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Foreign company Branch office in India

A foreign company cannot simply open a branch at India, there are certain procedures to follow which would give permissions for an Foreign Incorporation to get their branches started in India. The company can carry out activities that are permitted only by the RBI (Reserve Bank of India), the branch can pull in turn over to the company only via legal methods and the what the company has been committed in doing abroad.

The manufacturing license is not permitted out of the box but it must be provided only on the request on sub-contract basis. This method of registration is a great way for Foreign companies who are concentrating on the Expanding into the Indian Subcontinent.

The activities of the Branch office should be all under the legal terms of Indian Act. With branch office in certain areas would allow fine tuned target audience and more clearer location driven business activities.

At Unilex Consultants we provide you a hassle free registration process which would be dealt by our professionals within a time frame of 15-20 days and is subjective to governmental processing time. Our team takes care of the documentation and aids in provide you the realistic estimation of cost.

Purpose of Opening Foreign Branch Office in India

Export / Import of goods.

Rendering professional or consultancy services.

Carrying out research work, in areas in which the parent company is engaged.

Promoting technical or financial collaborations between Indian companies and parent Or Overseas group company.

Representing the parent company in India and acting as buying / selling agent in India.

Rendering services in information technology and development of software in India.

Rendering technical support to the products supplied by parent/group companies.

Foreign airline / shipping company.

Documents Required for opening Branch Office in India

Form FNC 1 (Three copies)

Letter of authority from the parent company.

Certificate of Incorporation

MOA/AOA of Parent Company

Financial statements of parent Company

KYC of Authorized persons

Bankers Certificate

Bank Account Opening Resolution

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Procedure for Opening Foreign Company Branch office in India


RBI approval Clearance

The Primary step is to apply with the RBI for licensing and the approval must be provided by the Foreign Exchange Department in order to legally set up a branch in India.

Submitting the
Track Record

The RBI needs to verify the previous records i.e Track record of the company in terms of what the company is doing and also the field records. The financial statements must also be submitted for verification.

Filing Form FNC

The FNC form has to submitted for acceptance where all the things are mentioned and accepted after its approval the branch office can be established legally in India.

Indian laws for Foreign Company Branch Office in India ?

  • A License must be obtained from the RBI.
  • The manufacturing part must have a sub-contact put forwarded.
  • The Branch must abide the corporate laws according to the Companies Act 2013.
  • The revenue must be dealt by the head office incase the Indian venture failed to induce profit into the company.
  • The company must provide its track record as a proof in order to open a branch in India.
  • It is registered as entity of the Main Company and is not treated as a separate company.

Mandatory requirements of Opening Foreign Company Branch office

The branch office should contain the same name as that of the parent company.

The profitable records must be produced to start an Indian Branch.

The Net Worth certified by a Certified Accountant shall be not less then or equal to USD 100,000.

It would acting as an extension and no new business activities cannot be done unless sub-contact is made.

FAQ’s About Foreign company Branch office in India


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  • “With a proficient team of professionals, Unilex provides a ready solution for every business related problem and never compromises on the final quality of services provided”. Navnit Kachalia
    Chairman and Managing Director, Navnit Group of
    Companies, Mumbai

  • “Getting your work done through Unilex is surely giving it in safe hands. Without a second thought, get associated with them”.

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    Managing Director, Sudhir Life Sciences Pvt. Ltd.

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