Firm registration is a crucial process for formally establishing a business entity under the law. It includes submitting necessary documentation and information to the Khyber Pakhtunkhwa Directorate of Industries & Commerce functioning as the Registrar of Firms. The registration not only grants legal recognition to the business but also enables it to operate the legal framework, access financial gains, enter into contracts, and enjoy various other benefits. Additionally, It ensures transparency, credibility, protection for both the firm and its stakeholders. This article provides step-by-step guide for a partnership business to be registered as a firm in Khyber Pakhtunkhwa.
Steps for Registering a Firm in Khyber Pakhtunkhwa
1. Submission of Form A:
To begin the registration process, the partners need to complete and sign Form A, which serves as an application for registering the firm with the Registrar of Firms in KPK. Form A includes essential details such as the firm’s name, location, partner information, and duration of the firm. The form should also be signed by witnesses.
2. Preparation of Partnership Deed:
A Partnership Deed, written in English on a stamp paper worth Rs.500, is required. All partners must sign the deed in the presence of two witnesses, with attestation from a Notary Public. Additionally, a copy of the partnership deed and its re-attestation by the same Notary Public is necessary. It is crucial that the execution date and the stamp paper’s date are the same.
3. National Identity Cards:
The partners and witnesses who signed the partnership deed and Form A application must provide their National Identity Cards (NICs) as proof of identification.
4. Treasury Challan:
A treasury challan of Rs.2500 should be submitted at any branch of the State Bank of Pakistan or the National Bank of Pakistan. The challan code is “CO3545-Registration of Firms & Societies (Provincial).”
5. Affidavit:
Partners are required to prepare an affidavit on a stamp paper, confirming that no such firm has been registered before their proposed firm. The affidavit should include the following affirmations:
a) Confirming that the firm name and address are original and not copied from any other firm.
b) Stating that partners are the rightful owners of the proposed firm.
c) Affirming that there are no pending civil or criminal cases against the partners or the proposed firm.
d) Ensuring that all the documents submitted to the registrar’s officer are in good faith.
e) Acknowledging that partners, and not the registrar of the firm, will be responsible in all government departments and courts of Pakistan. The affidavit must be signed by partners and witnesses and attested by a Notary Public.
6. Copy of License of Notary Public:
All the aforementioned documents should be attested by a Notary Public, and a copy of the notary public’s license must be obtained. It is crucial that the license is renewable; otherwise, the registrar’s officer may reject the documents, necessitating their resubmission.
7. E-Sahulat Biometric Verification:
Partners are required to undergo biometric verification of their CNICs. This verification will later be necessary for applying for partnership registration on the registrar of firms’ website.
8. Online Apply:
After fulfilling all the registration requirements mentioned above, partners need to create an account on the registrar of firms’ website. Here, they can apply for the registration of their firm (http://apps.kpitb.gov.pk/eodb/). Once the documents are reviewed and verified by the concerned officer, partners will need to appear physically and re-sign and thumb-impress the relevant documents for the firm’s registration. Upon completion of these formalities, partners will be granted Form H, officially recognizing their business as a registered firm.
For assistance with firm registration, you can contact Osama Khalil (Lawyer & Legal Consultant), specializing in this field. Contact: 0316-1829946 Email: Osamakhalil9444@gmail.com.