Subsidiary Company Registration in India

Expand your business into India with LegalWiz — fast, compliant, and end-to-end.

India is one of the world’s fastest-growing economies, making it an ideal destination for global expansion. If you’re a foreign company exploring new markets, Subsidiary Company Registration in India provides access to a huge consumer base, a skilled workforce, and government-backed investment opportunities.

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At LegalWiz, we help international businesses establish a Foreign Parent Indian Subsidiary — remotely, seamlessly, and with guaranteed compliance. Our support goes beyond incorporation: from planning and documentation to RBI filings and continuous compliance throughout your subsidiary’s lifecycle in India. With LegalWiz, entering the Indian market is seamless, transparent, and strategically guided.

Why Expand into India?

Huge consumer base: Over 1.4 billion potential customers
Skilled workforce: World’s second-largest pool of technical and managerial talent
Growing economy: Consistently among the top global growth markets
Government incentives: Subsidies, tax benefits, and FDI-friendly policies
Simplified global trade: Easier import-export opportunities and supply-chain integration
Stronger brand presence: Establish credibility with a local corporate identity

Why Businesses Choose LegalWiz for Subsidiary Registration

Expanding into India demands more than just paperwork — it requires a partner who understands both the legal landscape and the business realities. LegalWiz bridges that gap, combining deep regulatory expertise with practical execution so your subsidiary is not only incorporated but also positioned to grow compliantly and confidently from day one.

End-to-end registration from name approval to Certificate of Incorporation
Assistance with virtual office or co-working addresses
Accounting solutions designed for US entities and global parent reporting
Regulatory expertise across MCA, RBI, FEMA, GST, and Income Tax
Dedicated Transaction Manager for personalized guidance
100% remote process, no travel required

Documents Required for Subsidiary Registration

For Directors and Shareholders

Latest passport‑size photograph
PAN card for Indian residents
Valid passports for foreign nationals. Apostilled and notarized in the country of issue
Identity proof. Voter ID, Passport, or Driving License. Apostilled and notarized for foreign individuals
Latest address proof. Telephone bill, electricity bill, or recent bank statement. Apostilled and notarized for foreign individuals

For Registered Office in India

Latest business address proof. Electricity or telephone bill
Rent Agreement, if applicable
No Objection Certificate from the owner of the premises

For Parent Company

Charter Documents: Memorandum and Articles of Association, statutes, or other founding documents, as applicable.
Board Resolution: Approval from the board authorizing the use of the Parent Company’s name for the subsidiary registration.

Requirements for Subsidiary Company Registration in India

Unique company name: Must comply with the Companies Act, 2013, and Trademark rules
Directors: At least one Indian resident director is mandatory
Capital: No minimum paid-up capital requirement
Documentation: Apostilled and notarized documents are required for foreign directors or authorized representatives of the parent company.
Auditor: The First auditor must be appointed within 30 days of incorporation
Meetings: Annual General Meetings (AGMs) and Board Meetings are mandatory
Annual filings: Must be submitted to the MCA, Registrar of Companies, and Income Tax Department
FDI reporting: FDI must be reported to RBI within 30 days of capital receipt

Step-by-Step Process for Indian Subsidiary Registration

Setting up an Indian subsidiary involves a clear, structured process. LegalWiz manages each step on your behalf so nothing is missed:

Step 1: Choose Your Company Type

Decide the structure of your subsidiary, either a company with 100% foreign holding by individuals or a wholly‑owned Indian subsidiary of a foreign parent company.

Step 2: Get Your Digital Signature Certificate (DSC)

Directors & Shareholders require DSCs to digitally sign incorporation documents. This is the first technical prerequisite for electronic filings.

Step 3: Name Your Company

Pick a unique name and apply through the MCA portal. The name must follow the Companies Act, 2013, and Trademark guidelines. Once approved, file the MoA and AoA within 20 days or request an extension.

Step 4: Draft Your Company’s Charters

Prepare the Memorandum of Association (MoA) and Articles of Association (AoA). These outline business objectives and governance rules under the Companies Act 2013.

