The registration process for a non-profit organization in Bangladesh is quite complex. It requires thoroughness to detail and compliance with relevant laws and regulations. The process involves gaining government approval, registering with the related government authorities, establishing a board of directors, and other activities. It is important to plan, research, and prepare properly to ensure a smooth registration process.
Hence, Legal Advice BD is here to let you know how to register non-profit organizations in Bangladesh!
What is a Non-Profit Organization?
Non-profit organizations are legal bodies that are not direct parts of a government, not direct political competitors, and independent from government control. These are created by visionaries who want to make a positive change in the world.
It was formally visualized in the United Nations Charter, Article 71, stating ‘The Economic and Social Council may make appropriate arrangements for consultation with non-governmental organizations.’
What are the Conventional NGO Programs in Bangladesh?
Different types of NGOs are seen all across the globe. However, certain NGO and INGO programs are found in Bangladesh. Give it a look!
● BINGO: International business-friendly NGOs
● ENGO: NGOs established for the environment
● GONGO: NGOs that are governed by the government
● INGO: Internationally operating NGOs
● QUANGO: NGOs that have minimal autonomy
For a more detailed understanding of NGO programs in Bangladesh, including the legalities surrounding their operations, check out our guide to VAT registration in bangladesh.
How To Register Non-Profit Organizations in Bangladesh: Details Explained
There are three different ways to register non-profit organizations in Bangladesh. Let’s Go through it!
Registration of NGOs Under the NGO Affairs Bureau
The registration of an NGO or INGO has to be carried out by the body of the concerned NGOAB. An application in the appropriate format needs to be submitted with payment of the necessary registration fees and documents including operation report, constitution, letter of intent, copy of the treasury challans, etc.
After submitting it to NGOAB, the Ministry of Home Affairs and the Ministry of Social Security will receive the application for precise review and inspection of all the documents.
If the endorsed bodies are satisfied with their inquiries, the relevant Ministries will designate the National Security and Special Branch of Police to conduct a security check on the applicants and subjects of inspections that have been referred to the Ministry of Home Affairs.
When the NGOAB receives the approval, the final review and audit of the document commence. These are mainly acted under the International Donations (Voluntary Activities) Regulations Act, of 2016.
Registration of NGOs Under the Register of Joint Stock Companies and Firms (RJSC)
The registration process under the Register of Joint Stock Companies and Firms or RJS is considered to be more favorable and formal in Bangladesh as it features faster application response and an optimized application system.
Under the Societies Registration Act of 1860, a group of seven or more individuals associated with any scientific, literary, charitable, or any other similar purposes can apply to the Bangladesh Register of Joint Stock Companies and Firms to form a society.
- Step 1: Get Name Clearance and Submit Application
Get a name clearance from RJSC and file the registration application with the required documents. Make sure that the name is unique and not in use already. With the application, you have to submit the approved name clearance too.
- Step 2: Submit Memorandum and Required Documents
Apply with a Memorandum of Association, clearance letter, list of members, Office Address of the society, details of Executive Committee like NID, contact details, and TIN, rules and regulations of the society, and objectives of the society.
you can learn how to get an e-TIN certificate in Bangladesh to ensure your organization is compliant with legal requirements. Additionally, submit the society’s rules and regulations, and objectives.
- Step 3: Pay Government Fees
The next step is the payment of government fees. The amount of fees depends on the nature and scope of activities of the society.
- Step 4: Security Scrutiny by Law Enforcement Agencies
Go through a security scrutinization by law enforcement agencies like NSI or the Special Branch of Police. They check the permanent and present addresses, criminal records of officials, previous charitable activities of the organization, and the office address.
- Step 5: Inspection and Review by Authorized Bodies
Authorized bodies will conduct a detailed inspection, monitoring, review, and evaluation of the society. It is done to verify the provided information and ensure compliance with all the regulations.
- Step 6: Issuance of Registration Certificate
If the concerned authorities are satisfied with all the details and documents, the Non-profit organization will be issued a registration certificate. The certificate serves as the formal acknowledgment that the society is a registered entity under the Societies Registration Act of 1860.
To better understand company registration and the necessary legal steps involved, explore our comprehensive guide on how to register a company in Bangladesh.
Registration of NGOs Under the Department of Social Services (DSS)
To register non-profit organizations, applications can be made through the Department of Social Services or (DSS). It has to be executed via the Ministry of Social Welfare. However, it is required for organizations that offer services to selective groups like women, elderly people, children, and others. This application process is simple as it is available online. Moreover, the estimated processing period is about 7 months.
The main legal documents for registration are the Voluntary Social Welfare Agencies (Registration and Control) Ordinance, 1961, and its related rules 1962. Go through the following steps to understand!
- Step 1: Get the Name Clearance
First, you’ll need to get a name clearance from the relevant authority. This ensures that your chosen name isn’t already taken, so you can move forward with the registration process.
- Step 2: Fill Out the Registration Form (Form-B)
Next, fill out the registration form, known as ‘Form-B.’ Make sure to provide all the required details. Once you’ve completed the form, submit it with the necessary documents.
- Step 3: Submit Required Documents
Along with the form, you’ll need to gather and submit all the required documents, such as proof of your organization’s details and other supporting paperwork.
- Step 4: Pay the Necessary Fees
You’ll be required to pay government fees, including VAT and Treasury Challans. It’s essential to ensure you handle VAT payments correctly. If you’re looking for ways to avoid VAT ethically, be sure to read our guide on how to avoid VAT ethically in Bangladesh. Make sure to keep all receipts for future reference.
- Step 5: Forwarding the Application to the Relevant Ministries
After submitting your application and documents, your file will be sent to the concerned ministries for further processing.
- Step 6: Security Check by Law Enforcement
Law enforcement agencies like the National Security Intelligence (NSI) or Special Branch of Police will carry out a security check to verify your application.
- Step 7: Ministry Review
Your application will then be reviewed and monitored by the relevant ministry to ensure everything is in order.
- Step 8: Final Review and Approval
Finally, the Department of Social Services will conduct a thorough review of your documents. If everything checks out, they’ll issue your registration, which can take about 5 to 7 months.
Conclusion
The development of NGOs is essential to ensure the growth of any country. Follow the above-mentioned steps to successfully register your non-profit organization in Bangladesh. A small mistake can nullify the whole application. As the registration steps could be a bit intimidating to novices, it is recommended to seek help from legal professionals if needed. You can also reach out to us, at Legal Advice BD
Hopefully, this detailed guide on how to register non-profit organizations in Bangladesh will make your life easier!