bangladesh investment development authority (bida) · 2018-10-11 · service options electronic...

BANGLADESH INVESTMENT

DEVELOPMENT AUTHORITY

(BIDA)

One-Stop Shop

Electronic Services for Investors

Standard Operating

Opening a Foreign Company

Branch/Liaison/Representative

Office Permission

September 15, 2018

Version 1.0



Stop Shop

Electronic Services for Investors

Standard Operating Procedure (SOP)

Opening a Foreign Company


Office Permission

September 15, 2018




Document Control

Document Identification

Document Title

File Name1

File Location(s)2

Owner

Status

Status Date

Document Distribution List

Organization

BIDA

Reference Documents

Document Title

None

Revision History

Date Version

September 15, 2018 1.0

1 File naming conventions should be guided by the following widely

1. Avoid long and verbose filenames, spaces, and special

[ ] { } ' " and |).

2. Abbreviate, but avoid obscure abbreviations.

3. Order structural components of a filename from top to bottom and from general to specific. For

example, list year, then month, then day; org

country, then city; economic sector, then subsector, then industry.

4. Files move around, so choose filenames that are self

structure, as much as possible2 This is the location of the official and approved version; files located anywhere else should not be considered

official and, therefore, should not be used.

Opening a Foreign

Opening a Foreign Company Branch/Liaison/Representative Office

Permission

SOP (OSS_Branch/Liaison/Representative Office Permission

09-15

“To be determined”

1. (e.g., C:\...\SOPs)

2. (e.g., https://www.sharepoint.bida.com/docs

“A staff member to be determined by the regulatory agency”

Pending final approval

2018-09-15

Document Distribution List

Department Contact

All [email protected]

Owner Date

Version Initials Description of Change

ZA Initial document by Apex Consulting

File naming conventions should be guided by the following widely-adopted best practices:

Avoid long and verbose filenames, spaces, and special characters (e.g., ~ ! @ # $ % ^ & * ( ) ` ; <> ? ,

Abbreviate, but avoid obscure abbreviations.

Order structural components of a filename from top to bottom and from general to specific. For

example, list year, then month, then day; organization, then department, then division; region, then

country, then city; economic sector, then subsector, then industry.

Files move around, so choose filenames that are self-contained and independent of the local directory

structure, as much as possible.

This is the location of the official and approved version; files located anywhere else should not be considered

official and, therefore, should not be used.

Opening a Foreign Office Permission| Page 3

Branch/Liaison/Representative Office

Branch/Liaison/Representative Office Permission) 2018-

docs/SOPs)

“A staff member to be determined by the regulatory agency”

Contact Information

[email protected]

Date Version

of Change

Initial document by Apex Consulting

adopted best practices:

characters (e.g., ~ ! @ # $ % ^ & * ( ) ` ; <> ? ,

Order structural components of a filename from top to bottom and from general to specific. For

anization, then department, then division; region, then

contained and independent of the local directory

This is the location of the official and approved version; files located anywhere else should not be considered

Standard Operating Procedure

BIDA

OSS

Process Overview

Service Name

Service Type

Eligibility Criteria

Effective Date

Policy/Regulatory Objective

Regulatory Agency

Other Agencies Involved

Processing Time (Days)

Waiting Time (Days)

Prescribed Fees

Service Options

Electronic Service URL

Legal Framework

Legal Framework: Governing Laws,

Documents

# Official Title

1. Bangladesh Investment Development Authority Act

2. Foreign Exchange Regulation Act

3. Guideline for Foreign Exchange Transaction

Acronyms

Opening a Foreign

Procedure

Bangladesh Investment Development Authority

One Stop Shop

Opening a Foreign Company Branch/Liaison/Representative

Permission

Permission

Any foreign company wishes to open a branch, liaison or representative office in Bangladesh Upon issuance

Regulate the operations of foreign companies’ branches, liaisons and

representative offices in Bangladesh.

