Subsidiary in India – Make in India

Get Started – From Rs. 48,000/- (incl. Govt. Fees)

*Prices are higher in Madhya Pradesh, Kerala and Punjab

Make in India is an international marketing campaign launched on 25th September 2014 by Prime Minister of India,Narendra Modi to attract businesses from around the world to invest and manufacture in India. The major objective behind the initiative is to fulfill the purpose of job creation, skill enhancement, boosting national economy, enforcement to secondary and tertiary sector, converting the India to a self-reliant country and to give the Indian economy global recognition. The initiative hopes to attract capital and technological investment in India.

MAKE IN INDIA is a policy that combines incentives with easy handling of businesses and faster redressal machinery. Under this initiative, brochures on the 25 sectors and a web portal were released. Foreign equity caps in various sectors had been relaxed. The application for licenses is made available online and the validity of licenses is increased to three years. Various other norms and procedures were also relaxed.

Make in India focuses on the following 25 sectors of the economy:

• Automobiles
• Automobile Components
• Aviation
• Biotechnology
• Chemicals
• Construction
• Defense manufacturing
• Electrical Machinery
• Electronic systems
• Food Processing
• Information Technology and Business process management
• Leather
• Media and Entertainment
• Mining
• Oil and Gas
• Pharmaceuticals
• Ports and Shipping
• Railways
• Renewable Energy
• Roads and Highways
• Space
• Textiles and Garments
• Thermal Power
• Tourism and Hospitality
• Wellness

100% FDI is permitted in all the above sectors, except for space (74%), defense (49%) and news media (26%). However FDI is prohibited under the Government Route as well as the Automatic Route in the following sectors:

• Atomic Energy
• Lottery Business
• Gambling and Betting
• Business of Chit Fund
• Nidhi Company
• Agricultural (excluding Floriculture, Horticulture, Development of seeds, Animal Husbandry, Pisciculture and cultivation of vegetables, mushrooms, etc. under controlled conditions and services related to agro and allied sectors) and Plantations activities (other than Tea Plantations).
• Housing and Real Estate business (except development of townships, construction of residen­tial/commercial premises, roads or bridges).
• Trading in Transferable Development Rights (TDRs).
• Manufacture of cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes.

These initiates has sparked huge interest among foreign companies to start their operations in India and tap into one of the largest and fast growing market, and have access to some of the best human resources in the world.

A Foreign National (other than a citizen of Pakistan or Bangladesh) or an entity incorporated outside India (other than entity incorporated in Pakistan or Bangladesh) can invest and own a Company in India by acquiring shares of the company or by setting up a subsidiary in permitted sectors. Subsidiary may be either of the following business entities:

• Limited Liability Partnership
• Private Limited Company
• Public Limited Company

Foreign Direct Investment is allowed in India under the two routes namely 1. Automatic Route and 2. Government Approval Route. Under Automatic Route, FDI is allowed without prior approval either of the Government or the Reserve Bank of India in all activities/sectors as specified in the consolidated FDI Policy, issued by the Government of India from time to time. Only post investment filings with the Reserve Bank of India are required to be done within 30 days of receipt of investment money in India and filing of prescribed documents and particulars of allotment of shares within 30 days of allotment of shares to foreign investors. FDI in activities not covered under the automatic route requires prior approval of the Government which is considered by the Foreign Investment Promotion Board (FIPB), Department of Economic Affairs.

AuditNeeds will always be hand in hand with the foreign national/entity and be their legal and professional consultant in India and help them to incorporate their new company in India with hassle freely, timely and cost effectively.

Startup Process Time:

AuditNeeds can incorporate an Indian Subsidiary Company in any part of India in 30 to 45 working days, subject to ROC processing time and timely submission of relevant documents by the Client.

Minimum Requirement for Indian Subsidiary Company:

• Minimum 2 Shareholders
• Minimum 2 Directors out of which one should be Indian Citizen and Indian Resident.
• The witness of the MOA and AOA documents would have to be a Notary or the Indian Embassy.
• Board of Resolution passed by the foreign company for acquiring shares in the Indian company/starting business in India.

Documents Required for Indian Subsidiary Company:

For Indian Nationals:

• Copy of PAN card of all directors.
• Copy of Voter’s ID / Passport/Driver’s License / Aadhar Card of all directors.
• Passport sized photograph of all directors.
• Specimen signature (blank document with signature of all directors).
• Copy of latest bank statement/ telephone or mobile bill / electricity bill in the name of all directors (Should not be older than 45 days).
• Copy of Rental agreement of office address.
• Copy of latest electricity bill and tax receipt in the name of landlord of office address.

For Foreign Nationals:

• Passport
• Address Proof like Driving license, etc
• Photo ID proof (Any government license or document containing Name in full, Photo and Date of Birth).

Note: The above documents needs to be notarized / certified by the Indian Embassy / Consulate of the particular country