Description

Indian Subsidiary Company Registration

Basic Offer

₹ 25,000/- (inclusive all)

  • 2 Digital Signature Certificates
  • 2 Director Identification Numbers
  • 1 Name Approval Application under RUN
  • Stamp duty on INR 1 Lakh Authorized Capital
  • Company Incorporation using SPICe
  • MOA & AOA
  • PAN
  • TAN

Combo Offer

₹ 30,000/- (inclusive all)

  • 2 Digital Signature Certificates
  • 2 Director Identification Numbers
  • 1 Name Approval Application under RUN
  • Stamp duty on INR 1 Lakh Authorized Capital
  • Company Incorporation using SPICe
  • MOA & AOA
  • PAN
  • TAN
  • MSME
  • GST Registration
  • First 3 Month GST Return

Documents Requirements

  • PAN Card

PAN Card of shareholders and Directors.

Foreign nationals must provide a valid passport.

  • Identity Proof

Aadhar card and Voter ID/ Passport/ Driving License of Shareholders and Directors.

  • Director’s Address Proof

Latest Telephone Bill /Electricity Bill/ Bank Account Statement of Shareholders and Directors.

  • Photograph

Latest Passport size photograph of Shareholders and Directors.

  • Business Address Proof

Latest Electricity Bill/ Telephone Bill of the registered office address

  • NOC from owner

No Objection Certificate to be obtained from the owner(s) of registered office.

  • Rent Agreement

Rent Agreement of the registered office should be provided if any

  • Constitutional documents

An apostilled copy of the charter, statutes or memorandum and articles.

If the instrument is not in English, a certified translation in English.

  • List of Directors & Secretaries

It is to be provided on the letterhead of the company (apostilled or notarized).

  • Place of Business

Full address of the principal place of business of the foreign entity.

  • Authorised Representative

Name and address of the person (Authorized Representative) who shall receive legal documents on behalf of the company.

  • Prior registrations

Details of opening and closing of a place of business in India on earlier occasion

Procedure

Day 1 – 2

Review of documents and information provided

Application for Digital Signature Certificate

Day 3 – 6

Checking Name availability

Drafting of MoA, AoA & other required documents

Day 7 – 9

Name reservation application under SPICe

Filing company registration application

DIN allotment application

Application for PAN and TAN of company

Day 10 – 12

Government processing time

Knowledge Portal

What is India Subsidiary Company?

Starting an Indian Subsidiary is the most accessible and easy mode for setting up business in India by foreign companies. The Government of India allows 100% FDI in most of the industries when set-up as a company. This also becomes a reason for foreign nationals and entities to end up their search on private company structure to establish their business.

An Indian structure is also beneficial as it is a centralized structure in place and governed by Companies Act, 2013. Withholding the majority or whole portion of stocks, all you need is one resident director and a place of business in India. However, it is simplified to set-up and run business, these companies must assess pertinent provisions of law. The Indian subsidiary of a foreign entity is also popularly known as a foreign company in India.

Advantages of Indian Subsidiary Company

1.Easy entry gate

When compared to other business structure, the entry to Indian business sphere is easy as a private company. Apart from liberal norms, the set-up is a hassle-free deal as a company. Incorporation process and post-registration steps are now simplified with online processes and one window processing.

2.Permanent establishment in India

By registering a subsidiary in India, the foreign nationals or entities establish a permanent place of business and a legal entity in India. A company registered in India has separate legal identity than the promoters and the stockholders.

3.Strategic control over operations

Although being a foreign person, this structure helps the promoters to control over the operations and activities in a strategic manner. With at least one Indian resident director, the foreign entities benefit from the indirect control and supervision.

4.Expansion with limited liability

The ultimate goal of setting a foreign branch happens to be an expansion of the business. A limited liability is an added advantage when it comes to entering in the whole new market. Where you increase the brand value across the globe, you also secure your liability with this structure.

Frequently Asked Questions

1.Can a foreign company or foreign national own or start a business in India?

Yes, a foreign company or foreign national can own or start a business in India by acquiring equity shares of the company. Investment in a Company can be under two routes, automatic route or Government approval route. The automatic route requires no requirement of any prior regulatory approval for investment in equity shares of an Indian business and is allowed in most of the businesses.

2.Can a foreign national be Director of an Indian company?

Yes, foreign nationals can be Directors of an Indian company after obtaining a Director Identification Number. Director Identification Number for a foreign national can be obtained by applying for the same with the Ministry of Corporate Affairs.

3.What are the requirements for starting a business in India?

For a foreign national or foreign company to start a Company in India, the foreign National must have an address for Registered Office in India and one Director on the board, who will be an Indian Citizen and Indian Resident.

4.How are the FDI govern in India? What are the FEMA Compliance?

In India, the Foreign Direct Investment policy is regulated under the Foreign Exchange Management Act, 1999 governed by the Reserve Bank of India. Below is the list of important FEMA compliance:

Annual Return on Foreign Liabilities and Assets
Annual Performance Report (APR)
External Commercial Borrowings
Single Master Form (w.e.f. 30.06.2018)
Advance Reporting Form (ARF)
Form FC-GPR
Form FC-TRS
Form ODI

5.What are businesses in which foreign nationals or companies cant invest?

Foreign investment in India in any form is prohibited in businesses engaged or proposes to engage in the following business:
i) A business of chit fund; or,
ii) Nidhi Company; or,
iii) Agricultural or plantation activities (excluding floriculture, horticulture, development of seeds, animal husbandry, cultivation of vegetables, mushrooms, etc., under controlled conditions, services related to an agro & allied sector and tea plantations); or,
iv) Real Estate business, or construction of farm houses (Does not include the development of townships, construction of residential/commercial premises, roads or bridges); or,
Trading in Transferable Development Rights (TDRs).

6.Can NRIs or Foreigners hold shares of a Private Limited Company?

Yes, NRIs / Foreign Nationals / Foreign Companies can hold shares of a Private Limited Company subject to Foreign Direct Investment (FDI) Guidelines.