Indian Subsidiary Company

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    An Indian Subsidiary Company is an excellent choice for foreign companies looking to establish a presence in India. Governed by the Companies Act of 2013, this structure allows foreign entities to hold a majority stake while operating under Indian jurisdiction. The registration process involves obtaining a Digital Signature Certificate and Director Identification Number for directors, followed by reserving a unique name and filing essential incorporation documents.

    Setting up an Indian Subsidiary not only establishes a legal presence in India but also allows foreign companies to take advantage of India’s market opportunities while maintaining control. The Ministry of Corporate Affairs oversees the registration, ensuring compliance with Indian law. With guidance from Vision Tax, establishing an Indian Subsidiary Company is simplified, enabling businesses to focus on their strategic goals.

    • Limited Liability Protection: The parent company’s liability is limited to its shareholding, protecting it from legal and financial obligations in India.

     

    • Separate Legal Entity: An Indian Subsidiary is legally distinct from its parent company, providing operational flexibility and legal recognition.

     

    • Access to Indian Market: Establishing a subsidiary provides access to India’s vast market and resources.

     

    • Perpetual Succession: The subsidiary enjoys continuity regardless of changes in ownership.

     

    • Credibility and Trust: Operating as a registered entity in India enhances market credibility and stakeholder trust.

    1. Minimum of Two Directors: The subsidiary must have at least two directors, one of whom must be an Indian resident.


    2. Shareholders: The foreign parent company can hold up to 100% of shares, depending on the sector.


    3. Registered Office in India: A registered office in India is required for official communication.


    4. Digital Signature Certificate (DSC): Required for all directors to authenticate registration documents.

    • Indian Resident Director: At least one director must be a resident of India.

     

    • Unique Company Name Approval: The name should be unique and adhere to MCA guidelines.

     

    • Foreign Ownership Compliance: The subsidiary must comply with Foreign Direct Investment (FDI) norms as per Indian law.

    1. Obtain a Digital Signature Certificate (DSC) for the directors.


    2. Apply for a Director Identification Number (DIN).


    3. Reserve a unique name for the subsidiary.


    4. Draft and file the Memorandum of Association (MOA) and Articles of Association (AOA).


    5. Submit incorporation documents to the Registrar of Companies and obtain the Certificate of Incorporation.

    • Identification Proof of Directors: PAN Card, Passport, or Voter ID.

     

    • Address Proof of Directors: Aadhaar, bank statement, or driver’s license.

     

    • Registered Office Address Proof

     

    • MOA and AOA: Describing objectives and internal governance.

     

    • Board Resolution from Parent Company: Authorizing the establishment of a subsidiary in India.

    1. Obtain DSC and DIN: Essential for directors to authenticate registration.


    2. Reserve Company Name: Ensure uniqueness and MCA compliance.


    3. Draft MOA and AOA: Define the subsidiary’s objectives and operational rules.


    4. Submit Incorporation Documents: File necessary documents with the Registrar of Companies.


    5. Get Certificate of Incorporation: Official certification confirming the subsidiary’s legal status in India.

    Our Fees: Rs. 25,000 + GST (excluding government fees)
    Government Fees as per guidelines.

    Processing generally requires 15-20 days

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