Business Registration · Foreign Subsidiary

Foreign Subsidiary Company Registration your global business, rooted in India.

Registration of a Foreign Subsidiary Company in India — a Private Limited Company where a foreign parent holds majority control — including FEMA compliance, FDI policy review, FC-GPR filing, and full post-incorporation secretarial setup.

A Foreign Subsidiary Company is an Indian Private Limited Company in which a foreign corporation holds more than 50% of the total voting power — making the foreign company the parent and the Indian entity its subsidiary. This is the most common structure used by multinational corporations, foreign startups, and overseas businesses entering the Indian market.

The Foreign Subsidiary structure provides the foreign parent with a legally distinct Indian entity that can operate across most business sectors, hire Indian employees, hold Indian assets, enter Indian contracts, and access the Indian banking system — while limiting the parent's liability to its investment in the subsidiary. The Indian subsidiary is taxed as a domestic Indian company and is fully subject to Indian law, including the Companies Act, FEMA, and all sector-specific regulations.

At Beyonte Compliances, we manage Foreign Subsidiary registrations as an integrated engagement — covering FDI policy review, incorporation, foreign director documentation, initial share allotment, FC-GPR reporting to the RBI, and the first year's secretarial and FEMA compliance. Our team co-ordinates with the foreign parent's legal and finance teams to ensure that the Indian setup is compliant from the first share allotment.

What Our Foreign Subsidiary Registration Covers

FDI Policy & Sector Review

Review of the applicable FDI policy for the foreign subsidiary's intended business — confirming automatic route availability or identifying sectors requiring government or FIPB approval.

Indian Company Incorporation

Incorporation of the Private Limited Company — DSC, DIN, name reservation, SPICe+ filing, MoA, AoA, and Certificate of Incorporation.

Foreign Director Documentation

Guidance on apostille, notarisation, and certification requirements for directors signing documents outside India — and DSC procurement for foreign directors.

Resident Director Appointment

Identification and appointment of an Indian resident director where none of the proposed directors meets the 182-day residency requirement.

Initial Share Subscription

Processing of the initial share subscription by the foreign parent — share allotment, share certificates, and register of members.

FC-GPR Filing with RBI

Filing of the FC-GPR form with the RBI within 30 days of allotment — reporting the foreign direct investment received. Late filing attracts compounding penalties.

Annual FLA Return

Filing of the annual Foreign Liabilities and Assets (FLA) return with the RBI by 15 July each year — mandatory for all companies that have received FDI.

FEMA Ongoing Compliance

Downstream investment reporting, ECB compliance, dividend repatriation filings, and annual FEMA compliance calendar management.

Our Process

FDI Policy Clearance

Confirming the sector classification and applicable FDI route before any filings are made — avoiding post-incorporation regulatory complications.

Documentation for Foreign Directors

Advising on apostille and notarisation requirements and collecting all KYC — co-ordinated with the foreign parent's team across time zones.

Incorporation & MoA/AoA Filing

Name reservation and SPICe+ filing with objects clause aligned to the Indian subsidiary's planned activities.

Share Allotment & FC-GPR

Processing initial subscription, issuing share certificates, and filing FC-GPR with RBI within the 30-day window.

Annual Compliance Setup

Delivering the full incorporation document set and setting up the FEMA, secretarial, and income tax compliance calendar.

Why It Matters

✓Separate Indian legal entity — parent's liability limited to its investment

✓Automatic route FDI available in most sectors — no prior approval required

✓FC-GPR and annual FLA return filed within RBI deadlines

✓Foreign director documentation managed across jurisdictions

✓Resident director requirement handled from day one

✓MoA and AoA tailored to the Indian subsidiary's business

✓First year FEMA and secretarial compliance calendar included

✓Co-ordination with foreign parent's legal and finance teams

Frequently Asked Questions

A Foreign Subsidiary is an Indian company in which a foreign parent holds more than 50% but less than 100% of the shareholding. A Wholly Owned Subsidiary (WOS) is one in which the foreign parent holds 100% — with no other shareholders. Both are incorporated as Indian Private Limited Companies and follow the same registration process, but the WOS has additional requirements for the second shareholder nominee.

Incorporation typically takes 7–15 working days from the date all documents are received. The FC-GPR filing with the RBI must be completed within 30 days of share allotment. Total timeline from first engagement to a fully operational subsidiary with a bank account is typically 3–6 weeks.

No. The foreign parent's initial investment is typically remitted to the Indian subsidiary's bank account after incorporation — once the company is incorporated and a bank account is opened. The FC-GPR must be filed within 30 days of receiving the remittance and allotting shares.

Yes. An Indian subsidiary can pay dividends to its foreign parent, and the dividend can be repatriated outside India subject to payment of applicable withholding tax and compliance with the RBI's repatriation norms. We advise on the withholding tax implications under the applicable Double Tax Avoidance Agreement.

Bring your global business to India — the right way.

Talk to our team about a Foreign Subsidiary registration — from FDI clearance to first-year FEMA compliance.