BIDA

NA

3 days

None

A fixed flat cost-recovery fee

Online

“To be determined by the regulatory agency”

Governing Laws, Policies & Other Legal or Administrative Official

Official Title Year

Bangladesh Investment Development Authority Act 2016

Foreign Exchange Regulation Act 1947

Guideline for Foreign Exchange Transaction 2018


Bangladesh Investment Development Authority

Branch/Liaison/Representative office

Any foreign company wishes to open a branch, liaison or

companies’ branches, liaisons and

Policies & Other Legal or Administrative Official

Sections

Processing Summary

Summary

Preconditions/Prerequisites

Process Outcome

Submission Point

Delivery Point

Validity of the Permission

Opening a Foreign

Before an investor can open a foreign office, whether a

liaison or representative office, he/she needs to obtain a

from the Commercial Investment Wing – BIDA.

The applicant submits a request through the OSS portal

forwarded to BIDA’s Commercial Investment Wing

final decision. The Director/Deputy Director issues

conditional approval or a rejection and the OSS system forwards it

to the applicant (investor).

1. Company's board of director's resolution regarding the opening

of an office in Bangladesh.

2. Proposed organogram of the office showing the

occupied by both the expatriates and local personnel.

3. Memorandum and Articles of Association of the principal

company.

4. Certificate of incorporation.

5. Authorization letter.

For extension permission, the following:

1. Notification letter of Bangladesh Bank under Section 18(B) of

Foreign Exchange Regulation Act, 1947

2. Audited accounts of last financial year of the principal company

3. Company's board of director's resolution for extension of office

permission

4. Latest audit report of Bangladesh office

5. Statement of all existing local and foreign manpower with the

designation, salary and allowances, nationality and date of the

first appointment

6. Up to date encashment certificate of inward remittance

7. Authorization letter

Foreign company branch / liaison / representative office permission

OSS

OSS

Maximum three years. The validity of the permission could be less

upon the request of the applicant


Before an investor can open a foreign office, whether a branch,

, he/she needs to obtain a permission

BIDA.

The applicant submits a request through the OSS portal, which is

Commercial Investment Wing for review and

Director issues an approval,

and the OSS system forwards it

Company's board of director's resolution regarding the opening

Proposed organogram of the office showing the posts to be


Memorandum and Articles of Association of the principal

sh Bank under Section 18(B) of


Audited accounts of last financial year of the principal company

Company's board of director's resolution for extension of office

Latest audit report of Bangladesh office

ment of all existing local and foreign manpower with the

designation, salary and allowances, nationality and date of the

Up to date encashment certificate of inward remittance

representative office permission

Maximum three years. The validity of the permission could be less

Processing Staff

# Role

1. Assistant Director Commercial Investment

2. Specialised Scrutiny

Team

3. Director or Deputy

Director

Commercial Investment

Step-by-Step Process Description

# Step

1

Logs in and selects Opening a Foreign Company Branch/Liaison/Representative office permission option.

2 Duly fills the dedicated form

3 Uploads and submits the required

documents.

4

Solemnly declares that all provided

information is correct and accurate

& signs.

5 Assigns an ID to the application.

6 Checks the application for

completeness.

7

If not complete:

Sends notification to applicant

(Investor) to provide missing

information or documents.

8 Provides missing information.

9

If complete:

Issues payment request to

applicant (investor).

10 Pays fees via OSS portal

11

Forwards application form, supporting documents and payment confirmation to the Assistant Director at the Commercial Investment Wing.

12 Examines the form and supporting documents and adds comments, if any, using the system.

13 Adds comments, if any, using the system.

14 If the application is not complete:

Sends notification to applicant (Investor) to provide missing

Opening a Foreign

Department Responsibility


Wing- BIDA

Examines forms and supporting documents

and adds comments.

BIDA Studies the request and

providesrecommendations/remarks


Wing-BIDA Reviews the requests and takes final decisions.

