Online business registration in Bangladesh comes down to five documents: a trade licence, an e-TIN, a business bank account, a DBID and, when VAT applies to you, a BIN. The order matters because each one asks for the one before it.
- First: trade licence from your city corporation, pourashava or union parishad.
- Second: e-TIN from the National Board of Revenue, online.
- Third: a current account in the business name.
- Fourth: DBID if you sell through a website or social media page.
- When required: VAT registration (BIN).
- Only for some products: BSTI, drug administration, import or export certificates.
Before you apply: pick the business type
Every form will ask what kind of business you are, so decide this first.
| Type | Suits | Keep in mind |
|---|---|---|
| Sole proprietorship | One owner, a page or small store | Simplest and cheapest. The owner is personally liable for debts. |
| Partnership | Two or more owners | Needs a written partnership deed. Can be registered with RJSC. |
| Private limited company | Brands planning investment or large contracts | Registered with RJSC. More paperwork and yearly filings. |
| One person company | A single founder who wants limited liability | Registered with RJSC under the Companies Act. |
Most online sellers start as a sole proprietorship. It can be converted later, though a company is a new legal entity, so licences and bank accounts are redone at that point. If you already have a partner or an investor waiting, starting as a company saves that repeat work.
Step 1: Trade licence
A trade licence is permission to run a specific kind of business from a specific address. The local government body for that address issues it.
Where: the zonal office of your city corporation, your pourashava, or your union parishad. Some city corporations accept applications online.
What they ask for:
Choosing the category. The form lists business categories, and fees depend on the one you select. Pick the one closest to what you actually do, such as e-commerce, online retail, IT-enabled services or trading. This matters later: a payment gateway reviewing your application wants the licence to match the business it sees on your website.
The name. Use the exact business name you will put on your bank account, website and invoices.
Renewal. A trade licence runs for one financial year, July to June, and must be renewed each year. Set a reminder for June.
Step 2: e-TIN
The Taxpayer Identification Number is your income tax identity. You register on the National Board of Revenue’s e-TIN portal with your NID and a mobile number, and the certificate can be downloaded once registration is complete.
A sole proprietor uses a personal TIN, because the law treats the owner and the business as one taxpayer. Partnerships and companies get their own.
Holding a TIN generally means you are expected to submit an income tax return every year, including years with little or no profit. Missing returns can lead to penalties. Speak to a tax practitioner in your first year so the habit starts correctly.
Step 3: Business bank account
With the licence and TIN, open a current account in the business name. Banks usually ask for the trade licence, TIN certificate, NID, photographs, a nominee’s details and their own forms. Some will visit or verify the address.
Do this even if you are small. Customers trust a transfer to “Rupkotha Fashion” more than to a personal name, and you will finally be able to see what the business earns. If you plan to accept cards or mobile wallets on a website, the gateway will settle into this account. Our guide to payment gateways in Bangladesh lists what each provider asks for. A merchant account with bKash or Nagad also needs these papers.
Step 4: DBID
The Digital Business Identification number was introduced by the Ministry of Commerce in 2022 for businesses that sell through websites, apps or social media pages. Applications are made online and processed through the Office of the Registrar of Joint Stock Companies and Firms (RJSC).
The guideline asks businesses to display the DBID on their site or page. In practice, uptake has been uneven and the process has been revised more than once. Check the official DBID portal for what it currently asks for before you begin. For a Facebook-based seller it is still a useful trust signal to show buyers. See our guide to running an F-commerce business for where to display it.
Step 5: VAT registration, when it applies
VAT registration gives you a Business Identification Number (BIN) through NBR’s online VAT system. Whether you must register depends on your annual turnover, your type of business and what you sell. Some categories must register regardless of size.
Two practical points. First, corporate buyers and government bodies commonly ask suppliers for a BIN and a VAT invoice (called Mushak 6.3), so a small firm chasing that kind of client may register early. Second, registration means filing a VAT return every month, even a nil one. Thresholds and rates are set in the Finance Act and have changed in recent years, so take current figures from NBR or a VAT consultant, not from an old article.
Who issues what
Extra approvals for certain products
- Packaged food: many items fall under mandatory BSTI certification, and food businesses come under the Bangladesh Food Safety Authority.
- Cosmetics and toiletries: several product types need BSTI certification. Imports have additional rules.
