How does a foreign company set up a subsidiary in India?

Short answerA foreign company sets up an Indian subsidiary by incorporating a Private Limited company in India with the foreign company (and/or individuals) as shareholders. At least one director must be resident in India, the share pricing must follow FEMA, and the investment is reported to the RBI via Form FC-GPR.

Incorporate an Indian Pvt Ltd

Standard SPICe+ incorporation, with the foreign parent as shareholder.

Resident director + FEMA/FC-GPR

One India-resident director, FEMA-compliant pricing, and FC-GPR reporting. Our India-entry service handles it.

Talk to CA Vijay R Singh

Setting up an Indian subsidiary? You can message him directly, or book a short call to talk through your situation.

This answer is general information for NRIs, not tax advice. Tax rates, thresholds and forms change with each Finance Act — please confirm the current position for your own facts, or speak to us, before acting.

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