Business Setup Outside India

1. Starting doing business outside India/foreign countries

Doing business outside India and expanding internationally is an important part of the market growth strategy of a company. It is driven by the goal of a business to expand its business activities across national boundaries and improve its competitiveness. When you as a commercial enterprise want to start the business outside India, not only does that country's legal conditions become relevant, but also quite a few of the Indian laws and regulatory conditions need to be taken into consideration.

The fundamental aspect of any company is to do business abroad and to grow internationally. Global economic growth is, in fact, a defining point and a matrix which rate any business ' success. Incorporating the overseas business or relocating the current company is quite a daunting activity that requires a clever combination of careful management preparation, logistics support, financial flows, specific territories, tax benefits, marketing policy information, etc.

Incorporating or registering a business abroad is one of the vital ways of managing global business. Outside India, business setup is an excellent approach for any business firm to extend its presence worldwide by leveraging its resources, manpower, technology and knowledge. A country that not only consistently ranks in terms of business ease but also provides full tax advantages is the best place for residents around the world to start a business.

Economic reforms opened up important avenues in India for Indian entrepreneurs to promote global business. The most critical piece of legislation was the Foreign Exchange Management Act (FEMA), which altered the overall foreign exchange outlook, especially those relating to foreign investment.

Indian companies need to invest directly outside India by way of a capital contribution or subscription to a foreign entity's Memorandum of Association, meaning a long-term interest in the overseas entity. This includes forming an overseas Joint Venture (JV) or Wholly Owned Subsidiary (WOS). All applications for grant of approval for the establishment of joint ventures/ wholly owned subsidiaries shall be made and processed by RBI in accordance with guidelines.

Under the ODI Indian organizations, it is possible to invest directly outside India either by contributing to the funds or by subscribing to the foreign entity's Memorandum of Agreement, because this means long-term investment in the foreign entity. In other sentences, there are fewer choices accessible through a Joint Venture (JV) or a wholly owned subsidiary (WOS)A JV, which means a foreign business formed, registered or incorporated in a foreign company in accordance with the that country's rules and regulations and where an Indian organization has decided to make an investment. In a WOS scenario an Indian individual owns the entire capital.

Legal Entities permitted to make investments :

  • Company incorporated in India
  • Body created under an Act of Parliament (NTPC, Airport Authority of India)
  • Partnership registered under the Partnership Act, 1932
  • (and no, LLP or an individual is not permitted. See below for exceptions)

Legal entities permitted to open overseas branches

  • A firm
  • A company
  • Body corporate registered and incorporated in India
  • Proprietary concern

Entry routes for doing business Abroad

Automatic Route

Under it's Automatic Route, an Indian Party does not require prior approval from the Reserve Bank of India for the establishment of a JV / WOS overseas (except for investments in the finance industry in which prior approval is needed from the regulatory authority involved, both in India and abroad).

Normal Route

Plans not covered by the Automatic Route conditions require the prior approval of the Reserve Bank of India(RBI) for which a particular application is needed to be submitted to the Overseas Investment Division within the Reserve Bank of India's Foreign Exchange Division, along with all the documentation specified herein.

Rajput Jain & Associates Charted Accountants offer all its foreign customers with a 'one stop solution' behind a single platform to make a smooth expansion of customer's business. The company has expert panels with several years of experience in a particular fields and provides tailor-made business training services.


  • Fast Delivery: Our services are designed to incorporate your company in the easiest and fastest possible way.
  • Considerably larger value for business: We only have services that can add great value to an organization and make sure you get the best.
  • Reliability: We maintain transparent business transitions, which are derived from years of experience.
  • Help round the clock: We 're just there for our clients. You are in safe hands. Rest assured.


Team of Highly Qualified Consultants (CA, CS, Finance Experts) having more than 17 years of experience in the relevant field

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Basic Overview and reply on the Query (Over call and written response)
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Overview of Query, along with Specific Consultancy
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Query Specific Consultancy, along with comprehensive written response to all the queries
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(upto 90 days period)

Rs. 25,000/-

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Rajput Jain & Associates

India's Largest Business Services Platform

Rajput Jain and Associates is the largest online service platform in India which provides easy solutions in starting their new business at affordable cost. We aim at helping the entrepreneurs at every legal and regulatory step. We stay as your partner during entire business cycle and ensure that the business keeps prospering and remains complaint.

Rajput Jain and Associates is a network of experienced chartered accountants, lawyers, company secretaries, cost accountants, financial experts, expert bankers all over India to provide the needed services for small and medium size enterprises.

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AITC (Association of International Tax Consultants)

We are the exclusive member in India of the Association of International Tax Consultants, an association of independent professional firms represented throughout Europe, US, Canada, South Africa, Australia and Asia.


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  • Thank you very much for all your help in setting up my new company and clearing up all outstanding business in my sole trader accounts. For the first time in years I have peace of mind regards my business accounts. Your workforce are a credit to you, the girls at reception are so helpful and Chris has been brilliant. It is very much appreciated.

    A US consultancy group

  • Rajput Jain & Associates. are a tremendous value added to me as an executive and a busy parent. It just makes sense to delegate my tax file to them -- they are proactive, extremely service oriented, and most importantly, I am completely confident they are finding every dollar of tax savings available to me.

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  • We use Rajput Jain & Associates for all our accounting, Corporation tax, VAT and other compliance needs. The service is professional, courteous and prompt. I would recommend Rajput Jain & Associates to any company requiring a comprehensive accounting and tax service.

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Rajput Jain & Associates

Add: P-60, Connaught Circus, Connaught Place, New Delhi-110001


Phone: 9555555480

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