Two nri can form private limitied

Yes 2 NRI can form a private limited company provided the activity of the company is permitted under FDI Guidlines.

However, after the company formation there will be some practical issues which you need to think about.

1) If both the directors are out of india, then you will face issue in conducting Board Meeting and Annual General Meeting (if directors themselves are the members) , You need to have atleast 1 board meeting in each quarter and time gap between 2 meetings should not exceed 4 months (Corporate Governance). Further there has to have 1 annual general meeting annually (1 AGM within 18 months)

in this case, as far as directors are concerned you can appoint 2 alternate directors (the tenure of altenate director ceases if the original directors are returned in town) who can hold board meetings.

For Annual Meeting the mebers can file proxy forms and the meeting can be held.

2) Atleast one director should have a PAN No as PAN Number is mandatory for filing company ITR Return.

I hope this resolves your queries.

In case of any othewr queries please write to us at kedarsakhar @ gmail.com

regards

CA Kedar

One of the director