Mid Assesment

Name : Uddin Belal

ID : 18-38652-3

Ans to the question no 4

A registered under the Companies Act (1980), with statutory minimum capital requirements and shares
offered to the public subject to conditions of limited liability. a company registered under the Companies
Act (1980), with statutory minimum capital requirements and shares offered to the public subject to
conditions of limited liability.

Mr. Hero Khan and Mr. Jalil Miah wanted established a company. The advises on the following issues
(1) Name of the company, (2) Memorandum of Association, (3) Articles of Association is given below:

Name of the company

To setup a business in Bangladesh, their first step would be to acquire a name clearance for the business
name clearance they are proposing. They need to visit government name clearance website and first
generate a username. Then they can apply for the clearance of their name. They will acquire a bank
payment slip after they have submitted the name clearance request and they will have to pay 600 Taka to
the specified bank. This is a simple process where they can get a certificate from the Registrar of Joint
Stock Companies and Firms (RJSC) by applying online in RJSC website. Registration process of a
company must be finished within 30 days of obtaining of “Name Clearing Certificate”.

Memorandum of Association:
The Memorandum of Association (MoA) is a legal document prepared in the formation and registration
process of a limited liability company to define its relationship with shareholders. They must draft it.

Articles of Association:
The Articles of Association (AoA) is a document that defines the purpose of a company and specifies the
regulations for its operations. To open a company in Bangladesh, after name clearance they must draft
AoA.
They should hire a reputed law firm which will be able to reach the necessary objectives of your
prospective company and draft them accordingly in their company memorandums.

Ans to the question no 1

Writing a very short briefing on the law and legal procedures of Bangladesh below:

Franchising is a particular type of business using another firm's successful business model. The word
'franchise' came from French language “franc” which means “free”. an authorization granted by a
government or company to an individual or group enabling them to carry out specified commercial
activities.
1. Franchising Agreement: A Franchise Agreement is a legal, binding contract between a franchisor and
franchisee. A franchise agreement contents can vary in content depending upon the franchise system,
the state government laws of the franchisor or franchisee.

2. Franchising In Bangladesh: A lot of franchising business have been established in Bangladesh. All of
them are highly popular and our people accepted them well. Some of the famous franchising business
examples of our country are KFC, Pizza Hut and Domino’s Pizza.

3. Terms Of Service KFC of North Corbin, Kentucky is the operational headquarter of KFC. It makes the
contracts with all the franchisees. According to the franchising deed, KFC, Dhaka will be bound to keep
the standard of their dishes. For this reason they provide training to the cooks and the recipes, to
maintain the standard worldwide.

4. Royalty and Other Fees: According to the Majharul Islam, manager of KFC, Baily Road, they paid
approximately $50000 as royalty. This money covers opening costs, license fee, equipment payments.
The franchisee needs to arrange a suitable place and also ensure safety to the customers. A nice place
and safety is conditioned by the franchisor.

5. Location and Safety: Franchisee needs to set up his business at a place which is easily accessible from
most of the areas around that place. And they must ensure safety to the customers. As KFC is situated at
Gulshan, Baily Road, Dhanmondi and Kakrail.