What are the options available for foreign companies to start a business in India?

India has attracted a lot of foreign companies for its business potential because of its rapidly growing market. And the Government has also taken a lot of steps in the advantage of the ease of doing business in India.

The foreign companies still need to undergo many steps to register their Company in India and start their business. You can register your Company in India without any problems. The process is brief as:


The entry can be done by mainly two ways, establishing a branch/liaison office or registration of the Company. 

The incorporation of a PVT Co (Private Limited Company) is the simplest and easiest way for any foreign national or foreign company for opening business in India. In this case, if the foreign organization starts with a 100% foreign direct investment in terms of a private limited company, it doesn’t have to take in any permission from the central Government. Therefore it proves really beneficial for the foreign organization to establish themselves as a wholly-owned subsidiary of a joint venture or foreign Company and is the fastest, easiest and cheapest way into India.  

In another case, if the foreign Company has to take the way of registration of Liaison Office, Branch Office, or Project Office, they have to take a proper approval from the RBI and/or the Government. Thus, when compared to establishing as a private limited company this establishment by liaison, branch or project office for an outside company proves to be costlier. Also, the registration time is more than the cost and time. And further along, this strategy is limited only to foreign companies, as foreign nationals are not allowed to open a liaison office, branch or project work area.

Basic things which are required for the Establishment of a Company in India

To begin an organization inside India, there is a requirement of at least two people and a location inside India. A restricted personal organization in India should have at least two chiefs (people) and at least two investors (can be people or corporate elements). Moreover, the rule of incorporation of India decides that a head of the Company should be both a citizen of Indian and resident of Indian (any individual who has lived inside India for more than 186 days is viewed as a resident of Indian).

The favoured legal body way for unfamiliar organizations is to set up an organization with three executives, two being outside individuals from the parent organization and one chief being an Indian resident. Since there are no prerequisites for least holding of shares with the Indian executives, the foreign individuals or substances can have a total of 100% of the portions of the Indian Company.

A location in India is needed to fill in as the enlisted office of the Company. The city wherein the enlisted office address of the organization will be set up will likewise decide the legitimate locale pertinent to the organization. Most unfamiliar organizations set up their enrolled workplaces in significant metros of India like Bangalore, Delhi, Mumbai, Chennai, Hyderabad, and so on,

The requirement of documents for Company’s Registration 

To enlist the organization, the foreign nationals who will fill in as Directors of the Company should present a duplicate of their Passport alongside address confirmation (Driver’s License, Bank Statement, etc.,). The duplicate of the first reports should be authenticated by a Notary in the nation of origin or by the Indian Embassy in the nation of the unfamiliar Director.

If there should be an occurrence of a corporate element turning into an investor in the Indian Company, the Board Resolution from the foreign organization approving the interest in the Indian Company would likewise be required. Join the Board Resolution with the duplicate of the notification with the authentication of incorporation of the foreign substance.

During the consolidation cycle, it doesn’t require the presence of any of the foreign Directors in India. Hence, foreign residents can undoubtedly build up and work a business in India without the problems of making a trip to India.

Cost associated with the registration of a Company in India

The expense of starting a business in India is generally economical. Enrollment of an organization in India can require half a month, making India a simple spot to begin a business.


We DBPL are a group situated in Delhi NCR, India. Our comprehension of business in India is based upon a scope of specialists who have long stretches of involvement with opening and dealing with a scope of organizations. Our group steps in, directly from the time you have your eyes on India. From examination and achievability to organization developments and consistency, and afterwards resource exchanges, trailed by instinctive plan and fabricate arrangements, we additionally uphold you operationally with labour and resource the board, so you can do what you excel at while we engage your prosperity!