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Entry India Strategies

Being the most populated country in the world with a 1.42 billion population, India has a massive and growing consumer market, offering significant opportunities for businesses to tap into diverse consumer preferences and needs. India has consistently maintained a steady rate of economic growth over the years making it an attractive market for investment and business expansion. India has a large pool of skilled professionals in various fields, including engineering, medicine, finance, and management, making it an attractive location for knowledge-based industries. With an aim to improve the ease of doing business, attract foreign investment & stimulate economic growth, the Indian Government has been massively investing in Infrastructure, transportation & logistics. India also has a well established banking & financial sector which offers safe and secure financial services to help businesses grow. Bangalore being the silicon valley of India is a global hub for IT & software services, offering a highly skilled & cost-effective workforce. It is a leader in software development, business process outsourcing (BPO), and IT-enabled services. It is home to numerous IT companies, including multinational corporations, startups and research and development centres. The city has a vibrant startup ecosystem, supported by various incubators, accelerators, and funding opportunities. Bangalore has been a hotbed for tech startups, creating a culture of innovation and entrepreneurship. The city offers modern business infrastructure, including office spaces, co-working facilities and technology parks, catering to the needs of diverse industries. Bangalore has excellent international and domestic connectivity through its well-connected airport and railway network, making it convenient for business travel and trade.

Routes to start business in India

There are various ways in which you can start business in India. Usually preferred methods are Private Limited Company (PLC) or Limited Liability Partnership (LLP). A Private Limited Company needs to be registered under the provisions of the Companies Act, 2013. The PLC has advantage in tapping into funding and allocability of shares to the investors, however, it has elaborate legal & regulatory compliance requirements. A Limited Liability partnership (LLP) offers limited liability for partners while allowing flexibility in management. It is suitable for service based businesses. Its registration cost is lesser compared to the PLC. LLPs enjoy many more tax benefits. Thus, starting a LLP is more profitable than the PLC.

Taxes - The inevitable part of life

  • The Business Income attributable to India shall be taxed in India
  • The Companies are taxable at 25% on the profit earned by them.
  • The Companies which are into Manufacturing activity will be eligible to 15% Corporate Tax.
  • LLP’s are need to pay Corporate Tax at  30% on the Profit earned by them. 
  • Profit available after paying taxes can be freely withdrawn by its partners without paying any taxes.
  • If companies/LLPSs are present in GIFT CITY, they enjoy various benefits like, Duty free import, exemption from GST, Enjoy single window clearance for central and state level approvals and exemption from Corporate Tax.
  • If the company is registered under startup India Initiative, it can avail tax holiday for 3 consecutive financial years out of its first ten years since incorporation under Section 80 IAC of  Income tax Act.

How BCL India can help you in the process of incorporation and Post Incorporation

We extend a warm and enthusiastic welcome to you as you embark on this exciting journey with BCL India. We believe that your decision to partner with us is the beginning of a remarkable collaboration and a pathway to mutual growth and success. We have 30+ years of combined experience in the field of startup consultations

BCL helps you by advising on the legal and regulatory requirements specific to your industry and business structure, ensuring compliance with Indian laws

We counsel you on the most suitable business structure based on your goals, ownership preferences, liability concerts and the nature of your business

We guide you in preparing and filing the necessary documents for business registration, licences, permits and approvals, saving you time and reducing the risk of errors

We assist you through the process of obtaining government approvals, if required, for foreign investment and specific business activities

We can assist with understanding the taxation system in India, including GST registration, compliance, and tax planning strategies

We can help you navigate intellectual property rights, including trademark registration, patent filing, and copyright protection

Frequently Asked Questions

What are the options to start a business in India?

To Start a business in India broadly there are two options they are Private Limited Company (PLC) & Limited Liability Partnership (LLP).

Can we set up our business anywhere in India or do we have any restrictions?

Yes, you can start a business anywhere in India. However, few locations such as Bangalore provide incentives, tax benefits & infrastructure support to attract foreign investments.

What are the considerations for hiring employees in India ?

Hiring involves complying with labour laws, drafting employment contracts and adhering to minimum wage and working condition regulations. Partnering with an expert like BCL India will make the Job easy for you.

Can I operate my business from a remote location outside India?

Yes, you may be able to operate your business from a remote location or from a home office outside India.

Do I Have to travel to India to open a Company and Open Bank account?

No, not required to travel to open a Company and Open Bank account.

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