LexNovaLegal Associates
Foreign Company Setup in India
Entry structuring, incorporation and compliance for foreign companies establishing an Indian presence.
Entering India is a structuring decision before it is a filing exercise. A wholly-owned subsidiary, a joint venture, a branch office or a liaison office each carry different permissions, tax treatment and exit consequences. We advise on the choice, complete the setup, and put the intra-group and commercial documentation in place.
We then support the Indian entity as ongoing counsel — governance, contracts, employment and regulatory reporting. Our office is at No. 1 Karaneeswarar Koil Street, Saidapet, Chennai 600015, and we act for clients across Tamil Nadu and, on Indian-law matters, for clients based outside India.
What this covers
Entry structuring, incorporation and compliance for foreign companies establishing an Indian presence.
Entry structuring
Subsidiary, joint venture, branch, project or liaison office, assessed against the business plan.
FDI and FEMA
Sectoral caps and routes, pricing guidelines, and reporting of foreign investment.
Incorporation
Name approval, MOA and AOA, director appointments and the incorporation filing.
Intra-group documentation
Services, IP licence, cost-sharing and secondment agreements with the parent.
Local operations
Employment documentation, commercial contracts, leases and registrations.
Governance and compliance
Board process, statutory registers, annual filings and the compliance calendar.
Who we act for
- Foreign companies establishing an Indian subsidiary
- Overseas groups entering a joint venture with an Indian partner
- Companies setting up a branch, project or liaison office
- Foreign investors acquiring a stake in an Indian company
- Overseas counsel instructing Indian-law support
How the engagement runs
Every matter is scoped and priced in writing before work begins.
1. Structuring advice
Written comparison of entry routes against your plan, with regulatory constraints identified.
2. Approvals check
Whether the sector permits the automatic route or requires government approval.
3. Incorporation
Entity established, directors appointed and registered office secured.
4. Funding and reporting
Share subscription documentation and FEMA reporting for inbound investment.
5. Operational setup
Contracts, employment documents, registrations and the compliance calendar.
What to bring to the first consultation
Not every item is needed on day one — bring what you have, and we will tell you what else to obtain.
- Certificate of incorporation and constitutional documents of the parent, apostilled
- Board resolution of the parent approving the Indian entity
- Passport and address proof of proposed directors and authorised signatories
- Details of the proposed shareholding and capital
- Description of the intended business activity in India
Frequently asked questions
- Subsidiary or branch office — which is appropriate?
- A wholly-owned subsidiary is a separate Indian company with the widest operational freedom; a branch office is an extension of the foreign parent, more restricted in permitted activity and generally requiring regulatory approval. The choice depends on activity, tax position and how long the presence is intended to last.
- Does FDI need government approval?
- Many sectors permit investment under the automatic route. Others are subject to caps, conditions or prior government approval. The sector and the investor's country of origin both matter, and the position should be confirmed before committing.
- Must a director be resident in India?
- Yes. A company must have at least one director who has stayed in India for the statutory minimum period during the financial year.
- What reporting follows an inbound investment?
- Receipt of share application money and allotment must be reported to the Reserve Bank of India through the prescribed filings within the stipulated timelines. Late reporting attracts compounding.
Related pages: International & cross-border services · Company registration in Chennai · Corporate lawyer in Chennai · Indian legal opinions
Discuss your matter with LexNova Legal Associates
Speak with a lawyer in Saidapet, Chennai. Consultations are available in person, by telephone, by video call or on WhatsApp, Monday to Saturday, 9.30 am to 6.30 pm IST.