Procedure for Foreign Company Registration in India

With FDI and Business Setup in India growing rapidly in the last two decades, company formation in India is a topic of huge interest to businesses around the world.  How to register a company in India, and specifically foreign company registration in India, as well as the procedure for foreign company registration in India, are some of the most often asked queries we get at MBG Corporate Services. This article covers the process of foreign company registration in India.

Foreign Company Registration in India: How to Register a Foreign Company in India

The registration of a Foreign Company in India is governed by the rules of  The Companies Act, 2013, and relevant guidelines from the RBI and other bodies.

Registration of a Foreign Company in India can be as (a) a Private Limited Company as a Wholly Owned Subsidiary (WOS) or as a Joint Venture company (JVC) with an Indian party, or (b) as a Limited Liability Partnership (LLP).  To operate without direct investment in a more limited way, a foreign business can be set up as a Project Office and Liaison Office, where it cannot earn an income,  or as a Branch Office, where it can. In this piece, however, we look at Private Limited Companies and the registration of a Foreign Company in India only-  that is the major portion of foreign Business Setup in India in any case.

How to register a foreign company in India, specifically the procedure for foreign company registration in India varies according to the specific type of foreign company registration in India.

Procedure for Foreign Company Registration in India: Private Limited Company

A Private Limited Company formation in India involves the following steps

• Obtaining the Directors Identification Number (DIN) and  Digital Signature Certificate of the First Directors in the proposed WOS/JVC in India
• Obtaining approval for the proposed name of the company from the CRC, Office of Registrar of Companies (ROC)
• Drafting Board Resolutions and Power of Attorneys in favor of authorized signatories (signing, notarization, attestation) and drafting the Memorandum and Article of the Association
• ROC registration (submission of MOA, AOA, and other relevant documents) and payment of registration fees to the government treasury.
• Receipt of Certificate of Incorporation of the WOS as a company

It takes around one week from the date of filing of documents to receive the Certification of Incorporation from the office of the ROC

Private Limited Company formation in India requires the following pre-establishment compliances:

• No approvals are required in the automatic route
• DIPP approval must be obtained in the approval route through the submission of the application and the prescribed documents
• Registration with the office of Central Registration Centre, Office of Registrar of Companies
• Statutory Tax Registrations

Once established, the company must meet compliances such as :

• Regular filing of corporate Income Tax, Withholding Tax, and Goods and Services Tax
• Expatriate taxation
• Regular board meetings and maintenance of Minutes Books/Resolutions/Share Certificates etc.
• Annual filing compliances i.e., filing /submission of prescribed forms along with Indian accounts, audits, and certifications
• Filing of annual returns on foreign assets and liabilities with the Reserve Bank of India (RBI)

Successful Registration of  Foreign Company in India with MBG Corporate Services

Foreign company registration in India can be a complex process, especially given India’s size and diversity. That is where we at MBG Corporate Services come in with our knowledge of not only how to register a foreign company in India but also thrive as a business post-registration.

MBG Corporate Services is one of the leading consulting and setup service providers for market entry,  company formation, and foreign company registration in India. Whether it is advice on India's business strategy, or on-ground execution of company formation, or procedure for Foreign Company Registration in India, we have the know-how, the experience, and the teams to deliver.

We deliver a comprehensive A-to-Z suite of services for company formation in India. These include Market Entry services, foreign company registration in India, and high-quality post-setup consultancy.

For more information, please email us with your specific business requirements at [email protected]

or contact us at +91 88601-90008

Also Read:- How to Start Business in India