Indian Subsidiary
Company Registration
for Foreign Businesses
Expand your global business into India — the world's fastest-growing major economy. Set up a Wholly Owned Subsidiary or Subsidiary Company with full RBI/FEMA compliance. 100% online, CA & CS assisted.
What is an Indian Subsidiary Company?
An Indian Subsidiary Company is a company incorporated in India where more than 50% of the share capital is held by a foreign parent company. It is registered under the Companies Act, 2013 and can be structured as:
Wholly Owned Subsidiary (WOS) — 100% shares held by the foreign parent company. Full ownership and operational control. Most popular structure for MNCs entering India.
Partly Owned Subsidiary — Foreign parent holds more than 50% but less than 100% of shares. Indian partners or investors hold the remaining stake.
The Indian subsidiary operates as a completely independent legal entity — separate from the parent company. It can own property, hire employees, enter contracts, raise local debt, and repatriate profits to the parent under FEMA regulations.
Why India? Why now?
India is the world's 5th largest economy and growing at 7%+ annually. With 1.4 billion+ consumers, a young English-speaking workforce, and 100% FDI permitted in most sectors under the automatic route — India has never been easier or more attractive for global business expansion.
Who is an Indian Subsidiary Ideal For?
Foreign Corporations
Expanding into India's fast-growing domestic market for products or services.
Overseas IT & SaaS Companies
Establishing Indian development centers, delivery teams, or customer support operations.
Manufacturing & Industrial Companies
Setting up Indian production units under Make in India or PLI scheme benefits.
Healthcare, Fintech & EdTech
Foreign investors entering India's booming regulated sectors with high-growth potential.
E-Commerce & D2C Brands
International brands looking to sell directly to Indian consumers via their own entity.
MNCs & Consulting Firms
Seeking local India presence for client servicing, regulatory compliance, and government tenders.
Advantages & Disadvantages
✅ Advantages
- 🌐100% Foreign Ownership — Permitted under automatic route in most sectors
- 🛡️Limited Liability — Parent's liability limited to its shareholding in the subsidiary
- 🏢Separate Legal Identity — Operates independently from the parent company
- 💸Profit Repatriation — Dividends can be legally remitted to parent under FEMA
- 📋DTAA Benefits — Tax treaties with 90+ countries reduce withholding tax on dividends
- 🇮🇳Market Access — Direct entry to 1.4 billion+ consumers and government procurement
⚠️ Limitations
- 📋Higher Compliance — Both MCA and FEMA/RBI obligations apply annually
- 🇮🇳Indian Resident Director Mandatory — At least one must stay in India 182+ days/year
- 🏦RBI Filings Required — FC-GPR, FLA return, and transfer pricing documentation
- 🚫Restricted Sectors — Some sectors need prior government/RBI approval before FDI
- 📄Apostilled Documents — Parent company documents must be apostilled/notarised abroad
- 💰Transfer Pricing Rules — Related-party transactions require arm's-length documentation
Step-by-Step Registration Process
Here is the detailed legal process for registering an Indian Subsidiary — handled end-to-end by TaxClue.
Parent Company Board Resolution & Apostille
The foreign parent company passes a Board Resolution authorising the formation of an Indian subsidiary, specifying investment amount and authorised signatories. All parent company documents (COI, MOA/AOA) must be apostilled or notarised as per the Hague Convention.
DSC & DIN for All Directors
Class-3 DSC and DIN obtained for all proposed directors — including at least one Indian resident director. Foreign directors require apostilled KYC documents.
FDI Route & Sector Check
TaxClue verifies your sector's FDI policy — automatic route (no approval needed) or approval route (government/RBI approval required). Restricted sectors such as Defence, Multi-brand retail, or Broadcasting require prior FIPB clearance.
Company Name Reservation (SPICe+ Part A)
Name availability and trademark screening done before filing. Name must include "Private Limited" suffix. TaxClue recommends 2–3 name options to avoid delays.
