IntroductionNowadays in India, many foreign companies are investing in India because India is a developing country and economy of India is growing, and Prime Minister of India launched many schemes so Foreigner can easily fund in India. In India, Companies are governed by the Companies Act, 2013 which allows foreign residents, to open a company in India, and they have to comply with the Indian Laws. As you know, India has a huge market and has a vast population which makes it a bigger market in the world so in India anyone can generate massive profit, so many foreign companies are investing in India and creates enormous benefits for, e.g. Samsung, Xiaomi, and Vivo etc.
This Article talks about the Registration of a Company in Indian from the USA, this article will give you an idea about registration of a company in India and how a foreigner can invest in India or incorporate a company in India. If you are thinking of starting a company in India from the USA, then the first thing you have to do is Market Research and have to do the proper planning so in future you don’t have to face any legal problems. Market Research is essential for you to will find hot trend of the market, you will see the cost of production and will know about how to sell your products and generation of profit.
What are the Conditions for incorporation of Company?You have to follow all the rules and regulations of India and have to do all legal requirements. You have to check the limit of FDI (Foreign Direct Investment) because there are sectors divided my authorities and every industry has limit, so you have to check limit for investing in India for, e.g. if you want to open a business in India and that requires 51% ownership from India then your limit for investing is only 49%. So you should comply with the rules and regulation of FDI. Even if you are applying for the Partnership Registration then its also applicable the same as above rules.
Registration of a Private Limited Company in India is easy, and procedure of Incorporation of a Private Limited Company can be done through online Mode for which you have to sign up on the official portal of Ministry of Corporate Affairs. You have to fill some required details then you can sign up your account with Ministry of Corporate Affairs. You have to follow below-given a procedure for registration of a company.
How to Register a Company in India
- The first step for Company Registration is getting DSC which mean Digital Signature Certificate. You have to apply for DSC of proposed Director. For which you have to refer to the portal of MCA. You have to fill the form of DSC and have to attach some required document after successful submission of your submission you will get DSC.
- DIN is also an important to document for Registration, DIN means Directors identification number, and you can apply through online mode.
- Then you have to apply for name reservation for your company, you can use for this through WEB-RUN services, and name reservation is an important thing for registration because your company will be registered on that name and you cannot copy other company’s name. You Can reserve your company name on this link http://www.mca.gov.in/mcafoportal/runService.do
Then you can file your incorporation form, during filing of the form you have to attach required documents and have to fulfil all required details and you have to submit your Memorandum of Association and Article of Association to the Ministry of Corporate Affairs. After successful submission of your application, you will get your incorporation certificate.
Required Documents during Registration
- Driving License from Issuing Country
- Social Security Number
- A copy of Valid Business Visa issued to foreign national
- A Resident Permit issued by the Indian Embassy
ConclusionIf you are a foreign resident and want to start a business in India, then you should consider the above-given points, this will help you. Apart from the above Company Registration, you need also the mandatory tax registration, i.e. GST Registration. If we talking about the Annual Compliance then you have to file the ROC Returns with the GST Return Filing. Check here about How to File GST Return.
In India government decides that in which sector a foreign resident can invest and how much he can invest so you have to get permission from the Indian Government and have to comply with the rules and regulation of the Government. The process of incorporation of the company in India is natural, you can apply through online mode for which you have to visit the official website of Ministry of Corporate Affairs. The process of Registration is above given you have to follow that procedure for your Registration. So if you are thinking of starting a business in India, then you should consider the above-given points.