Step 5: File Incorporation Documents & Apply for DIN

Submit the MoA, AoA, and supporting documents to the Registrar of Companies via SPICe+. Foreign individuals or parent company representatives must provide apostilled and notarized documents. The SPICe+ form also integrates applications for PAN, TAN, and Director Identification Numbers (DINs).

Step 6: Pay Registration Fees

Pay the prescribed incorporation and stamp duty fees to the ROC, calculated on the company capital and the state.

Step 7: Receive Certificate of Incorporation (COI), PAN & TAN

Once approved, the ROC issues the COI, confirming incorporation. PAN and TAN are allotted simultaneously by the Income Tax Department and delivered by NSDL via email.

Step 8: Apply for GST/Other Registrations (if required)

Apply for GST, Shops & Establishment license, or other sector‑specific registrations depending on your business needs.

Step 9: Open a Bank Account

Open a current account in India for your subsidiary. LegalWiz assists in coordinating the documentation; however, the actual account opening is subject to the bank’s internal processes and timelines.

Please note that, in most cases, Indian directors are required to be physically present in India for KYC verification at the time of account activation.

Step 10: Report FDI to RBI

Within 30 days of capital remittance, report the foreign investment to the RBI. LegalWiz coordinates with your Authorized Dealer (AD) bank to ensure the FC-GPR form is filed accurately, smoothly, and on time.

Step 11: Issue Share Certificates & Maintain Registers

Once subscription funds are credited, issue share certificates, dematerialize them with a Depository Participant, and maintain the Register of Members along with other statutory registers.

Step 12: Start Your Business

With incorporation complete, bank account opened, and statutory obligations initiated, your Indian subsidiary is ready to begin operations.

Key Tax Information

Corporate tax rate: Around 25.36% effective rate, plus applicable surcharge and cess.
GST: Applies to domestic sales based on turnover and sector classification.
Cross-border taxes: Transfer pricing, withholding tax, and double taxation treaty rules may apply.

Key Compliance Rules to Remember

At least one Indian resident director is mandatory
Must have a physical office in India as its registered address
Annual filings with MCA, ROC, and the IT department
FEMA, RBI, and Companies Act compliance
Reporting of FDI within 30 days of capital inflow
No minimum paid-up capital requirement
Statutory meetings: Board meetings & AGMs
Corporate tax rate ~25.36% (plus applicable surcharges/cess)

Partner Advantages with LegalWiz

Assistance with bank account opening & payment gateway setup
Access to Zoho Accounting Software at special partner pricing
AWS cloud credits to scale your digital infrastructure
Exclusive benefits from LegalWiz’s partner ecosystem
Market launch support, including brand, digital, and web solutions

Why Global Businesses Trust LegalWiz

Enterprises worldwide turn to LegalWiz to simplify their entry into India, transforming complex regulatory requirements into a smooth, fully managed incorporation process.

With thousands of successful incorporations across diverse sectors, verified client testimonials, and optimized processes that meet tight timelines, LegalWiz ensures your India expansion is precise, efficient, and stress-free.

Here’s what sets us apart:

Proven track record – Thousands of incorporations across industries
Verified credibility – Positive Google reviews & client testimonials
On-time delivery – Streamlined processes, no hidden delays
Expert support – Dedicated Transaction Manager for every client

Start Your Subsidiary Registration Today

Expanding into India is a big move. With LegalWiz, you don’t just get a service; you get a partner who simplifies the journey.

Frequently Asked Questions

Explore incorporation of foreign subsidiary in India

What are the minimum requirements to set up an Indian subsidiary?

An Indian subsidiary in India can be registered as a Private Limited Company, Public Limited Company, or LLP, with Private Limited Company being the most preferred. The minimum requirements are:

At least 2 directors, of whom one must be a resident of India.
At least 2 shareholders (the parent company can be one of them).
A registered office address in India.

What are the FDI guidelines for foreign investment in an Indian company?

