Establishing A Business In India

Any business interested in establishing a business in India is required to first ascertain whether the business is to operate as a foreign entity having a presence in India (through the opening of a liaison office, a branch office, a project office) or as an Indian entity (through direct investment in an Indian company as a joint venture or a wholly owned subsidiary).

Foreign entity having a presence in India:

Only foreign entities may have a presence in India through this route, where applications from body corporates incorporated outside India, firms or other associations of individuals are considered by certain permitted commercial banks (AD Category – I) as per the guidelines given by the Reserve Bank of India ("RBI")¹. The applicant or the parent/ group company is also required to satisfy certain net worth and profit qualifying criteria.