How much does it cost to setup a company in India?
With the incredible growth of the business sector in India, foreign organizations are attracted to India to setup a company here.
The government of India is constantly working towards the development of the Indian economy, it negates the fact that India is the most favorable destination for foreigners to setup business in India.
Before opening a business in India, foreign entrepreneurs must take a deep look into registration processes and compliance involved with ending up as a successful business in India.
You are required to have a general understanding of the cost required for the company formation to get an idea of how much capital would be needed.
Through this, we will pass on detailed information about How much does it cost to set up a company in India?
The cost of starting a business in India depends upon the various factors such as the scale of the business, no. of owners, no. of shareholders, the state in which business has to be set up, and the capital pool.
Due to the different factors which are responsible for the variations of the cost from company to company, the exact amount can’t be described.
- For registering a company in India, you are required to fill in crucial forms for incorporation. When you decide to set up a company you have to decide the appropriate business structure depending on the various factors. It can be a company, partnership firm, or LLP. For this purpose, there is certain paperwork you need to perform which requires you to choose a name for your company, acquire digitally signed certificates and digital identification numbers, and various other things. The requirements might also vary from state to state. It’s recommended to consider a legal consultant to ensure that the process is done correctly. Therefore, it would cost you the government fees to apply for mandatory form and on the other hand, you have to pay a certain amount to the professional assistance in case you take any guidance.
- In case you are registering for a partnership firm, you need to prepare some formal documents such as a memorandum, partnership deed, article of association. These inculcate the basic information about your company and its purposes, directors, and shareholders. You will have to pay for all the formalities in order to get your partnership deed prepared and for the service tax.
- When you start a company in India, certain taxes are applied depending on what you are delivering. If it’s goods then Value added tax is applied and if you are providing services then the service registration task is applied.
Now you must have an idea of the cost involved before setting up a business in India. It’s important to take help from a legal consultant since taking care of all the legalities and requirements alone can be a little daunting. This is where our team of professionals helps you guide all the registrations, compliances, legalities, and other aspects.