Choose Subsidiary Company Registration in India

On the other hand, when parent company holds 100% shares or control of the Indian company, Indian company becomes wholly owned subsidiary of the parent company. Unlike branch office, project office and liaison office which got permission from RBI for registration subject to engaging in only those activities which are permissible by RBI, Indian subsidiary company can be engaged in all the business activities which are permissible by its memorandum and article of association subject to RBI guidelines which prohibits foreign direct investments in some sectors. Also, for obtaining FDI in some sectors which are not covered in automatic routes, prior approval of FIFP or government authorities are required. Most of the sectors are covered under automatic route for FDI and only RBI needs to be intimated once money is received in India. Only in some sectors, prior approval of government authorities are required.

These service providers prove to be instrumental in simplifying your business expansion journey in the location of your business. These key factors will help you determine the best-suited destination for growing your business and making your international expansion successful. Hence, make sure you consider the cost factor while fixing an international location for your business expansion. In such cases, an experienced partner like EOR can streamline your business expansion journey. With EOR services, you can hire internationally, manage remote teams and be compliant in the destination you choose for your global success.

So, we put together an approach for successfully setting up a subsidiary in India and running it effectively. Routes to consider for successful subsidiary formation in India  With the availability of lucrative market opportunities, India has emerged as a hot destination for business expansion, especially for service-based companies. Many overseas companies prefer their business presence in India to tap into such market opportunities and get the maximum benefits. You must have a thorough understanding of things to know before you form a subsidiary company in India. We help your business hit the ground running until you decide to form your subsidiary company.