How to register Software house in Pakistan

Starting a software house in Pakistan is an exciting venture, but it requires careful planning and adherence to legal procedures.

Establishing your software house’s repute, safeguarding your company, and adhering to legal requirements all depend on registration.

We will take you through the stages involved in establishing a software house in Pakistan in this in-depth guide, emphasizing the prerequisites, needs, and important factors.

Let us start now!

The requirement to register a software house in Pakistan

Are you passionate about technology and interested in starting your own software house in Pakistan?

Establishing a software house can be a rewarding venture, given the country’s growing IT industry and talented pool of software developers.

To help you get started, this article outlines the key requirements and steps involved in opening a software house in Pakistan.

From legal considerations to infrastructure needs, we’ll cover everything you need to know.

Related: We also learn about how to start a software house in Pakistan and a few steps to start it!

1. Understanding the Legal Framework

It is important to educate yourself about Pakistan’s legal system before starting the registration process for your software company.

The main piece of law governing the formation and operation of businesses in the nation is the Companies Act of 2017.

Understanding the key provisions and requirements under this act will ensure a smooth registration process.

2. Choosing a Business Name

Selecting an appropriate business name is an important step in building your software house’s brand identity.

Choose a name that is distinctive, memorable, and relevant to your company.

To make sure your business name is not taken, examine the SECP’s online database.

3. Company Structure and Ownership

Determine the structure and ownership of your software house.

Private limited companies, single-member companies, and partnerships are all legal entities in Pakistan.

The private limited company form is popular because of the benefits it provides in terms of restricted liability and the simplicity with which capital can be raised.

4. Business Plan and Financing

Creating a comprehensive business plan is crucial for the success of your software house.

It helps you outline your goals, target market, services offered, and competitive analysis.

A well-crafted business plan also plays a vital role in securing financing from investors or banks.

When seeking financing, consider exploring government initiatives, such as the State Bank of Pakistan’s financing schemes for the IT industry.

Additionally, private investors and venture capital firms might be interested in supporting promising software house startups.

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5. Drafting Memorandum and Articles of Association

Create your software company’s Articles of Association and Memorandum of Association.

The AOA establishes the guidelines for internal management, whereas the MOA details the company’s goals and operational scope.

Consult an attorney to make sure you are meeting all the criteria outlined in the Companies Act.

Digital Signature Certificates (DSCs) are essential for submitting online applications and documents to the SECP.

6. Acquiring Digital Signature Certificates

Digital Signature Certificates (DSCs) are required for SECP online applications and documents.

DSCs for your software company’s directors and shareholders may be obtained from licensed authorities like the National Institutional Facilitation Technologies (NIFT).

7. Obtaining Director Identification Numbers (DIN)

Apply for Director Identification Numbers (DIN) for all directors of your software house.

DIN is a unique identification number issued by the SECP, enabling directors to participate in company affairs and sign necessary documents.

8. Registering with the Securities and Exchange Commission of Pakistan (SECP):

Submit the requisite documents, including the MOA, AOA, DSCs, DINs, and other necessary forms, to the SECP for company registration.

Pay the prescribed registration fee and comply with any additional requirements specified by the SECP.

9. Tax Registration and Documentation:

Get your software company set up as a tax-paying entity with the FBR.

Depending on what you are selling, you may need both a National Tax Number (NTN) and a Sales Tax Registration Number (STRN).

Maintain proper books of accounts and comply with tax-related obligations.

10. Opening a Bank Account:

Once your software house is registered, open a business bank account to facilitate financial transactions.

Provide the necessary documents, including the company’s registration certificate, MOA, AOA, and identification document of the authorized signatories, to the bank of your choice.

Ensure that you fulfill any additional requirements imposed by the bank, such as minimum deposit amounts or specific account types for businesses.

11. Compliance with Labor Laws:

As an employer, it is essential to comply with labor laws in Pakistan.

To give social security benefits to your workers, register your software company with the EOBI and SSI.

Familiarize yourself with labor laws regarding minimum wages, working hours, leave entitlements, and employee contracts to ensure a fair and lawful working environment.

12. Skilled Workforce

The success of a software house greatly depends on its team of skilled professionals.

Pakistan has a large pool of competent software engineers, making it easy to employ them.

Hire skilled software engineers, designers, project managers, and quality assurance professionals to offer high-quality software solutions.

Consider conducting technical assessments and interviews to assess the skills and expertise of potential candidates.

13. Marketing and Branding

In the competitive software industry, effective marketing and branding play a vital role in attracting clients.

Develop a strong brand identity, including a compelling logo and website.

Leverage digital marketing strategies, such as search engine optimization (SEO), social media marketing, and content marketing, to increase your online visibility and reach potential clients.

14. Building Client Relationships

Establishing strong client relationships is crucial for the growth and sustainability of your software house.

Focus on delivering exceptional customer service, meeting project deadlines, and exceeding client expectations.

Maintain open lines of communication with clients, listen to their needs, and provide regular updates on project progress.

By building trust and delivering outstanding results, you’ll foster long-term partnerships and generate positive referrals for your software house.

15. Quality Assurance and Testing

Quality assurance (QA) and testing techniques should be used to assure software quality and dependability.

This entails comprehensive testing at different phases of development to find and repair issues.

Establish a dedicated QA team or partner with external testing services to perform comprehensive tests, including functional testing, performance testing, and security testing.

16. Continuous Learning and Skill Development

New technologies and frameworks emerge constantly in software development.

To keep up with market developments, encourage your employees to keep learning and developing skills.

Provide training, attend conferences, and promote information exchange via online networks and forums.

This commitment to ongoing learning will keep your software house at the forefront of innovation and ensure the delivery of cutting-edge solutions.


How much does it cost to register with Pakistan Software Export Board?

As of my knowledge cutoff in September 2021, the Pakistan Software Export Board (PSEB) does not charge a fee for the registration process. However, it’s recommended to visit the official PSEB website or contact them directly for the most current and accurate information, as policies and regulations may have changed.

How much is the FBR company registration fee?

Company registration in Pakistan is free, as of September 2021. Obtaining an NTN or Sales Tax Registration may cost money. Visit the FBR website or contact a Pakistani lawyer or accountant for the latest information.

How can I register as a freelancer in Pakistan?

You need an FBR-issued National Tax Number (NTN) to freelance in Pakistan. Fill out the FBR’s online form and submit the required documents. Annual income tax returns are necessary after registration.


Congratulations! You have successfully navigated the process of registering a software house in Pakistan.

By following the step-by-step guide outlined above, you have established a solid foundation for your business and complied with the legal and regulatory requirements.

Remember to seek legal assistance whenever necessary and stay updated with any changes in the business and tax regulations.

Now, you can focus on building your software house, attracting clients, and making a significant impact in the thriving tech industry of Pakistan.

Good luck with your entrepreneurial journey!


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