- Medicines, supplements and medical devices: regulated by the Directorate General of Drug Administration.
- Importing or exporting: an Import Registration Certificate or Export Registration Certificate from the Office of the Chief Controller of Imports and Exports.
- Your brand name and logo: a trademark application with the Department of Patents, Designs and Trademarks protects them. It is optional and worth doing once the brand has value.
If you sell food, skincare or imported goods, sort these out before spending on advertising. An ad that works brings attention, and attention includes regulators and competitors.
Which path fits your situation?
You sell from a Facebook page, a few orders a day
Trade licence as a sole proprietor, e-TIN, business bank account, DBID. That is enough to open courier merchant accounts and a mobile wallet merchant account.
You are launching a website with online payment
The same four, plus whatever the gateway requires, which is usually a live website with terms, privacy, refund and delivery policies and a visible address and phone number. Read how to start an e-commerce business in Bangladesh for the full launch order.
You supply companies or want tenders
Add a BIN early, and consider forming a private limited company. Larger buyers often shortlist only registered companies.
You have partners or expect investment
Register a company with RJSC first: name clearance, memorandum and articles of association, then incorporation. Take the trade licence, TIN and bank account in the company’s name after that.
How long it takes and what it costs
An e-TIN is normally issued the same day. A bank account takes a few working days once papers are complete. A trade licence takes anything from a few days to a few weeks depending on the office. Company registration takes longer than a proprietorship.
We have not printed fees here on purpose. Trade licence fees differ by authority and by category, and a signboard charge and other small charges are often added. Ask for the official fee schedule, pay through the official channel and keep every receipt. If you hire an agent or a law firm, agree the total in writing before work starts.
Rules once you are selling
The Digital Commerce Operation Guidelines issued in 2021 set ground rules for online sellers. Among other things they cover clear product information and pricing, delivery time limits, refunds, and restrictions on taking advance payment for goods you do not hold. Buyers can complain to the Directorate of National Consumers’ Right Protection.
Four habits keep you safe: publish a return and refund policy, give every buyer an invoice or order confirmation, keep records of orders and deliveries, and describe products with honest photos.
Mistakes that cause the most trouble
- A licence category that does not match the business. “General supplier” on the licence and a fashion store on the website will stall a gateway application.
- Three different names. Page name, licence name and bank account name should be the same, or clearly connected.
- Letting the licence expire. Gateways and banks re-check documents, and an expired licence can hold up settlements.
- Running the business through a personal account. It hides your real profit and looks poor to lenders.
- Taking a TIN and never filing.
- Paying unofficial money without receipts. You have no proof and no recourse.
- Registering in a relative’s name for convenience. The legal owner is whoever is on the paper. Disputes over this are painful.
After the paperwork
Registration does not bring a single customer. It removes the limits on how you can serve them: card payments, corporate invoices, bank credit, verified ad accounts. Once it is done, the next decisions are your store platform and how people will find you. Compare options in WooCommerce vs Shopify in Bangladesh, or see our WooCommerce development service if you want the store built for you.
Questions sellers ask before applying
Can I get a trade licence with a home address?
Many small online sellers do. The local authority decides, and it will usually want a rent agreement or ownership document and may ask for the landlord's consent. Ask your ward or zonal office what it accepts for your area.
Is a trade licence required for a Facebook page business?
A trade licence is the standard legal permission for running any business from an address in Bangladesh, whether you sell through a shop, a website or a Facebook page. You will also need one for most payment gateways and for a business bank account.
What is the difference between TIN and BIN?
A TIN identifies you for income tax. A BIN identifies a business for VAT. They are separate registrations, both issued by the National Board of Revenue.
Do freelancers need a trade licence?
A freelancer earning from foreign clients can often work with a TIN and a personal or freelancer bank account. Once you hire staff, rent an office, use a brand name or bid for local corporate work, a trade licence becomes necessary. Ask a tax professional about your case.
Can I register everything online?
e-TIN, BIN and DBID applications are made on government portals. Trade licences are online in some city corporations and paper-based in many other areas. Company registration is submitted online to RJSC.
Amanat has managed $4M+ in Google and Meta ad spend for brands in the UK, USA, Australia and Bangladesh since 2020. He holds 20+ certifications, including Digital Marketing Strategy from Harvard Business School Online. More about Amanat
