A foreign company must provide SECP annually with copies of the balance sheet, profit and loss account of the head office and branch, as well as a list of Pakistani members and holders of debt obligations and the company`s registered office in Pakistan. Documents must be submitted within 45 days of the submission of such documents or statements to the incorporating authority or within six months of the invoice date. According to Article 454 of the Companies Ordinance, a foreign company must maintain: In Pakistan, the trend of “startups” is gaining momentum as entrepreneurs with creative ideas seek financing solutions to generate economic activity and new sources of income. Developing a legal structure for a startup is essential for it to be viable and functional. Such a legal form pursues two objectives. Above all, it is a question of clarifying the rights and obligations of the parties working under the aegis of the “startup”. Secondly, it is a question of safeguarding their commercial interests. This ensures a stable trading platform on which disputes can be avoided, liabilities defined and risks mitigated. At the registered office or sole place of business in Pakistan, a register of Pakistani members, bondholders, directors and officers. The register may be publicly consulted and copies may be made available on request; Disclaimer: This is a brief overview of the legal bases that apply to most business transactions or activities in Pakistan. It is only intended to give a brief overview of the legal aspects and reference should be made to qualified Pakistani lawyers for a particular transaction or transaction. Another issue that could arise in a partnership structure is the intellectual property (“IP”) claim that is created in the course of carrying out its activities.

IP is the property of its creator, unless otherwise agreed. In the case of startups, it is usually agreed to transfer title to intellectual property in the name of the legal entity. However, the assets of a partnership are transferred jointly and severally to the partners. In April 2014, the federal government issued 3G and 4G licenses to China Mobile, Mobilink, Telenor and Ufone, generating $1.11 billion in tax-exempt revenue from the four foreign entrepreneurs competing for business in the mobile sector. The new technology will give a boost to branchless banking and mobile banking activities, applications. Outside each establishment, indicate the name of the company and the country in which the company is registered; On March 14, 2012, the federal government enacted the Industrial Relations Act, 2012. The law applies to any person employed by an institution or industry in the Islamabad Capital Territory or branches operating in more than one province. The National Industrial Relations Commission was also established by law to: procedures, time, costs and minimum paid-up capital for the formation of a limited liability company. In contrast, a sole proprietorship ceases to exist when the merchant dies or ceases operations. Similarly, in the case of a partnership, the departure or death of a partner usually results in the termination of that partnership. “Carrot and stick” – the Competition Act provides for higher fines combined with jail time for non-compliance; On the other hand, the carrot is watered down with sophisticated leniency powers, without fines or imprisonment in certain circumstances. The Pakistan Competition Commission is legally empowered to conduct searches and inspections in order to maintain the high standard of proof for the detection of secret cartels.

The legal structure of a start-up depends mainly on the long-term vision of the parties who enter such a company and the type of business itself that has entered. A start-up in Pakistan can be structured as follows: A foreign company has the option of establishing a branch in accordance with Part XIV of the Companies Ordinance 1984. Within 30 days of establishing the registered office, the company must submit the following documents to SECP: The term “startup” is used to describe a new business where entrepreneurs and/or businesses harmoniously combine their skills, ideas and financial resources to generate new business activities with higher returns. Indeed, it might be appropriate to place the phenomenon of “start-ups” at the epicenter of a dynamic entrepreneurial culture. Registration of a sole proprietorship or partnership can be done with provincial governments through their online portals. Another phase of economic downturn began in 2007. Inflation reached 25 percent in 2008 and Pakistan had to rely on a tight fiscal policy supported by the IMF to avoid a possible default. Subsequently, the Asian Development Bank reported that the economic crisis in Pakistan was abating. An effective way to start a startup (for a specific business) is to enter into a joint venture or collaboration.