India allows 100% Foreign Direct Investment (FDI) under the Automatic Route in most sectors, which means no prior government approval is required. However, certain sectors like defense, telecom, insurance, and media require prior approval under the Approval Route. After the investment, the company must file prescribed reports with the RBI through its Authorized Dealer (AD) Bank, such as FC-GPR.

Are there businesses in which foreign nationals or companies cannot invest?

Yes, FDI is prohibited in businesses engaged in or proposing to engage in:

Chit funds
Nidhi companies
Agricultural or plantation activities (with some exceptions like floriculture, horticulture, seed development, animal husbandry, pisciculture, controlled vegetable cultivation, and tea plantations)
Real estate business or construction of farmhouses (township or commercial/residential development is allowed)
Trading in Transferable Development Rights (TDRs)
Gambling, betting, and lottery businesses

How can a wholly owned subsidiary be registered in India?

A wholly owned subsidiary (WOS) is typically registered as a Private Limited Company, where 100% of the shareholding is held by the foreign parent company. At least two shareholders are required under law, so in practice, one share may be held by a nominee to meet this requirement.

What is the minimum capital requirement?

The minimum authorized capital is INR 1 Lakh. There is no minimum paid-up capital requirement under India’s simplified registration process. Each shareholder must subscribe to at least one share and contribute enough capital to start operations.

How is the company name reserved? Can we use the foreign parent’s name?

The name must comply with the MCA’s naming guidelines and can be applied for through the RUN (Reserve Unique Name) service or directly in the SPICe+ form. The Indian subsidiary can include the parent company’s name, provided it’s available and not violating trademark or naming rules.

Is it compulsory to appoint an Indian director?

Yes, at least one director must be a resident Indian, meaning they have stayed in India for at least 182 days in the previous calendar year.

Is a physical office required in India?

Yes, a registered office address in India is mandatory for incorporation. This can be residential or commercial, but it must be capable of receiving official correspondence. A purely virtual office is not sufficient for incorporation.

Does anyone need to be physically present for online company registration?

No. The entire incorporation process is online. Documents are submitted electronically and signed using digital signatures (DSC). Physical presence in India is not required for directors or shareholders.

Are there further regulatory requirements after registration?

After incorporation and receipt of foreign investment, the company must:

Open a bank account – so foreign investors can transfer funds.
Report FDI to RBI – file the Advance Reporting Form within 30 days.
File FC-GPR – submit within 30 days of issuing shares to foreign investors.
Get PAN, TAN, and GST – for tax and business compliance.
Do annual filings – like FLA returns to stay legally compliant.

What are the annual compliance requirements for a Private Limited Company?

The company must:

Hold at least 1 Annual General Meeting (AGM) every year.
Conduct at least 4 board meetings
Maintain statutory registers and records.
File annual ITR to report company income
File DIR-3 KYC form for Directors
File annual returns with the MCA (AOC-4 and MGT-7) along with the Board Report.
File annual FLA return with RBI before July 15 each year.
Get accounts audited by a Chartered Accountant.

What documents are required for filing ARF and FC-GPR with RBI?

Key documents include:

Foreign Inward Remittance Certificate (FIRC) from the AD Bank
KYC report on the foreign investors from their overseas bank
Board resolution for allotment of shares
CA/CS certificate stating that all rules are followed

What is the due date for filing Foreign Liabilities and Assets (FLA) with RBI?

FLA must be filed before July 15 of the next financial year.
If accounts are unaudited by then, a provisional return is filed.
Once audited, a revised FLA must be filed by the end of September.

What is the role of accountants and auditors in an Indian subsidiary?

Accountants record daily business transactions.
Independent auditors verify accounts, ensure statutory compliance, and provide an audit report.

Note: LegalWiz assists in appointing auditors but does not take accountability for audit services.

Can foreign directors be appointed in an Indian subsidiary?

Yes, foreign directors can be appointed, but they must obtain a DIN and may require notarized/apostilled documents. Some banks may require at least one Indian resident director for KYC verification.

Can a subsidiary have only one shareholder?

No, Indian law requires a minimum of 2 shareholders. One of them can be the parent company, while the second can be an individual director to satisfy the requirement.