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Licensing

How to Obtain a Trade Licence in Bangladesh

A trade licence is the formal permission every business must hold to operate legally in Bangladesh. It is granted by the relevant local authority and underpins almost every other registration you will need, making it the natural first step when establishing a business.

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What it is and who issues it

The trade licence is governed by the Dhaka City Corporation Ordinance, 1983 and the Municipal Taxation Rules, 1986. The issuing authority depends on where your business is located: the Dhaka City Corporation (North or South), a municipality office, or the relevant union parishad, pouroshava, upazila or zila parishad outside the corporation areas.

Application process

First, collect the prescribed application form from the office that covers your location. Complete it and submit it with the supporting documents to the taxation officer. The licensing supervisor then inspects the documents and your premises, after which you pay the scheduled fees. Once everything is approved, the licence is issued.

Straightforward applications are typically processed within three to four working days, though this can vary by office and business type.

Fees and renewal

The application form carries a nominal fee of around BDT 10, while the licence fee itself ranges from roughly BDT 100 to BDT 40,000 depending on the nature of the business. For limited companies the fee is assessed against paid-up capital. Trade licences must be renewed every year, with renewals usually completed within one to two working days.