D

Doing Business in India

India being one of the fastest growing economies in the world, having a market size of 1.3 Billion people, offers massive amount for opportunities across various sectors. With the vision to attract foreign investors Government of India has significantly reduced the paperwork required for incorporation and functioning of an Entity for the purpose of doing business in India. Anyone looking to do business in India can enter by two different modes:

  1. Incorporating an Indian Entity

  2. As a foreign Company ( Branch Office / Project Office / Laison Office)

​​​Planning and implementing an appropriate route for investment become one of the most decisive factor while implementing an Entry Strategy. We suggest, plan and implement strategy for your business by doing a detailed analysis including customized market research and study, due diligence to decide the best fit option.

Particulars
Laison Office
Branch Office
Project Office
Registered Indian Company
RBI Approval
ROC Registration
Meeting Expenses / Equity Infusion
Inward Remitances
Inward Remitances
Inward Remitances and Internal Accruals
Inward Remitances and Internal Accruals
Borrow / Lend money
Taxation In India
Permitted Operation in India
Trading / manufacturing Not allowed in India
Project Specific (Limited Duration)
Any as per the incorporation documentation
Activity Allowed
Service Provider
Import / Export
Others
Market Research

Procedure for incorporating a Company in India

For registration and incorporation, an application has to be filed with Registrar of Companies. Once a company has been registered and incorporated in India, it is subject to laws and regulations as applicable to other domestic companies in India.

Incorporation procedure:

Following steps are required to incorporate a company:

  • Propose a Name for the Company: In order to hold an available name, a series of documentation is to be provided by the applicant such as

    • The main object of the company

    • Up to 6 proposed names in order of preference

    • Upon acceptance of the name, it is held for a period of 60 days and a new company can be incorporated with immediate effect on this.

  • Directors and subscribers

    • ​Private Limited Company: a minimum of 2 directors and 2 subscribers are required

    • Public Limited Company: a minimum of 3 directors and 7 subscribers are required.

  • Director Identification Number for the proposed directors and Digital Signature Certificate for the Subscriber and Directors

  • Drafting Memorandum of Understanding (MOU) and Articles of Association (AOA)

  • Signing of MOU and AOA by first subscribers and getting the same Stamped / Apostilled

  • Filing with Registrar of Companies (ROC)

  • Obtaining certificate of incorporation

 

Immediate Business compliances:

Following registrations would be required to be done, depending on nature of business:

  • All income tax payers are required to obtain an income tax registration number i.e. PAN (Permanent Account Number)

  • While running a business, certain payments will require the payee to withhold tax. A new business is required to obtain TAN (Tax Deduction Account Number).

  • A person/company crossing the threshold as defined are required to get them self registered under GST (Goods and Service Tax)

  • FRRO (Foreigners Regional registration Office): Foreigners coming to India on employment need to register with FRRO within 14 days of their arrival.

  • IEC (Import Export Code): Prior to carrying out any export or import activities, it is mandatory to obtain an IEC from Directorate General of Foreign Trade.