How Can One Enter the Indian Market Easily?
Key Information about Company Registry in India
For anyone who is interested in company setup in India, the person or Group can do so by incorporating the business by registering the company or setting up a branch or liaison office. After years of experience by providing our business setup services in India, we believe that setting up a private limited company is the easiest way for company setup in India. In this type of registration, and at this stage, you do not need any approval from the RBI (Reserve Bank of India) or the Central Government for the FDI (Foreign Direct Investment) in it. Moreover, the FDI limit for this type of business i.e. private limited or public limited is up to 100 percent! To do company setup in India under this scheme, you need to register with the ROC i.e. Registrar of Companies under Ministry of Corporate Affairs (under Government of India).
Other Options for Setting up Company in India
One of the alternatives for company setup in India is to open a company as a liaison office, project office, or a branch office. The thing that you need to pay attention to is that all three of these require written approval from the Central Government and the Reserve Bank of India (RBI). As a result, obviously company setup in India in these three ways requires more money and time as well. Apart from the normal registration fees, you also need to pay the fees and other charges of the Central Government and RBI for the approval. For these activities that definitely consume some of your time, hiring a business setup services in India like DBPL (www.dbpl.asia) can make sure that all of this is done smoothly and efficiently.
Now let us look at another important aspect of setting up business in India by foreign companies that is the requirements of company setup in India:
If as a provider of business setup services in India we had to break it down to the minimum things that you need for company formation in India, we’d put it as two individuals who will act as the partners of the company and an address of India that will act as the official address of the company.
Now, once you have got these let us get in more depth of it, the next thing that you need is two Directors and at least two shareholders of the company stocks. The rule according to the Central Government guidelines here is that one of the partners of the business has to be a citizen of India and resident of India as well.
Advise about Company Formation in India
As a provider of business setup services in India, we often advise our clients for company formation in India with three partners. Out of these three partners, two can be foreign nationals and one of them should be an Indian citizen. The reason behind this suggestion is quite simple, there is no law that states that the Indian citizen should own the company in any manner so, therefore, the two foreign national partners can be the two shareholders of the company and can hold 100% of the company owners as well. One should also take note that the address that is used while the registration of the company is assumed to the registered office of the company and all the Government updates through the mail are delivered there by default.
Let us get to the main question – is setting up business in India by foreign companies expensive?
Quite honestly and straightforwardly the answer is no. The services of business setup services in India are quite inexpensive compared to the other countries, and as a matter of fact if you work with the correct company out of the rest the whole process of company formation in India can be completed within a few weeks! Surely it might seem like the money that you can avoid spending and do things yourself, but with the benefits these companies provide, it is the investment that will save you a lot more money.