Filing SPICe+ Part B, e-MOA, e-AOA & AGILE-PRO-S
Full incorporation details filed with ROC including parent company's shareholding, registered office, business objectives, and director details. AGILE-PRO-S simultaneously registers for PAN, TAN, GST, ESIC, and EPFO.
Certificate of Incorporation Issued ✅
MCA issues the COI with CIN. Company is now a legal entity. Indian bank account can be opened, business operations can commence.
Foreign Capital Inflow & Share Allotment
Parent company remits initial share capital to the Indian subsidiary's bank account via SWIFT. TaxClue prepares the share allotment resolution and Board Minutes, and allots shares to the parent company.
RBI / FEMA Reporting — Form FC-GPR
Within 30 days of share allotment, Form FC-GPR must be filed with RBI via the FIRMS portal to report the foreign investment. TaxClue handles this filing along with all supporting documents, FIRC, and KYC forms.
What You Get with TaxClue Registration
Certificate of Incorporation
MCA-issued COI with CIN and full legal standing.
Company PAN & TAN
Applied via AGILE-PRO-S — no separate applications.
MOA & AOA Documents
Reflecting the foreign parent's shareholding and Indian business objectives.
DSC for All Directors
Class-3 DSCs for all Indian and foreign directors, valid 2 years.
ESIC & EPF Registration
Statutory employee registrations done via AGILE-PRO-S.
FC-GPR Filing (RBI)
Mandatory FEMA reporting of foreign investment to RBI within 30 days of allotment.
Share Allotment & Capital Setup
Professional guidance on share structure, share certificates, and capital deposits.
Free Compliance Advisory
Bonus: GST, ROC, FEMA annual obligations explained free post-incorporation.
Documents Needed for Registration
PAN Card
Mandatory for all Indian resident directors.
Aadhaar Card
Identity proof linked to active mobile number.
Address Proof
Bank statement or utility bill (max 2 months old).
Passport-size Photo
Recent colour photo on white background.
Rent Agreement & NOC
For the registered Indian office address.
Utility Bill
Electricity or gas bill of the office premises.
Certificate of Incorporation
Apostilled or notarised per Hague Convention.
MOA & AOA (Attested)
Memorandum and Articles of Association of parent company, apostilled.
Board Resolution
Authorising the formation of an Indian subsidiary and specifying investment amount.
KYC of Authorised Signatory
Passport, address proof, and photo of parent company's authorised representative.
Apostille Note
For countries not part of the Hague Convention, documents must be notarised by the Indian Embassy.
Foreign Director Passport
Valid passport as identity proof for all foreign directors joining the board.
Post-Registration Compliance Requirements
An Indian Subsidiary must comply with both Companies Act, 2013 (MCA) and FEMA regulations (RBI) annually. TaxClue handles all of this for you.
TaxClue Annual Compliance for Indian Subsidiaries
Our all-inclusive package covers MCA filings, FEMA/RBI reporting, transfer pricing documentation, GST returns, and statutory audit coordination. One team, one point of contact, complete compliance. Get a quote →
Why Choose TaxClue for Indian Subsidiary Registration?
India Entry Specialists
Dedicated team with expertise in foreign company incorporation, FDI routes, and FEMA compliance.
Full FEMA / RBI Compliance
FC-GPR filing, FLA return, transfer pricing documentation — all handled by our regulatory compliance team.
Cross-Border Document Assistance
We guide you on apostille requirements, notarisation formats, and Embassy attestation for your country.
Transparent Fixed Pricing
One all-inclusive quote covering government fees, professional charges, and FEMA filings. No surprise add-ons.
Dedicated CA/CS Manager
A qualified CA/CS assigned to your subsidiary project from first call to full compliance.
100% Remote & Online
The entire process is handled remotely. No physical visits to India required from the foreign team.
Frequently Asked Questions
Your Indian Subsidiary is One Step Away
Join 5,000+ businesses — from global MNCs to ambitious startups — who chose TaxClue for their India entry. CA/CS-assisted, 100% online, fully FEMA compliant.
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