Description

Actor Department

Opening a Branch/Liaison/

permission Investor (applicant) NA

Investor (applicant) NA

Uploads and submits the required Investor (applicant) NA

Solemnly declares that all provided

is correct and accurate Investor (applicant) NA

Assigns an ID to the application. OSS Portal (automatically) NA

OSS Portal (automatically) NA

Sends notification to applicant

(Investor) to provide missing


Provides missing information. Applicant (Investor) NA


Applicant (Investor) NA

the

Commercial Investment Wing.


form and supporting documents and adds comments, if

Assistant Director -


Wing

BIDA

Adds comments, if any, using the Assistant Director -


Wing

BIDA

If the application is not complete:

Sends notification to applicant (Investor) to provide missing

Assistant Director -


Wing

BIDA


Responsibility

forms and supporting documents

and

recommendations/remarks.

Reviews the requests and takes final decisions.

Department Duration

1 day

1 day

# Step

information or documents.

15 Provides missing information and

documents.

16 If complete: Generates asuccinct summaryof commercial activities.

17

Forwards the compiled

application’s report to theDirector

Deputy Director at the Commercial

Investment Wing in BIDA.

18 Reviews the application.

19

In case amendments are required:Instructs to amend and adds remarks and sends the application back to the Assistant Director.

20

Re-examines the form and supporting documents considering the provided instructions and remarks.

21

In case no amendments are required: Approves the recommended decision/ remarks.

22

Updates the application status with an approval, conditional approval or rejection and forwards it to the applicant (investor).

23 In parallel: Feeds the M&E and learning processes.

Required Documents

# Forms and Supporting Document

1. Opening Foreign Branch/Liaison/Representative

2. Company's board of director's resolution regarding the

opening of an office in Bangladesh.

3. Proposed organogram of the office showing the posts to be


4. Memorandum and Articles of

company.

5. Certificate of incorporation.

6. Authorization letter.

Opening a Foreign

Actor Department

Provides missing information and Applicant (Investor)

NA

asuccinct summaryof


Director/

Director at the Commercial


Director/ Deputy Director –


Wing

BIDA

In case amendments are required: Instructs to amend and adds remarks and sends the application back to the Assistant Director.

Director/ Deputy Director–


Wing

BIDA

supporting documents considering the provided instructions and

Assistant Director –


Wing BIDA

In case no amendments are

Approves the recommended

Director/ Deputy Director –


Wing

BIDA

Updates the application status with an approval, conditional approval or rejection and forwards it to the

OSS Portal (automatically)

NA

Feeds the M&E and learning


Supporting Documents Format

For first time application

Branch/Liaison/Representative Office form

Company's board of director's resolution regarding the

opening of an office in Bangladesh.

Proposed organogram of the office showing the posts to be


Memorandum and Articles of Association of the principal

Certificate of incorporation.


Department Duration

1 day

Format �/�

# Forms and Supporting Document

1. Notification letter of Bangladesh Bank under Section 18(B) of


2. Audited accounts of last financial year of the principal

company

3. Company's board of director's resolution for extension of

office permission

4. Latest audit report of Bangladesh office

5.

Statement of all existing local and foreign manpower with the

designation, salary and allowances, nationality and date of

the first appointment

6. Up to date encashment certificate of inward remittance

7. Authorization letter

Process Map

Opening a Foreign

Supporting Documents Format

For extension permission

Notification letter of Bangladesh Bank under Section 18(B) of


financial year of the principal

Company's board of director's resolution for extension of

Latest audit report of Bangladesh office

Statement of all existing local and foreign manpower with the

allowances, nationality and date of

Up to date encashment certificate of inward remittance


Format �/�

BIDA

Prime Minister’s Office,

Government of the People’s

Republic of Bangladesh,

Plot#E-6/B, Agargaon, Sher-e-Bangla Nagar,

Dhaka-1207, Bangladesh.

Phone: +880 2 55007241-45

Fax: +880 2 55007238-40

Email: [email protected]

Website: http://bida.gov.bd/

Bangla Nagar,