Advantages of Partnership Firm Registration

1. Tax Advantage: Unlike corporations that face double taxation, partnership firms are only taxed once, reducing the overall tax burden.
2. Portability: The business structure allows modifications in operations with the inclusion or removal of partners, providing flexibility.
3. Decision Making: Partnerships enable quick and efficient decision-making due to minimal regulatory restrictions, helping businesses adapt swiftly to changes.
4. Below the Line Responsibility: With partners working together, responsibilities related to work and management are shared, ensuring better efficiency and workload distribution.
5. Increased Capital: Pooling resources allows for greater access to capital, which enhances business opportunities and growth potential.

Documents required for partnership Registration

To complete the registration, an application must be submitted to the Registrar of Joint Stock Companies and Firms (RJSC), including the following details:

1. Take Name Clearance Certificate of the Partnership Firm
2. Date of Establishment of the Partnership Firm
3. Duration of the Partnership Firm
4. Principal place of business with full Address
5. Joining Date of Partners
6. Particulars of Partners
7. Particulars of Business
8. Application must be submitted on the prescribed Form- I

Steps to Register a Partnership Firm in Bangladesh

Step 1. Choose a Partnership Name:

Selecting a suitable name for your partnership is crucial. Ensure that:

1. The name is unique and not identical to any existing company or firm.
2. It does not include words like “Government” or “Municipal” that imply government affiliation.
3. The name is not offensive or illegal.

Step 2.  Draft the Partnership Deed

A Partnership Deed is a formal agreement between partners outlining the firm’s operations. Key details to include:

1. Name, Present Address, Permanent Address of the Partner.
2. Name of the Partnership Firm
3. Nature of Business
4. Business Address
5. Duration of Partnership
6. Share of profit taken by each Partner
7. Amount of capital contribution of each partner
8. Terms of Retirement
9. Mode of Management
10. Interest of Borrowings
11. Dissolution of Partnership

Step 3.  Prepare Additional Documents

Besides the Partnership Deed, the following documents are required:

1. National ID copies of all partners.
2. Proof of Business Address (utility bill, rental agreement, etc.).
3. Passport-size photographs of partners.
4. Bank account details for financial transactions.

Step 4.  Register the Firm with RJSC

Partnership firms must be registered with the Registrar of Joint Stock Companies and Firms (RJSC). The process involves:

1. Submitting an Application (Form I) along with the required documents.
2. Providing Supporting Documents, including the Partnership Deed, national IDs, address proof, and photographs.
3. Paying the Registration Fee, which varies based on the business type and number of partners.
4. Verification by RJSC, where the Registrar reviews the documents and may request additional details.
5. Issuance of Certificate, confirming successful registration.

After completing partnership registration in Bangladesh to start operating your business you should get the following documents:

1. Trade License
2. TIN Certificate for your newly Registered Partnership Firm.
3. Bank Account
4. VAT Registration Certificate
5. Import Registration Certificate (In case of Import Business)
6. Export Registration Certificate (In case of Export Business)

Approximate Cost of Partnership Firm Registration in Bangladesh

The total cost of partnership firm registration in Bangladesh will vary. Here is an accurate estimate of how much you need to pay approximate 30000 tk:

1. Name Clearance fee: 575 taka
2. A deed of Partnership by an expert advocate starts from 5,000 taka
3. Non Judicial stamp (120 Taka X 40) : 4800 taka
4. Printing + Notary fee: 2500 to 3000 taka
5. Transport and others: 1000+ taka
6. RJSC Govt. Fee: 5750 taka
7. expenses: 5000 taka