It depends on what the office will do. A liaison office suits market research, promotion and coordination with local customers or suppliers, but it generally cannot sign sales contracts or earn income in Bangladesh. A branch can carry on permitted business, but the parent remains directly liable for its obligations and the branch is taxed on its local profits. A subsidiary offers limited liability and the widest operating freedom, but needs shareholders, directors and full corporate compliance. We usually recommend a subsidiary where the foreign company expects long-term trading in Bangladesh.

BIDA no longer exists as a separate body. Since 23 August 2026, its functions have sat with Invest Bangladesh, created under the Invest Bangladesh Act 2026 by merging BIDA, BEZA and the PPP Authority. New applications, renewals and amendments for branch, liaison and project offices therefore go to Invest Bangladesh. Offices in export processing zones or hi-tech parks may fall under BEPZA or the Hi-Tech Park Authority instead. Permissions issued before the merger generally remain valid for their term, but the next renewal or change will be handled by the merged authority, whose procedures are still being finalised.

The authority typically expects the parent's certificate of incorporation and constitutional documents, recent audited financial statements, a board resolution approving the Bangladesh office, details of the proposed activities, the local representative and the office plan, and a power of attorney for the person filing. Documents issued abroad usually need notarisation and legalisation or apostille, depending on the country, followed by attestation in Bangladesh. Translations are needed for documents not in English. Gaps in these papers cause most delays, so we review the foreign company's draft set before anything is signed or legalised.

Generally no. A liaison office is expected to limit itself to activities such as promoting the parent's products, gathering market information, coordinating with customers and suppliers, and supporting the parent's contracts without concluding them locally. Its costs are normally met by inward remittances from the parent rather than local income. If the office in practice negotiates and concludes sales, issues invoices or provides services for a fee, it risks breaching its permission and may create a taxable presence for the parent. We review the planned activities and staff roles against these limits before the office opens.

A branch is taxed in Bangladesh on the income attributable to its Bangladesh business, broadly at the rates that apply to companies, and it must keep accounts, file returns and handle withholding on its own payments. After tax, branch profits can generally be remitted to the head office through the authorised dealer bank, subject to the foreign exchange rules, audited accounts and supporting documents. Charges from the head office to the branch need care, because deductibility and remittance both depend on documentation. We plan the foreign company's tax and remittance position before the branch begins trading.

Timing depends mainly on how quickly the parent can produce legalised documents and on the authority's processing of the permission. Once permission is granted, the RJSC filing, bank account, inward remittance, tax registration and trade licence follow, and each takes some time. Work permits for expatriate staff come after the office exists. Invest Bangladesh is still settling into its new role in 2026, so we do not quote fixed service times. Instead we prepare a step-by-step plan for the foreign company that shows dependencies, so that leases and hiring are not committed too early.

Project offices are usually linked to a specific contract, often with a government agency or a major project sponsor, and the permission generally reflects that contract's scope and term. A foreign company working on several projects may therefore need to consider whether one office can cover them, whether separate permissions are needed, or whether a subsidiary would be more practical. Contract documents, tax withholding by the employer, customs on imported equipment and expatriate permits all depend on how the presence is set up. We review the contracts and recommend a structure before mobilisation begins.

Closing an office is a formal process rather than simply stopping work. The foreign company normally needs to notify the investment authority, settle tax liabilities and obtain the relevant clearances, pay staff entitlements under the labour laws, terminate leases and supplier contracts, and close bank accounts after any remaining funds have been repatriated with the authorised dealer bank. Notices also need to be filed with the Registrar of Joint Stock Companies and Firms. Incomplete closures can leave the parent exposed to later tax or regulatory claims. We prepare a closure checklist and manage each step to completion.