Setting Up an Entity in India
Foreign investors can establish entities in India through the following structures:
- Wholly Owned Subsidiary (WOS)
- Limited Liability Partnership (LLP)
- Branch Office (BO)
- Liaison Office (LO)
- Project Office (PO)
| Particulars | Wholly Owned Subsidiary (WOS) | Limited Liability Partnership (LLP) | Branch Office (BO) | Liaison Office (LO) | Project Office (PO) |
|---|---|---|---|---|---|
| Separate Legal Entity | Considered as a Domestic company in India | Considered as a Domestic company in India | Considered as a Foreign Company as it is an extension of the Foreign / Parent company | Considered as an extension of the Foreign / Parent company | Temporary setup that is essentially a branch office established by the foreign parent company for the limited purpose of executing a specific project |
| Permitted Business | 100% Foreign shareholding permitted, no prior approval of government is required | As per the LLP agreement | Allowed to conduct same business as parent company, including import and export of goods, consultancy work, & professional services | Used for networking, exploring market opportunities, and promoting parent company’s business activities | A PO can be established if a Foreign Company receives a contract from an Indian company. In case of no contract, prior approval from the RBI is required |
| Directors / management Staff | Minimum two Directors (one should be a Resident Indian) | Minimum two Designated Partners (one should be a Resident Indian) | Authorised Representative (should have PAN and local address) | Authorised Representative (should have PAN and local address) | Authorised Representative (should have PAN and local address) |
| Set up time | 4-8 weeks | 4-6 weeks | 6-8 weeks | 6-8 weeks | 4 weeks |
A Wholly Owned Subsidiary in the form of a Private Limited Company is one of the most preferred business structures for foreign entities establishing a presence in the country. Its popularity stems from several key advantages, such as full foreign ownership, ease of incorporation and ongoing compliance, and its recognition as a separate legal entity. These benefits make it an attractive option for entrepreneurs looking to start a business in India. A Private Limited Company operates independently of its shareholders, ensuring legal distinction and limited liability
About JurisHub
JurisHub India is a subsidiary of JurisTax, a management firm headquartered in Mauritius in 2008. We specialise in providing end-to-end business solutions for companies looking to establish and expand their operations in India. Our team comprises qualified professionals, including MBAs, accountants, tax experts, legal advisors, and corporate secretaries. With in-depth expertise in India’s complex regulatory landscape, we guide foreign businesses through every phase of establishment, compliance, and growth. At JurisHub India, we are dedicated to delivering a seamless experience for our clients, offering expert support in entity setup, financial management, taxation, and corporate governance.
JurisHub offers a comprehensive suite of support services for entity Incorporation and post Entity Incorporation services:
- Entity registration with the Registrar of Companies
- Post Incorporation compliance services like administration, accounting, payroll, company secretarial, accounting, tax and compliance services.
- Advisory services for structuring outsourcing businesses in India
- Recruitment and Staffing Support for skilled professionals
Why India?
- One of the world’s fastest-growing economies, with a trillion-dollar FDI inflow till date.
- India ranks 39th on the Global Competitiveness Index 2024.
- India currently ranks 63rd on the Ease of doing business index, a significant jump of 79 places.
- Rank 38 in World Bank’s Logistics Performance Index 2023.
- Skilled and Low-cost workforce availability
- India has established over 94 comprehensive DTAAs and 8 limited DTAAs.
- Signed 13 Free Trade Agreements (FTA’s).
- Projected to become the world’s third largest economy by 2027 with GDP exceeding US$5 trillion.
- World’s largest workforce by 2027, estimated billion people between age group of 15 to 60.
- Special Economic zones (SEZs) offering incentives, tax holidays and ease of doing business opportunities.
Conclusion
India is a fast-growing market with immense opportunities for foreign investors. At JurisHub India, we simplify entry and growth by offering tailored support in setup, compliance, and ongoing management—ensuring your business is positioned for lasting success.
- +91 8600481900
- adsouza@juristax.com