity to consider shares as movable property which provides liquidity to the shareholders.
  5. Expertise and Efficiency: The incorporation of the company separates management from ownership, allowing specialists in the field to be assign to each of the company’s functions.

Advantages of Company Incorporation

Incorporating a business has several potential benefits:

  1. Limited Liability: One of the primary benefits of incorporating is the limited liability protection it offers to the company’s shareholders. This means that shareholders are typically not personally responsible for the company’s debts and liabilities.
  2. Perpetual Existence: A corporation is a separate legal entity that continues to exist even if the owners or managers change.
  3. Ability to Raise Capital: Corporations can raise capital more easily than unincorporated businesses. They can sell shares of stock, which can be an attractive option for investors.
  4. Tax Advantages: Depending on the jurisdiction and specific structure, corporations might have access to tax advantages.
  5. Credibility: Incorporating can give a business increased credibility with customers, suppliers, and investors. This can make it easier to do business and can potentially lead to more opportunities.


Our services include registration and incorporation of a company. Which essentially establishes a safety zone of limited liability around a company’s directors and shareholders. As a result, our clients can take the risks that enable growth without exposing investors or proprietors to individual financial liability beyond their initial commitments.