In Pakistan, a sole proprietorship is not required to be registered with any specific regulatory authority. However, the owner may need to register the business with the relevant local authorities, such as the local chamber of commerce and industry and the tax authorities. The owner may also need to obtain any necessary licenses and permits, depending on the nature of the business and the location.
It is generally recommended for the owner of a sole proprietorship to register the business with the local chamber of commerce and industry, as this can help to establish the business as a legitimate entity and make it easier to conduct business with other companies and organizations. The owner should also register for tax purposes with the Federal Board of Revenue (FBR), as this is required by law.
In addition to registering with local authorities, the owner of a sole proprietorship may also wish to consider obtaining liability insurance to protect against potential risks and liabilities. This can help to safeguard the owner’s personal assets in the event that the business incurs debts or faces legal action.