Expand Your Global Business into India
Setting up a foreign subsidiary in India allows global companies to enter one of the world’s fastest-growing markets
with a fully compliant, legally recognized business entity.
At N D Savla & Associates, we provide complete end-to-end support for foreign companies establishing subsidiaries in India —
from incorporation and FEMA compliance to ongoing ROC, tax, and RBI reporting.
What is a Foreign Subsidiary?
A Foreign Subsidiary in India is a company where a foreign corporate entity owns more than 50% of the share capital.
It operates as a separate legal entity under Indian law, making it the most preferred structure for global companies entering India.
Types of Foreign Subsidiaries:
• Wholly-Owned Subsidiary (WOS): 100% foreign ownership (allowed in many FDI-permitted sectors)
• Subsidiary Company: Foreign ownership between 50% and 99%
Why Setup a Foreign Subsidiary in India?
Access to a Billion+ Market
India offers unmatched growth potential for global brands.
100% FDI Allowed
Many sectors permit complete foreign ownership without approval.
Limited Liability Protection
Parent company liability is limited to its shareholding.
Independent Legal Entity
Subsidiary can own property, enter contracts, and sue or be sued.
Diversification
Expand into new lines of business and multiple revenue sources.
Perpetual Succession
Subsidiary continues even if management or ownership changes.
Requirements for Foreign Subsidiary Company Registration
- Minimum 2 Directors (1 must be an Indian resident)
- Minimum 2 Shareholders (foreign parent can hold 100%)
- Registered Office in India
- No minimum capital requirement
- MCA-compliant company name
- Mandatory FEMA & RBI reporting
Step-by-Step Setup Process
- Obtain DSC & DIN for Directors
- Reserve company name via SPICe+ or RUN
- Draft MOA & AOA aligned with FDI rules
- File incorporation documents with MCA
- Obtain Certificate of Incorporation (COI)
- Apply for PAN & TAN
- Open subsidiary bank account
- Complete RBI reporting under FEMA (FC-GPR, FLA)
- Register for GST (if applicable)
Compliance for Foreign Subsidiaries
- FEMA compliance and RBI filings
- ROC annual filings & statutory audit
- GST monthly/annual returns
- Corporate tax return filing
- Transfer Pricing documentation for inter-company transactions
Why Choose N D Savla & Associates?
- End-to-end Indian subsidiary setup support
- Expert FEMA, RBI & ROC compliance team
- MOA & AOA drafting aligned with foreign investment rules
- PAN, TAN, GST & bank account setup assistance
- Nominee Director & Virtual Office services
- Complete post-incorporation compliance support