Welcome to ComplyKart
Setting up Business Entity in India
Is Now EASY & Just a Call Away
First of all
Why Choose India for Setting up Your Business?
India is one of the world’s largest and fastest-growing economies and a seems a very lucrative market for foreign companies. Setting up a Company in India could be a viable approach for foreign Corporates or Individuals to expand their operations and gain exposure to this large customer base. With easy FDI norms Business Setup in India has grown multifold in the last two decades. Due to the large consumer base, skilled workforce with low labor costs and rising global competitiveness making the company formation in India a topic of huge interest to businesses around the world.
A Company is a separate legal entity that is incorporated under the provisions of the Indian Companies Act, 2013 and in which a foreign company or a foreign national holds shares of Indian company. Forming a new company provides flexibility and freedom as it can be structured in accordance with the requirements, objectives and obligations of parties involved.
Successful Businesses need experienced Consultants. CorpCFO is a team of professionals having worked with many Companies to enter into Indian market.
Not to mention
Main advantages of setting up business in India
Wholly owned subsidiary: an existing Foreign company can set up its wholly owned subsidiary company which allows 100% ownership under the FDI policy.Very High Growth Potential: India is the fastest growing economy having potential which is good for new age companies. Healthy Legal System: With efficient Legal and Judicial system India gives a stable and improved environment to the businesses. Competitive Tax System: Competitive tax regime and comprehensive network of Tax Treaties, further modified by the introduction of Direct Taxes Code and the Goods and Service Tax makes it easier and corruption free for the Corporates. Extensive Trade Network: Trade network backed by regional and bilateral free trade agreements with numerous trading partners helps leverage investor’s role. Skilled Workforce: India is the capital of highly rated human resource.
Requirements of setting company in India by Foreign Nationals
1. Minimum two (02) directors are required and at least one of the directors shall be Indian citizen and Indian resident.
2. Minimum two (02) shareholders are required. Therefore, one nominee shareholder will hold on behalf of the holding company to fulfill the said requirement. There is no condition for residential status of shareholders. Shareholders can be either individuals or entities or a combination of both.
3. Board Resolution of the Foreign Company mentioning the following details, if the company being formed in India is a subsidiary of Foreign Company:
a. Name and designation of the authorized representative;
b. Proposed directors’ details;
c. Proposed capital structure of the company;
Subscribers/ Investors details;
Procedure for incorporation of wholly owned subsidiary
1. Minimum two (02) directors are required and at least one of the directors shall be Indian citizen and Indian resident.
2. Minimum two (02) shareholders are required. Therefore, one nominee shareholder will hold on behalf of the holding company to fulfill the said requirement. There is no condition for residential status of shareholders. Shareholders can be either individuals or entities or a combination of both.
3. Board Resolution of the Foreign Company mentioning the following details, if the company being formed in India is a subsidiary of Foreign Company:
a. Name and designation of the authorized representative;
b. Proposed directors’ details;
c. Proposed capital structure of the company;
Subscribers/ Investors details;
Documents required for Company Formation
1. Passport size Photo of the proposed director
2. Photo ID proof of proposed director:
For foreign national: Notarized and apostilled copy of passport and a Driving License
or any Government Id proof
For Indian national: Voter ID/ Driving License/ Passport along with PAN.
3. Address proof of proposed director:
For foreign national: Notarized and apostilled copy of current months’ telephone bill
or mobile bill or electricity bill (Utility bill) or latest Bank Statement
(not older than two months).
For Indian national: Telephone bill or mobile bill or electricity bill (Utility bill)
or bank statement (not older than two months).
4. Email ID and mobile number
5. In case of the foreign company using its own name as the name of Wholly Owned Subsidiary
in India, then the Board of the foreign company is required to pass a Resolution to this effect and the same needs to be provided while filing the application for name reservation.
Documents required for filing the name reservation application
Resolution of the foreign company (duly apostilled)
Charter (MOA) of the foreign company (duly apostilled)
NOC from the foreign company to use its own name (duly apostilled)
If foreign company has registered its trademark, then copy of the trademark registration certificate (duly apostilled)
About ComplyKart
ComplyKart is a leading business consultancy firm specializing in assisting companies in setting up their business entities in India. With our expertise and knowledge of the Indian market, we provide comprehensive solutions to ensure a smooth and successful establishment of your business.
Post incorporation compliance for Foreign Direct Investment (FDI) received in India
After the Company formation, Subscribers of the MOA required to deposit the paid up capital in the Bank Account of the company which is considered as FDI therefore RBI compliances become mandatory to follow. It involves the following steps:
Remittance of subscription amount in India bank account from foreign country bank account to Indian bank account. Obtaining Foreign Inward Remittance Certificate (FIRC) and Know Your Customer (KYC) documents from the remitter bank.
Allotment of shares to the subscriber.
Reporting in Form FC-GPR to the concerned AD bank within 30 days of date of allotment and follow up from bank from time to time.