KARACHI: The Union of Small and Medium Enterprises (UNISAME) council members held a meeting with the Securities and Exchange Commission of Pakistan’s (SECP) Additional Registrar Muhammed Naeem, Kashif Mahmood Joint Additional Registrar at UNISAME house on 18th February 2020 and discussed facilities offered to SMEs for registration as incorporated companies, says a Press release.
The meeting was basically for creating awareness and changing the mindset of the SMEs to join the mainstream and get ready for bigger exposure and outreach. Form joint ventures, collaborations and limited partnerships under a well-defined framework of applicable company law.
President UNISAME Zulfikar Thaver said the SMEs needed to know what SECP has done for the SMEs for easy registration, formation and smooth working of companies and how to benefit from the online system and prompt efficient services of SECP. The Additional Registrar and his joint additional registrar removed all doubts and motivated the trade leaders and requested them to impress upon their colleagues to form companies and adopt best systems.
Those SMEs who intend to form single and multiple holder private companies with limited liabilities and the medium and upper medium entrepreneurs who wish to get enlisted with the GEM Board under the Pakistan Stock Exchange (PSX) to seek finance from the public for expanding their businesses would be welcomed and would receive the best guidance from SECP, GEM Board, SMEDA, UNISAME and its council experts.
The council members said there is a need for obtaining funds by offering shares and inviting public shareholders because bank finance has become unaffordable.
Under a company the shareholders feel their investment in shares is of limited liability and protected they feel encouraged to join in as shareholders and benefit from the progress and growth of the company which is reflected in the value of the shares the council emphasized.
Muhammad Naeem said there is hesitancy in SMEs because of the lack of information about the fees, procedures, rules and regulations which have been modified under the ease of doing business. He pointed out that the SECP has simplified the procedure and has gone a long way in making it smooth under the ease of doing business programme adopted by most of the government institutions.
Regarding taxes UNISAME intends to approach the ministry of finance to reduce the burden on the SMEs and encourage them to form companies and get into the mainstream. UNISAME would also request the ministry of interior to simplify the inclusion of foreign directors which at present is subjected to various interrogations by agencies.
SECP assures SMEs of Ease of Doing Business and best efficiency
