10 steps to incorporating in India
- Before Healy Consultants commences the incorporation process, we request our Clients to i) sign our engagement letter and courier us ii) the signed letter along with all the required due diligence documents (click link) and iii) settle Healy Consultants’ engagement fees;
- Our experts will draft a detailed engagement plan (click link) for our Clients, detailing by week every step towards engagement completion. This plan will optimize work transparency and settle our Client’s expectations;
- After Healy Consultants and our Client agree the corporate structure and our Client provides i) 2 passport size photographs and ii) notarized copies of passport and address proof for each director and shareholder, Healy Consultants will submit a) an application for Digital Signature Certificate (DSC) at a Certifying Authority and b) obtain a Director Identification Number (DIN) by filling a DIN-3 application form together with a signed DIR-4 declaration form on the Ministry of Corporate Affairs (MCA) website;Note: The DSC will enable the Indian company directors to e-sign and upload forms of the Registrar of Companies (ROC) and MCA;
- After approval of DSC and DIN, Healy Consultants will file the Integrated Incorporation Form INC-29 which includes: company name reservation (Form INC-1), the Memorandum and Articles of Association (MOA & AOA) and subscriber sheets. which must be handwritten and our Client’s signatures must be witnessed by a Public Notary in their home country. No embassy legalization is required;Note: For company name reservation our Client will be required to provide 6 different company name options to ensure approval according to MCA guidelines. Check the availability of company names;
- After obtaining the MCA issued Certificate of Incorporation, Healy Consultants will complete online tax registrations with the Income Tax Department (ITD). Healy Consultants will e-file i) Form 49A to obtain a Permanent Account Number (PAN) and ii) Form 49-B to secure a Tax deduction and collection Account Number (TAN). If required, we will also register the company for VAT;
- After PAN approval, Healy Consultants will assist our Client open a local multi-currency corporate bank account with a top tier Indian bank with internet banking facilities;
- Once the corporate bank account has been approved, within 2 months our Clients must deposit the minimum share capital amount of US$1,650 (INR 100,000) from their personal bank account to the newly opened corporate bank account.
- Our Client provides Healy Consultants the bank transfer advice slip and/or certificate of deposit for the receiving bank in India to issue a Foreign Direct Investment (FDI) Certificate for the Reserve Bank of India (RBI);
- Lastly, Healy Consultants registers the new company for medical insurance with the Employee’s State Insurance Corporation (click link) (ESIC);
- The process of India company registration is now complete. With the engagement complete, Healy Consultants will courier a full company kit to our Client; the kit includes the original corporate documents, unopened bank correspondence and a feedback form.
Phase 1 – Digital Signature Certificate (DSC) and Director Identification Number (DIN)
Phase 2 – Company name reservation and company incorporation
Phase 3 – Corporate income tax registrations (PAN and TAN)
Phase 4 – Corporate Bank account opening and injection of share capital
Frequently asked questions
Is it mandatory to appoint a resident company secretary for a newly incorporated Indian business?No. A company secretary will only be appointed if the share capital exceeds US$811,600 (INR 50,000,000).
What are the minimum capital requirements for incorporating an Indian company?The minimum share capital requirement for a new company in India is US$1,650 (INR 100,000).
What is the incorporation timeline for an Indian company?On an average, it can take up to 5 months to start an Indian company.