I'm handling a new company incorporation. Facts are as follows:
a. 2 foreign directors holding 99% shares and 1 Indian holding 1%.
b. Business in the nature of construction of apartments i.e., builders/construction related.
c. Authorise capital approx 10lacs
My query is whether any restrictions are imposed under FEMA/Other laws on NRIs investing as briefed above. Secondly whether investment in form of shares or as loans, which is better?
Please help me with your valuable suggestions. Thanks
CAclubindia
