About Securities And Exchange Commission Of Pakistan
The security and exchange commission of Pakistan (SECP) was established in the execution of the Securities and Exchange Commission of Pakistan Act, 1997, and came into the process on January 1, 1999.
Its main purpose is to create a contemporary and well-organized business sector and trading firms designated to proper government regulations to provoke investment and promote financial growth and prosperity in Pakistan.
The SECP has the following present declarations:
Investment services, Leasing firms, housing finance, and venture capital investment.
Surveillance of insurance companies.
Surveillance and regulation of non-banking companies and private pension systems.
Oversee different service providers, like chartered accountants, rating agencies, insurance companies, corporate secretaries, etc.
You can register your company on an SECP company registration for trading and exhibit its title and quotation of the market price of the stake on the authorized index of the SECP registration. The stakes may be of any public limited company, enterprise, or Government.
PURPOSE OF SECP REGISTRATION
The main objective of the securities and exchange commission of Pakistan is to get the registration of firms and companies to create security for investors. For this purpose, they have an office named Company Registration Office (CRO), which registers and incorporates various firms.
Another main reason for registering a corporation on a securities exchange is to increase budgets for fulfilling financial markets; regardless, registration is done for additional reasons, including completion of the investment by the current shareholders and increasing the business profile.
For all the fascination linked with moving public, the reality remains that the orders should be made on harsh business realities. As an owner or primary shareholder, you must consider the benefits and drawbacks of moving public related to the objectives and goals you have set for your company.
The decision to register your company should be made once you have evaluated your business, management, resources, growth stage, long-term plan, goals, and future opportunities. You are also required to consider the timings of registration related to your business’s current market condition.
Registration is accompanied by advantages, responsibilities, and public scrutiny. There are many clear requirements that you need to follow with as a registered entity. It would be a great thought to introduce yourself to these requirements to evaluate whether your business will be able to follow them completely.
BENEFITS OF SECP FIRM REGISTRATION
Registering your company in SECP has many advantages; some of which are mentioned below:
Advancement In The Firm’s Certifications
SECP registration enhances the firm’s public profile in the eye of clients, suppliers, investors, and media, resulting in more business opportunities and growth.
An SECP registered firm is included in the stock exchange’s listing series, which creates further discloser for the firm locally and internationally. Therefore, the critics might cover it in their reports.
An SECP registered firm may also be considered or nominated for an award like the stock exchange 25 top companies award that increases reputation and investors’ confidence in the company.
Registered firms are benefitted from the known insight that after registration economic and business stability of the companies is improved.
An SECP registered firm can operate its shares to fund investments through uniting as shareholders of the combined entity might be more interested in registered shares.
An SECP firm registration brings Global identification of the business.
Registration Adds Value To Business
SECP firm registration adds value and liquidity for shareholders because registered shares are separately evaluated and valued.
SECP Registration expands liquidity and helps in widening the shareholders’ ground. Shareholders of registered firms can recognize their investments easily.
Registration improves your identity and adds reliability to your business: Registering a firm makes it convenient for the customers to recognize you as a fair business.
SECP registration supports in impressing institutional and professional investors as company partners.
Benefits For the Country’s Economy
SECP Registration delivers investment options to the investors, so individuals’ savings are deployed.
Reduces dependency on the banking sector, so the banking sector’s resources can be used to expand the underdeveloped sectors of the economy.
HOW MAVENS & CO. HELP IN SECP FIRM REGISTRATION
Mavens & Co. is a lawful consulting firm delivering a lawful direction to firms from a broad spectrum of enterprises. We help our customers with all benefits offered by the securities and exchange commission of Pakistan.
Mavens & Co. strives to keep orderly, equitable, and efficient markets that can help you create a vibrant and efficient regulatory framework. Although, our experts will also make it easier for you to collaborate with the different external services.
Steps to get yourself registered in SCEP firm registration:
You can register your firm online through the e-services of SCEP and offline through the company registration offices (CRO).
- Write an application for the availability of your company’s name. For online submission of application, you can go for e-service and for manual submission, you can go for their company registration office.
- An application by the advocates or members of an organization desiring of getting a license under section 42 is submitted through a properly authorized spokesperson with the subject: “Application for Grant of License under section 42 to M/s ……………… (Proposed)”.
- Require original documents for registration of association as a company limited by confirmation. After receiving a license from the Commission, the Company must be included under the provision acts within three months from the date of the license.
The time limit of this license is five years. After five years, the license expires, and companies have to renew their license for five years.
In Conclusion, Registering your firm is one of the finest options to grow your business and assure the success of your business. Secp company registration will free you from liability and lesser your tax rates, enabling you to shift your business into a profitable venture.
If you are doubtful about the registration of your business and its security, you can get consultancy from Mavens & Co. We operate with a group of lawyers. We collaborate with the customers helping them to achieve their corporate milestones successfully.