18 August 2023

How to get your company ready to operate in India

If you are planning to incorporate an entity in India, then you will need to make sure you have the right documents and fit the requirements.

Estimated reading time: 2 minutes

India has one of the largest populations in the world and has a rapidly growing economy. This makes it an attractive location for companies to do business.

As a result, anyone looking to register a business in India from the UK needs to know what they need. There are a range of requirements a business must meet. Then, they must also consider what documents they may need to have notarised before they can begin operations in India.

What documents need notarising to register a company in India?

There are many documents that you may need to get notarised. It is likely that the documents you need to get notarised depend on your company type and if it is new or not.

The types of documents that need notarisation includes:

Powers of Attorney
Memorandum of Association
Memorandum of Understanding
Tax return documents
Credit reports
Bank statements
Bank loan applications
Letters of Sponsorship
Certificate of Good Standing
Affidavits
Passports
Driving Licences

Other documents may also require notarisation. A full list of business documents that may require notarisation can be found on our website.

If you need any guidance, we recommend getting in touch with us. Our expert notary can help you with all of your notarisation needs.

What other requirements must I meet?

As well as getting your documents ready to be used in India, you must ensure that your company meets the requirements for registration.

There are a few minimum requirements for UK businesses that want to get register their company in India. These requirements are:

A registered office in India
Minimum two shareholders
Minimum two directors
One director must be an Indian resident
A Digital Signature Certificate for each individual director
Director Identification Number for each individual director
The directors and shareholders can be the same people

If you have met these requirements, your business is ready to operate in India.

Important things to know about registering a company in India

Types of businesses

There are several types of business structures available for organisations that wish do business in India. The options are:

Limited Liability Partnership (LLP)
Private Limited Company (PLC)
Public Limited Company (Ltd.)
Partnership
Sole Proprietorship
Joint-Venture Company
Non-Government Organisation (NGO)

It can take 68 days to register a business in India.

Taxes

Resident companies and non-resident companies have different tax rates. Domestic companies have a rate of 25%. Meanwhile, non-resident companies have a tax rate of 40%.

Financial statements are submitted annually, with the fiscal year ending on the 31 March.

Domestic companies, LLPs, and partnerships, are liable for tax on their global income. Non-resident organisations are liable for tax on income gained in India.