We assist companies registered outside India (Foreign Company) to establish their operations in Mumbai, India without registering a subsidiary company. The scope of operation of open a branch or liaison office is limited and is preferred for representative office, sourcing, technical support, market support in India.
Steps involved in establishing a branch/liaison office in India
- RBI approval through an authorized dealer of category I bank
- Registration with Registrar of Companies, New Delhi
- Basic Eligibility Criteria
- Reserve Bank Route — Principal business of the foreign entity falls under sectors where 100 per cent foreign direct investment (FDI) is permissible under the automatic route.
- Government Route — Principal business of the foreign entity falls under the sectors where 100 per cent FDI is not permissible under the automatic route.
- Applications from entities falling under this category are considered by the Reserve Bank, in consultation with the Government of India, Ministry of Finance
Additional Criteria & Track Record
- For Branch Office — a profit making track record during the immediately preceding five financial years in the home country
- For Liaison Office — a profit making track record during the immediately preceding three financial years in the home country
- Net Worth [total of paid-up capital and free reserves, less intangible assets as per the latest Audited Balance Sheet or Account Statement certified by a Certified Public Accountant or any Registered Accounts Practitioner by whatever name]
- For Branch Office — not less than USD 100,000 or its equivalent
- For Liaison Office — not less than USD 50,000 or its equivalent
Please feel free to contact us . We are happy to assist you