Foreign Company Registration
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Foreign Company Registration in India: Requirements, Process & Costs
India is one of the most progressive countries in the world which possesses immense human potential and a huge market comprising of 1.2 billion people. Looking at the huge market in India and the immense potential which lies here, there has been a huge amount of Foreign Direct Investments into the country and trends reveal that every year the FDI inflow in India is increasing due to the numerous foreign businesses starting their operations in the country.
Mandatory requirements for the establishment of a Company in India:
- Minimum number of Directors
A minimum of two individuals and an address is required in India. If we are talking about a private limited company, it should have at least two directors (individuals) and a minimum of two shareholders (can be individuals or even corporateentities). - Resident Director (One Indian Director)
One of the Director of the Company must be an Indian Citizen and also an Indian Resident (any individual who has continuously stayed in the country of India for over 182 days). - Shareholders
Companies Act, 2013 requires that a Private Limited Company have a minimum of two shareholders. There is no condition for residential status of shareholders. Shareholders can be either individuals or entities or a combination of both.
Information/ Documents Required from Foreign Company
Memorandum of Association of Company (Physical copy of MOA shall be prepare; e-MOA (INC-33) can’t be prepared). (Duly apostille or notarized in country of origin).
In case of subscribers/ Director does not have a Director Identification Number, it is mandatory to attach: Proof of identity and residential address of the subscribers (Duly apostille or notarized in country of origin)
Article of Association of Company ( Copy of AOA shall be prepare; e-AOA (INC-34) can’t be prepared). (Duly apostille or notarized in country of origin).
DIR-2 declaration from first Directors along with Copy of Proof of Identity and residential address. (Duly apostille or notarized in country of origin).
INC-9 declaration by first subscriber(s) and director(s) (Duly apostille or notarized in country of origin).
Declaration from the foreign subscribers in respect of not having PAN. (Duly apostille or notarized in country of origin).
NOC from the owner of the property.
Copy of the utility bills (not older than two months)
Proof of Office address (Conveyance/ Lease deed/ Rent Agreement etc. along with rent receipts);
Digital Signature Certificate of only one Subscriber is enough for Incorporation of Company.
Flow Chart of Foreign Company Incorporation
Day 1
Receipt of all the Documents and Filing of name application (within same day)
Day 3
Approval of name of the proposed Company
Day 7-8
Issue of Certificate of Incorporation, PAN, TAN and DIN allotment along with EPF, GST Registration, Bank Account Details
Start the Operation
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ESSENTIAL
- 2 Digital Signature Certificates
- 2 Director Identification Numbers
- Name Approval Application
- Stamp duty on INR 1 Lakh Authorized Capital
- Company Incorporation
- Drafting Of Memorandum
- Drafting Of Bye-Laws
- PAN Application
- PAN Application
- 25 Copies of MOA & AOA
- 10 Copies of Share Certificate
- Company Stamp
- GST Registration
ENHANCED
- 2 Digital Signature Certificates
- 2 Director Identification Numbers
- Name Approval Application
- Stamp duty on INR 1 Lakh Authorized Capital
- Company Incorporation
- Drafting Of MOA & Bye-Laws
- PAN & TAN
- Trademark (1 application 1 class) (start ups & small business)
- GST & IEC Registration
- Statutory Register & Company Stamp
- Minutes Drafting- 4 Board Meeting & 1 Annual General Meeting
- 1st Income Tax filing upto a turnover of Rs. 50 Lakhs
- 25 Copies of MOA & AOA
- 10 Copies of Share Certificate
ULTIMATE
- 2 Digital Signature Certificates
- 2 Director Identification Numbers
- Name Approval Application
- Stamp duty on INR 1 Lakh Authorized Capital
- Company Incorporation
- Drafting Of MOA & Bye-Laws
- PAN & TAN
- Trademark (1 application 1 class) (start ups & small business)
- GST & IEC Registration
- Statutory Register & Company Stamp
- Minutes Drafting- 4 Board Meeting & 1 Annual General Meeting
- 1st Income Tax filing upto a turnover of Rs. 50 Lakhs
- 1 Year TDS Filing upto 1000 entries
- 1st Annual Filing upto turnover of Rs. 50 Lakhs
- 25 Copies of MOA & AOA
- 10 Copies of Share Certificate
Details required for Foreign company Incorporation along with place of execution:
| Sl.No | Documents | India | Foreign Company | Professional Utilities Backend |
|---|---|---|---|---|
| 1. | MOA and AOA | - | Apostille and Notarized | Drafting |
| 2. | INC-9 | - | Apostille and Notarized | Drafting |
| 3. | DIR-2 | - | Apostille and Notarized | Drafting |
| 4. | Declaration from the foreign subscribers in respect of not having PAN | - | Apostille and Notarized | Drafting |
| 5. | NOC from the owner of the property. | Will be signed by Indian Landlord or owner of property | - | Drafting |
| 6. | Proof of Office address | Will be made between owner and India Director | - | Drafting |
| 7. | Copy of Utility bill | Handed over by owner of property | - | Follow up with owner if allowed. |
| 8. | Documents of Directors
|
- | Apostille and Notarized | - |
| 9. | Digital Signature with only one Subscriber is enough | Indian Director Preferably | - | - |
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