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Formation of a company

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05 June 2012 Dear Experts,

We need to register a company… The background is as under;

1. Actually there is a company already in existence in USA.

2. They are into servicing customers of IBM for two of IBM products.

3. The service is for installing and redressal of queries by the customers…..

4. For this purpose, the company wants to hire people in India and train them.

What will be better, a branch office of the foreign LLC or an Indian company registered. Please suggest..

Thanks & Regards
Srikar Kumar




05 June 2012 It will be better if the company will make a subsidiary in india and charge for its services from H.O.. If you open a branch office then it will be confusing to identify the income of branch

05 June 2012 It will be better if the company will make a subsidiary in india and charge for its services from H.O.. If you open a branch office then it will be confusing to identify the income of branch


06 June 2012 Thanks Anand ji,

Could u pls tell me whether creating a subsidiary of a foreign company is same as creating a new indian comany or is there any other procedure / formalities needs to be adhere..

06 June 2012 Thanks Anand ji,

Could u pls tell me whether creating a subsidiary of a foreign company is same as creating a new indian comany or is there any other procedure / formalities needs to be adhere..

06 June 2012 yes , you have to check fema regulation , but the company registration proceedure will be same like name approval, etc. Some additional documents required.



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