1. Minimum 2 directors shall be appointed, out of which one must be resident in India.
2. Minimum 2 shareholders are required for this registration. Here, an individual may become shareholder and director at the same time.
3. A place of business in India must be provided as a registered office address.
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Business Package
most usedRs24,999
2 Director Identification Numbers (DIN)
2 Digital Signatures (DSC)
RUN Name Approval Application
Certificate of Incorporation
MoA and AoA Drafting
PAN & TAN of company
GST Registration
GST return filing for 1 year
Filing FCGPR with RBI after 1st issuance of shares
Filing ARF with RBI for all remittance in F.Y.
CA & CS certificate for remittance
Annual Filing of FLA form with RBI
All reportings with respect to remittance during F.Y.
Executive Package
PopularRs49,999
2 Director Identification Numbers (DIN)
2 Digital Signatures (DSC)
RUN Name Approval Application
Certificate of Incorporation
MoA and AoA Drafting
PAN & TAN of company
GST Registration
GST return filing for 1 year
Filing FCGPR with RBI after 1st issuance of shares
Filing ARF with RBI for all remittance in F.Y.
CA & CS certificate for remittance
Annual Filing of FLA form with RBI
All reportings with respect to remittance during F.Y.
Premium Package
Pro+Rs99,999
2 Director Identification Numbers (DIN)
2 Digital Signatures (DSC)
RUN Name Approval Application
Certificate of Incorporation
MoA and AoA Drafting
PAN & TAN of company
GST Registration
GST return filing for 1 year
Filing FCGPR with RBI after 1st issuance of shares
Filing ARF with RBI for all remittance in F.Y.
CA & CS certificate for remittance
Annual Filing of FLA form with RBI
All reportings with respect to remittance during F.Y.
Overview
What is an Indian Subsidiary?
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.
Benefits
Advantages of Indian Subsidiary Registration
Easy entry gate
Permanent establishment in India
Strategic control over operations
Expansion with limited liability
Online Registration
Documents required to register an Indian Subsidiary
Photograph
PAN Card
PAN Card of shareholders and Directors.
Foreign nationals must provide a valid passport.
Identity Proof
Address Proof
Telephone Bill /Electricity Bill/ Latest Bank Account Statement of Shareholders and Directors
Business Address Proof
NOC from owner
Rent Agreement
Constitutional documents
List of Directors & Secretaries
Place of Business
Authorised Representative
Prior registrations
Register a company in 3 easy steps
ONLINE REGISTRATION
1. Answer Quick Questions
2. Experts are Here to Help
3. Your Company is Registered
Foreign company registration process
THE PROCESS
Day 1
Day 2 - 4
Day 5 - 7
Day 9 - 10
Day 11 - 12
Frequently Asked Questions
Explore incorporation of foreign subsidiary in India
What are the minimum requirements to set-up an Indian subsidiary?
An Indian subsidiary is formed as a Private Limited Company and to register same, following requirements must be fulfilled:
What are the FDI Guidelines for Foreign Nationals in a Private Limited Company?
100% Foreign Direct Investment is allowed in India in many of the industries under the Automatic Route. Under the Automatic Route, only a post-investment filing is necessary with the RBI indicating the nature of investment made. There are a few industries that require prior approval from the RBI, in such cases, approval must first be obtained from RBI prior to investment.
What are businesses in which foreign nationals or companies can’t invest?
Foreign investment in any form is prohibited in businesses engaged or proposes to engage in the following business:
i) The business of chit fund; or
ii) Nidhi Company; or
iii) Agricultural or plantation activities (excluding floriculture, horticulture, development of seeds, animal husbandry, pisciculture, cultivation of vegetables, mushrooms, etc., under controlled conditions, services related to the 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
v) Trading in Transferable Development Rights (TDRs)
How to register a wholly owned subsidiary?
This operational hand of a foreign entity in India is registered as a Private Company, which requires at least 2 members subscribing to shares. Hence, register as a wholly owned subsidiary, the parent company would subscribe all shares except one. This one share is by one of the directors to fulfill the requirement.
What is the minimum capital requirement?
To register as a foreign company (private company), minimum authorized capital of INR 1 Lakh is prescribed, whereas the constraint of minimum paid-up capital is eliminated as a part of Government’s initiative to simplify business registration. However, each shareholder must subscribe at least 1 share for registration and introduce the amount sufficient to run the business.
How to reserve the company name? Can we apply with name of foreign entity?
The name of a company should be formulated as mentioned in the above section. The applicants can provide a maximum of 2 names with their preference order under the RUN form. The names provided should comply with the provisions of the Act or regulations.
You may apply with the name of the foreign entity to create a relation; however, the one has to check the availability of the name before making an application.
Whether is it compulsory to appoint an Indian director?
Yes, for any company registration in India at least one of the directors must be an Indian citizen and a resident. This criterion must be fulfilled all time during the existence of the company.
Whether physical place of business is required for setting up business in India by foreign companies?
As derived from the definition of a foreign company, it can own a place of business itself or through an agent, physically or through electronic mode. Hence, it does not require having a physical place of business in India.
However, you must note that a place of business and a registered office are two distinct terms. The registered office must be in situated in India, where the formal communication to the company is made.
Does anyone have to be physically present while online company registration in India?
No, none of the promoters are required to be present at the whole process of Pvt Ltd company registration is online. All the forms are filed on the web portal and digitally signed. Also, the required documents can be sent through e-mail or uploaded on our portal for filing.
Are there any further regulatory requirements after company is registered?
Yes, after incorporation and introducing equity fund from a foreign source of income, Reserve Bank of India must be notified about the foreign investment in the company through proper filing. In case the activity performed by the business requires Government approval for Foreign Investment, approval must be obtained prior to the funds being invested in the company.
What are the Annual Compliance requirements to be fulfilled by a Private Company?
During every financial year, the company must hold one Annual General Meeting (AGM) and at least 4 board meetings in each quarter. Further, the accounts and financial statements must be audited by the independent auditor. Subsequently, it shall file form AOC – 4 and MGT – 7 as part of Annual Compliance within given time.
Which documents are required to be submited for filing of ARF and FCGPR under executive & premium package?
The company needs to obtain the foreign KYC from foreign bank and FIRC (Foreign Inward Remittance Certificate) from AD to compliancemsme.com for filing such documents.
What is the due date of filing Foreign Liabilities and Assets (FLA) with RBI?
The company must file FLA before July 15 of next financial year. If the accounts are not audited by the given date, then the FLA Return is submitted based on unaudited (provisional) account. Further, once the accounts are audited, revised FAL must be file latest by end of September.
What is the role of Accountants and Auditors in Indian Subsidiary?
Daily transactions of the business are recorded in the Books of Accounts of the Company by the Accountant/s. The Accounts hence recorded are verified by an Independent Auditor to make sure that no statutory compliance are missed and provide an Audit Report for the same.
(Note: compliancemsme.com shall only take the accountability of the Accounting Service provided by them but however shall help in appointment of Independent Auditor for your business.)