How Favourable Are the New Company Formation Rules for Businesses in India?
Many business entrepreneurs prefer opening business in India for mainly two reasons.
- India has a flourishing business market which enables foreigners to grow their business in terms of the consumer base. The country has a lot of potential to grow even more in the near future since the government is constantly working towards attracting foreigners to open a business in India through launching schemes that are intriguing enough to attract entrepreneurs outside India.
- Due to the easy and convenient method for company formation in India. The process is incredibly quick.
Hence, India is considered one of the most favorable destinations to start a company over other major countries. The diversified nature of India makes it more desirable for people to invest their time and money in India.
India falls on 6th number for growing international economy due to business-friendly laws and the immense support of the government.
The advantages attached when you setup company in India vary according to the business structure you select based on your business objectives, capital pools, and ownership.
Through this, we are going to have a detailed discussion about how favorable are the new company formation rules in India.
- The government of India has done a lot to ease the company formation process. Previously the tax system was a lot different and complicated as you were obliged to pay different taxes based on what you provided. If goods then VAT and in the case of services then service registration tax. But now the tax system has been revised by the direct taxes code and the goods and services tax( GST).
- The government has extended immense support by introducing business-friendly laws. The goods and services tax made it easier to import and export with convenience, tax laws are nullified under the direct taxes code. The company’s bill has updated the strict laws attached with the formation of the company.
- The best thing about starting a company in India is the low cost of operation of your business in India. You can get hard-working labor in India at very low costs and also the tax laws and everything is very acceptable in India as compared to other countries.
- The government of India has initiated various schemes and policies to attract foreigners to set up business in India’s diverse sectors. It has worked on easing the rules and regulations related to the company formation rules. The Startup India Movement was one of the biggest movements to encourage foreign business partnerships. Under the scheme many benefits are extended such as tax exemption for 3 years, fests organized nationally and internationally to raise funds, and so forth.
To make your company formation more convenient and consistent, the expert and specialized team of DBPL is right there. We aid at company formation in India by keeping you on the right side of rules and regulations. We assist you during the whole registration process and even after it.