Opening Of Foriegn Branch by Indian company Pvt Ltd co.
This query is : Resolved
Hemant.k.thakkar
(Querist)
02 December 2009
Sub:- Opening Of Foriegn Branch by Indian Pvt Ltd co.
Pls. will Any1 help me?
I want 2 open a branch of my 'Indian company' outside India. So what r the Statuary Provisions to be fullfill,RBI Norms, Other Formalities, Etc...........
Firstly I am Worried Abt. Wht will be the of Authorized share capital for my company, Turnover Elibility, etc.
Specific Links & source for searching the topic will be Appreciated.
Thanks a lot
Pls. will Any1 help me?
I want 2 open a branch of my 'Indian company' outside India. So what r the Statuary Provisions to be fullfill,RBI Norms, Other Formalities, Etc...........
Firstly I am Worried Abt. Wht will be the of Authorized share capital for my company, Turnover Elibility, etc.
Specific Links & source for searching the topic will be Appreciated.
Thanks a lot
CS Mitesh Mehta
(Expert)
03 December 2009
Reserve Bank permits companies engaged in manufacturing and trading activities abroad to set up Branch Offices in India for the following purposes:
1. To represent the parent company/other foreign companies in various matters in India e.g. acting as buying/selling agents in India
2. To conduct research work in the area in which the parent company is engaged
3. To undertake export and import activities and trading on wholesale basis
4. To promote possible technical and financial collaborations between the Indian companies and overseas companies.
5. Rendering professional or consultancy services
6. Rendering services in Information technology and development of software in India
7. Rendering technical support to the products supplied by the parent/Group companies.
A branch office is not allowed to carry out manufacturing, processing activities directly/indirectly. A Branch Office is also not allowed to undertake Retail Trading activities of any nature in India. Branch Offices have to submit Activity Certificate from a Chartered Accountant on an annual basis to the Central Office of FED. For annual remittance of profit Branch Office may submit required documents to an authorised dealer.
Permission for setting up branch offices is granted by the Reserve Bank of India. Reserve Bank of India considers the track record of the Applicant Company, existing trade relations with India, the activity of the company proposing to set up office in India as well as the financial position of the company while scrutinising the application.
1. To represent the parent company/other foreign companies in various matters in India e.g. acting as buying/selling agents in India
2. To conduct research work in the area in which the parent company is engaged
3. To undertake export and import activities and trading on wholesale basis
4. To promote possible technical and financial collaborations between the Indian companies and overseas companies.
5. Rendering professional or consultancy services
6. Rendering services in Information technology and development of software in India
7. Rendering technical support to the products supplied by the parent/Group companies.
A branch office is not allowed to carry out manufacturing, processing activities directly/indirectly. A Branch Office is also not allowed to undertake Retail Trading activities of any nature in India. Branch Offices have to submit Activity Certificate from a Chartered Accountant on an annual basis to the Central Office of FED. For annual remittance of profit Branch Office may submit required documents to an authorised dealer.
Permission for setting up branch offices is granted by the Reserve Bank of India. Reserve Bank of India considers the track record of the Applicant Company, existing trade relations with India, the activity of the company proposing to set up office in India as well as the financial position of the company while scrutinising the application.
Hemant.k.thakkar
(Querist)
07 December 2009
Thanxs mitesh
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