25
May

Company Formation in India by Foreign Country

India being a dynamically developing nation is a great place to search for investment opportunities. Owing to affordable labor and diversified resources, many foreign companies look forward to expanding business in India.

If you are looking for establishing your business in India, we are here to help you clear all the doubts that you might have.

 How can you register yourself?  

In order to register your company in India, you need to either register yourself as an Indian company or as a foreign company. The Reserve Bank of India modulates your currency (foreign currency) under the Foreign Direct Investment (FDI) policy and the Foreign Exchange Management Act, 1999. You must be financially prepared to spend a decent amount of capital during the process of registering yourself as a company in India.

 What are the documents required in the Certification process?

In order to be eligible for company formation In India, you must have the following documents: 

  1. If the director of the company is of Indian origin, any of these can work as identification proof along with a photograph:
  •   Pan card
  •   Aaadhar Card
  •   Voter’s ID
  •   Passport

As of the address proof, a recent copy of the electricity bill/telephone bill or bank statement would solve the purpose.

 

  1. If the director of the company is a foreign resident, you can submit the same documents pertaining to your specific country.

 

Let’s discuss the process of registration step by step:

  1. Once you have collected all the substantial documents, make sure that they are verified and credible.

 

  1. Select a name for your company. It is advisable to use the name of your head office of your company by just adding ‘India’ to the word. The name should be the same as any other company’s name in India.

 

  1. Once the name of your company has been decided, the next step is to access the Digital Signature Certificate (DSC) which needs to be procured by the director of the company. Now, why is this important? DSC is required to fill the main registration application and is also required for future matters.

 

  1. Afterwards, you are supposed to get a hold of your Memorandum and Articles of Association. Remember that we asked you to keep some documents ready? Well, this is where you’ll require them. Along with the documents stated above, you need to attach a few more documents including:

 

  • Fill out the DIR 2 form to demonstrate the declaration of directors.
  • Fill out the INC 9 form for declaration of shareholders and other company representatives.
  • Permanent Account Number (PAN) agreement from your head brand outside India.

 

  1. Once your application is complete along with an attachment of verified documents, you can submit it for approval. Once they have been approved, the Registrar of Companies will certify your company with a Corporate Identification Number (CIN) and you’re good to go!

 

  1. The Permanent Account Number (PAN)for your business in India, along with the Tax Deduction Account Number (TAN) would be allotted soon by the Registrar. 

If you are looking for professional guidance on starting your company in India, we are here to assist you in the best way possible. Contact us for more details!