Business opportunities in India has gained its pace and moving ahead with the brisk. The opportunities comprise of several sectors falls under such as Industrial, Pharmaceutical, Healthcare and other industrial sectors. With the vastness propagated hitherto, the revenue generation has been increased simultaneously. Opening a business in India seemingly became more productive with the following last decade.
To establish a business in India, foreign companies have a variety of options to choose among:
Wholly Owned Subsidiary: Foreign business leaders are allowed to set up a wholly own subsidiary by transforming private companies under FDI guidelines. This type of company has the maximum flexibility to conduct businesses in India. The subsidiary has the following features:
Funding can be done by Equity, Debt and internal accruals.
Indian transfer pricing regulations to apply.
Repatriation of dividends is allowed without any approvals.
Joint Venture with Indian partner: Foreign companies are allowed to have Joint Venture with Indian Partner or a foreign institution. There are no ungrouped laws for Joint ventures in India. The laws befall under joint ventures in india are to be followed by each type of joint venture.
Foreign Institutional Investor: Foreign Institutional Investors (FII) are liable to invest in India in form of pension funds, mutual funds, investment trusts and asset management companies or their power of attorney holders. Foreign Institutional Investors are allowed to make investments in all securities beneath primary and secondary markets which includes the equity and other companies which are listed or are to be listed on stock exchanges of India.
Liaison Office: To open a Liaison office in India, the subject has to be verified by the Reserve Bank of India. Such a representative company is liable to perform actions on the behalf of its root company. Other liabilities a Liaison office can undertake are:
Representing group companies in India
Promoting Import and Export activities in India
Promoting technical and financial collaboration on the behalf of the parent company
Coordinating communication between parent company and India-based company
Opening a distribution partnership in India, can be a deal of profit. With the help of Tecnova you can open a partnership and distribution firm, allowing foreign business leaders to expand their business in India. With the in-depth market research, foreign investors are being guided to invest in the market to generate revenue. With the minimal invest the stability of the product is calculated. If successful, latter the product is widespread globally.
