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Foreigner wants to open private ltd company in india

Mozhi (Manager) (26 Points)

06 May 2013

Dear All,

Can any one suggest me, is it possible to form a Private Limited company in India by 3 Directors(3 of them Foreigners) and tell me what are the proceedure we have to follow?

Thank you

MozhiRaghu

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9 Replies

(Guest)

Can all the directors of a private limited company be foreigners? Yes. However the Registrar of Companies may insist on Indian individuals as alternate directors.

(Guest)

https://taxmantra.com/can-a-foreign-citizen-be-a-director-of-the-indian-company/

Shridhi Jain (Company Secretary) (1678 Points)
Replied 07 May 2013

Yes you can form company with all foreign directors.

You can hire a practicing CS for formation of company.

CA Kedar Sakhardande (Proprietor) (942 Points)
Replied 07 May 2013

You have not mentioned who will be the shareholders. Indians / Foreign nationals ?.

In case of Foreign nationals you need to ensure that it is as per Sectoral cap of FDI policy of RBI.

Further 1 important point you may need to consider is that one of the directors should have a PAN No in India becuase if non of the director is having pan no you may not be able to register his DSC on Income tax site and you cannot file the income tax return of the company.

In case of foreign directors you have to find out how you will convene a meeting of Board. either it has to be in foreign country/ or any 2 of them should visit india at the same time/ or you may need to appoint at least 2 alternate directors in india. you need to convene at lest 4 meetings in an year and gap between any 2 meetings should not be more than 4 months.

regards

Sanjeev Kumar (CEO KPS Corporate Consultants P LTD ) (99 Points)
Replied 08 May 2013

hi, there is simply no problem in registerring a private limited company with all director / shareholder is foreigner.

there is no need to obtain any PAN number for the director. as advised by learned friend CA Kedar.

the steps are as under

1. documentation: you need to obtain copy of passport and any address proof of the director (as in maximum cases there is no address on the passport) and photo, Signature on annexure-1 (may be downloaded from setindiabiz.com)

2. the documents need self attestation and attestation by the indian high commision if the directors are not in india. In case the directors come to india for signature then the embasy attestation is simply not required.

3. after the name approval the moa and aoa need signature of the subscribers and at that time again attestation by indian embassy shall be required.

the underelying Idea is that the embassy attestation is needed only to aithenticate the copy of documents and to attest the signature.

i hope i am clear. get in touch for assistance . the company can be formed in 15 working days

Regards

sanjeev

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CA Kedar Sakhardande (Proprietor) (942 Points)
Replied 08 May 2013

Hello sanjeev sir

For Income Tax , for efilling returns a digital signature of a director is to be registered and as such if there is no pan no of a director , DSC cannot be registered on Income tax portal and if DSC is not registered income tax return cannot be signed.

SO FOR INCOME TAX PAN NO IS COMPULSORY

I do agree with your other comments

CA Darshak Shah (Practicing CA) (1889 Points)
Replied 09 May 2013

Originally posted by : Sanjeev Kumar
	hi, there is simply no problem in registerring a private limited company with all director / shareholder is foreigner. there is no need to obtain any PAN number for the director. as advised by learned friend CA Kedar. the steps are as under 1. documentation: you need to obtain copy of passport and any address proof of the director (as in maximum cases there is no address on the passport) and photo, Signature on annexure-1 (may be downloaded from setindiabiz.com) 2. the documents need self attestation and attestation by the indian high commision if the directors are not in india. In case the directors come to india for signature then the embasy attestation is simply not required. 3. after the name approval the moa and aoa need signature of the subscribers and at that time again attestation by indian embassy shall be required. the underelying Idea is that the embassy attestation is needed only to aithenticate the copy of documents and to attest the signature. i hope i am clear. get in touch for assistance . the company can be formed in 15 working days Regards sanjeev

Dear Sir,

How to obtain DSC in this case without PAN?

Regards

Kirankumar (PROPRIETOR) (27 Points)
Replied 24 June 2013

I applied for name approval and i gor the name which i want but problem is by mistake i select registrar of pune instead of registrar of mumbai............now what i can do...

Dev Patel (Student CA Final ) (513 Points)
Replied 10 November 2015

yes a Private Limited company can be register with all foregin directors. even we register many comapnies for the NRI's in India and the have no pan cards so basically you have to collect some more documents as per above cci member mentioned then you can register a company in india.