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 How to Register Liaison Office in Bangladesh| FM Associates | Legal Firm in Bangladesh


What is a Liaison Office in General

Liaison offices are commonly registered or formed in a country to simply maintain liaison or communication with the business resources of that country while having its parent company in the native country. It acts as a mere permission for operating in Bangladesh as a body responsible for liaison with the parent company and its agents or distributors in the host country. It cannot generate any source of income, nor it can make any profits. On the other hand, unlike liaison office, the branch office once registered can generate income with the prior permission of the respected authority in Bangladesh. 

How to Register Liaison Office in Bangladesh

In order to understand as to “how to register a Liaison Office in Bangladesh” the information described below would guide anyone regarding registering a Liaison office in Bangladesh:

  1. The initial requirement to register a liaison office in Bangladesh is to get approval from the Bangladesh Investment Development Authority.

  2. All the relevant documents in regards to the parent company, such as MOA, AOA, Meeting Minutes of the approval, Board Resolution giving the approval along with an application, needs to be submitted.

  3. Upon approval, the Liaison offices shall continue to operate at the approved time mentioned in the approval letter issued by Bangladesh Investment Development Authority. Besides, at least not less than USD 50,000 must be remitted to Bangladesh as the projected cost of the primary establishment and six months operational expense. 

  4. To carry out business in Bangladesh after getting the approval from BIDA, a Liaison office needs some other clearance and license from the particular government agencies. Besides, the approved Branch or Liaison office has to pay the income tax/ VAT and other taxes payable to the government under the existing laws of Bangladesh. For renewal, they will have to submit the necessary documents at least 2 months prior to the expiry of the current term.

Scope of Liaison Office in Bangladesh

It is pertinent to note here that Representative Office & Liaison Office in Bangladesh are the same business entity in Bangladesh. However, Liaison Office is different from a Branch Office in their operation & scope of work. 

Liaison office can continue very limited activities through maintaining coordination with the local agent, distributors/exporters’ institutions with the Principal via personal contact, using electronic media or corresponding work. Sometimes, the liaison office collects business information, compile analytical business data, carry out necessarysurvey related to its field of activities as mentioned in their letter of approval. The liaison office is not allowed to earn from the local business activities & the entire establishment, operation & employee management cost would have to borne by the Parent company.

If you need a company lawyer to help register your liaison office, get an appointment with our Company lawyer for further details. 


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