Starting a Business
According to the World Bank’s Doing Business 2020 report, Sri Lanka ranked 85 th position with a Doing Business score of 88.2 in the Starting a Business Indicator. Sri Lanka performs better than the South Asian regional average to start a business, especially on time (8 days) and steps (7). There is no paid in minimum capital requirement to start a business in Sri Lanka.
1. Online Business Registration in One Day
The Department of the Registrar of Companies (ROC) launched the online business registration portal eROC in April 2018. Visit the portal here: https://eroc.drc.gov.lk
Applicants can now reserve their business name and obtain a Business Registration Number (BRN) online within one working day (24 hours) of application- provided that they submit all the information required.
With 24 hours, applicants can:
- Apply for unique name reservation-search database, reserve name and make all payments online. Approval is also received via the system.
- Apply for BRN- make payments, scan and upload necessary documents, track approval process and receive the number online.
2. Obtain Tax Identification Number (TIN) online via EROC
The eROC system is now connected with the Department of Inland Revenue’s (IRD) RAMIS system. Accordingly, the applicant can obtain the Tax Identification Number (TIN) online after receiving the BRN. Because ROC and IRD shares data, there is no need to resubmit information when applying for TIN via the EROC system.
With this development, businesses can apply for and receive the TIN number within one day via EROC- there is no need to make a separate request from the Inland Revenue Department.
3. Public notice of incorporation requirement-eliminated
The Companies Act has been amended eliminating the requirement for a public notice of company incorporation from the applicant. This has eliminated an additional cost and time burden to the applicant- Section 9 (1) of the Companies Act previously required them to publish the notice of incorporation for 3 days.
4. Coming soon: Single Window for Starting a Business
Apply for all 3 identifications- Business Registration Number, TIN and Employee Provident Fund (EPF) numbers online via EROC. More details