Business Setup in India for Indian and Foreign Investors

Company, LLP and firm registration for Indian promoters; wholly owned subsidiaries, branch, liaison and project offices, FDI and FEMA compliance for foreign investors — with the tax and GST registrations that follow.

Indian investors

Entity formation for Indian promoters

We help you choose the right vehicle for your business — considering liability, taxation, funding plans and compliance cost — and then set it up properly.

Private limited company

The default choice for scalable businesses and start-ups: limited liability, easy to bring in investors and ESOPs, taxed at 25.17% under section 200 (115BAA of the 1961 Act). Incorporation through SPICe+ with PAN, TAN, EPFO, ESIC and bank account in one process.

Limited liability partnership (LLP)

Limited liability with partnership-style flexibility and lighter compliance, suited to professional services firms, family businesses and joint ventures where equity funding is not planned.

One person company (OPC)

A private limited company with a single member — for solo founders who want a corporate structure and limited liability without a co-founder.

Partnership firm

Registration under the Indian Partnership Act with a drafted partnership deed, PAN and bank account — simple and cost-effective for small trading and service businesses.

Sole proprietorship

Fastest route for very small businesses: GST or Shop & Establishment registration, Udyam certificate and a current account under the trade name.

MSME / Udyam & Startup India

Udyam registration for MSME benefits (priority lending, delayed-payment protection, tender preference) and DPIIT Startup India recognition for tax holiday eligibility under section 140 (80-IAC of the 1961 Act) and angel tax exemption.

Foreign investors

Entering the Indian market

For overseas companies and non-resident investors, we handle the entity, the regulatory filings and the registrations so that you can focus on the business.

Wholly owned subsidiary / JV company

Incorporation of an Indian private limited company with foreign shareholding under the automatic or approval route, resident director arrangements, and share subscription documentation.

Liaison office

RBI-approved representative office for market research and liaison activities without carrying on commercial business in India — including AD bank application, UIN and annual activity certificate.

Branch office

For foreign companies wishing to carry on trading, consultancy, IT or professional activities in India through a branch, with RBI approval and registration with the Registrar of Companies (Form FC-1).

Project office

Temporary presence to execute a specific contract awarded by an Indian company, with the concessional approval process available where the project is funded from abroad.

FDI & FEMA compliance

Sectoral cap and entry-route analysis, pricing guidelines, filing of Form FC-GPR and FC-TRS on the FIRMS portal, annual FLA return and compliance under the NDI Rules 2019.

Registrations & bank account

PAN, TAN, GST, Import Export Code (IEC), Professional Tax and Shop & Establishment registrations, plus assistance with KYC and opening the Indian bank account.

Incorporation timeline — private limited company

  1. 1

    Name reservation (1–3 days)

    Two proposed names filed through SPICe+ Part A after a trademark and MCA availability check.

  2. 2

    Digital signatures & documents (2–3 days)

    DSC for directors, DIN allotment through SPICe+, drafting of MOA/AOA and declarations.

  3. 3

    Incorporation filing (3–7 days)

    SPICe+ Part B, AGILE-PRO-S and e-MOA/AOA submitted; certificate of incorporation issued with PAN and TAN.

  4. 4

    Post-incorporation (within 30–180 days)

    Bank account, share certificates, commencement of business declaration (INC-20A), auditor appointment (ADT-1), GST and other registrations.

Documents typically required

  • PAN and Aadhaar (Indian nationals) or passport (foreign nationals, notarised/apostilled)
  • Address proof of directors and shareholders (bank statement / utility bill, not older than two months)
  • Passport-size photographs
  • Registered office proof — utility bill and NOC from the owner, or rent agreement
  • Details of proposed business activity and capital
  • For foreign corporate shareholders: certificate of incorporation, board resolution and charter documents, apostilled

Frequently asked questions

Private limited or LLP — which should I choose?

Choose a private limited company if you plan to raise equity funding, offer ESOPs or eventually sell the business; investors almost always require it. An LLP suits owner-managed professional and service businesses that value lower compliance cost and want profits taxed once at the entity level (30%) with tax-free distribution to partners. We will walk you through both with your numbers.

Can a foreign national be the sole director of an Indian company?

Every Indian company must have at least one director who has stayed in India for at least 182 days in the previous calendar year. Foreign nationals can be directors and shareholders, but a resident director is required. We can advise on compliant arrangements.

How much capital is required to start a company in India?

There is no minimum paid-up capital requirement for a private limited company or LLP. Capital should be set according to business needs; foreign investment must comply with pricing guidelines and be reported to the RBI within 30 days of allotment.

What are the ongoing compliances after incorporation?

For a private limited company: annual accounts and audit, ROC filings (AOC-4, MGT-7/7A), board meetings and minutes, DIR-3 KYC, income tax return, TDS returns, GST returns if registered, and FEMA annual return (FLA) if there is foreign investment. We offer a fixed-fee annual compliance package covering all of these.

Starting a business in India?

Tell us what you plan to do and where your investors are based; we will recommend the right structure within one working day.

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