India continues to rise as one of the world’s leading destinations for international investment. With its thriving economy, young and skilled workforce, and pro-business reforms, India offers immense opportunities for foreign entrepreneurs. At Shiviniti Consulting, we help you navigate the complete process of establishing a company in India, ensuring a smooth, compliant, and strategically sound market entry.
Why Foreign Entrepreneurs Choose India
- Fastest-growing major economy with consistent GDP growth
- 100% Foreign Direct Investment (FDI) allowed in most sectors
- Government-backed initiatives like Startup India and Make in India
- Strategic location with access to global trade networks
- Diverse business structures catering to varied business needs
Business Structures Available to Foreign Investors
Foreign nationals and companies can establish a presence in India through several legal structures:
| Structure | Ideal For | Key Features |
|---|---|---|
| Private Limited Company | Startups, Tech Firms, Growth Ventures | Full foreign ownership, limited liability |
| Limited Liability Partnership (LLP) | Joint ventures, service firms | Flexible operations, partner-driven model |
| Wholly Owned Subsidiary | Full-scale operations in India | 100% ownership by foreign parent company |
| Branch Office | Trading, Consultancy, or Representational Work | RBI approval required, limited activities |
| Liaison Office | Market research, networking | Cannot engage in commercial activity |
| Project Office | Infrastructure and project-based companies | Temporary setup tied to specific project |
Step-by-Step: How to Register Your Foreign Company in India
1. Define the Right Entry Strategy
Choose the most suitable legal structure based on your business goals, sector, and investment scale. Our team at Shiviniti can help with feasibility analysis and legal evaluation.
2. Obtain DSC & DIN
Directors must acquire a Digital Signature Certificate (DSC) and Director Identification Number (DIN) through the Ministry of Corporate Affairs (MCA).
3. Reserve Company Name
Submit your preferred name using the RUN (Reserve Unique Name) service. The name must comply with MCA guidelines.
4. File for Incorporation
Prepare and submit incorporation documents such as:
- Memorandum and Articles of Association (MoA and AoA)
- Identity and address proof of directors/shareholders
- Registered office address in India
Once verified, the Certificate of Incorporation is issued by the Registrar of Companies.
5. Apply for PAN, TAN, and GST Registration
Obtain:
- Permanent Account Number (PAN)
- Tax Deduction and Collection Account Number (TAN)
- Goods and Services Tax (GST) registration (if applicable)
6. Open an Indian Corporate Bank Account
An Indian bank account is mandatory for operational transactions. FEMA and RBI compliance is essential.
Expanding an Existing Foreign Entity to India
If you’re expanding rather than setting up from scratch, consider these routes:
- Wholly Owned Subsidiary
- Joint Venture with an Indian partner
- Branch/Liaison Office
Each structure requires different sets of approvals and documentation, which Shiviniti Consulting will manage end-to-end.
Legal Entity vs. Employer of Record (EOR)
| Aspect | Legal Entity | Employer of Record (EOR) |
|---|---|---|
| Setup Time | 10–20 business days | 3–5 days |
| Cost | Economical long-term | Higher ongoing costs |
| Compliance | Self-managed | Outsourced to EOR provider |
| Ideal Use | Long-term presence, brand building | Market testing, small teams, quick hiring |
Required Documents
- Passport and address proof of directors
- Proof of registered office in India
- No Objection Certificate (if rented premises)
- Certificate of incorporation (for branch/subsidiary registration)
Timelines & Compliance
Typically, the entire incorporation process takes 10 to 20 business days, provided all documents are in order. Shiviniti ensures document accuracy, timely filings, and complete compliance with Indian regulatory frameworks.
FAQs
Can foreigners own 100% of an Indian company?
Yes, in most sectors under the automatic FDI route. Certain sectors require prior approval.
What’s the cost of registering a company in India?
Costs vary depending on the structure and scope. Our consulting team provides tailored cost estimates.
What are the tax obligations?
Corporate tax, GST, and other statutory filings apply. We help structure your operations to optimize tax liability.
How can Shiviniti help?
From entity selection and documentation to compliance and taxation, Shiviniti is your one-stop partner for entering and growing in the Indian market.
Ready to Launch Your Business in India?
Shiviniti Consulting offers tailored support for foreign businesses entering the Indian market. Contact us for a free consultation and start your India journey with confidence.
Visit shiviniti.com or email us at namaste@shiviniti.com
Shiviniti Consulting offers tailored support for foreign businesses entering the Indian market. Contact us for a free consultation and start your India journey with confidence.
Visit shiviniti.com or email us at namaste@shiviniti.com
