Company is Incorporated, Now What?

You’ve completed the official company registration formalities at the Registrar General of Companies in Sri Lanka – congratulations! Now that your new business adventure is officially on the road, whether you’re a business owner, entrepreneur, director, shareholder, or all of the above, it’s time to tackle the next crucial steps.

1. Set Up a Business Bank Account

After establishing a limited company, the first order of business is to open a dedicated business bank account. This ensures clear separation between your business and personal finances. Explore the best deals for your situation and take advantage of any business support offered by the bank. During the account setup, be prepared to submit essential documents, including the certificate of incorporation, certified copy of Form 1 with the QR Code, and Articles of Association – all duly certified by the company secretary.

2. Domain for the Website and Social Media Links

In today’s expanding online business landscape, securing your business name through a domain is paramount. For Sri Lanka, obtaining a .lk domain from www.domain.lk is highly recommended. Ensure the legitimacy of your business by providing your business registration details. Additionally, establish a robust online presence by creating social media links, especially on platforms like LinkedIn, Facebook, and Instagram.

3. Ensure the Taxman Knows You’re in Business

Just as in your personal life, you can’t evade taxes in the realm of your new limited company. The Commissioner General of Inland Revenue, Sri Lanka, provides you with a unique Tax Identification Number (TIN). This number is crucial for filing your company tax returns. With the latest eROC System, the incorporation process automatically triggers the dispatch of a letter containing your tax number to your company’s registered office. Make sure to appoint a Tax consultant or if you need guidance on what tax types matters for your business feel free to reach out to our associate chartered accountants for an information session. you could contact them via www.doubleentry.lk

4. Get It in Writing

For any business type, the golden rule is clear – get it in writing. While you’ve already begun this practice by documenting the ‘internal rulebook for your limited company’ in the articles of association, don’t stop there. Depending on your business, essential documents such as Terms and Conditions (T&Cs), a website use policy for e-commerce compliance, and a shareholders’ agreement for multiple shareholders should be put in place early on.

5. Inform Your Customers about Practical Matters

In the initial days of your company setup, marketing efforts are crucial, but practical information for your customers is equally important. As a limited company, display your essential details – company name, number, address, place of registration, etc. – on your website, emails, business letters, and order forms. Ensure compliance with regulations for marketing emails or texts by providing an option to unsubscribe. Clearly display prices, delivery details, and payment methods, and confirm orders promptly.

6. Understand Your Company’s Annual Requirements

Following your company’s incorporation, understanding the annual requirements is essential. Mandatory submissions to the Registrar General of Companies (ROC), Department of Inland Revenue (IRD), and other government bodies are part of the process, even for dormant companies. Failing to submit required information on time is an offense, potentially leading to removal from the company register. Keep track of the Annual Return, ROC filing requirements, and any changes to company information. For VAT-registered businesses, timely submission of VAT returns to the IRD is crucial, along with monthly PAYE and Provident and Trust fund contributions for those employing staff.

Remember, the information provided here does not constitute legal advice. In case of doubt, seeking professional advice is recommended. Navigate these early weeks post-incorporation with confidence, and set the foundation for a thriving business in Sri Lanka. #SriLankaCompanyIncorporation #CompanySecretarySriLanka