CAN ANY ONE TELL WHAT IS THE PROCEDURE TO BE FOLLOWED FOR FORMING A COMPANY IF TWO DIRECTORS ARE FOREIGN NATIONALS, HAVING SOFTWARE RELATED BUSINESS ??
5 Replies
Nagendra
(Company Secretary)
(46 Points)
Replied 11 February 2012
Foreigner can be a director in Indian Company and there is no Bar. But When applying for Din of the foreigners, one should keep in mind that every document is notarized in thier respective Country. Incase if they want to invest in indian Company then they have to check with FDI policy
pranjali
(article)
(32 Points)
Replied 13 February 2012
THE DIN NUMBER OF FOREIGN NATIONALS IS OBTAINED AS PER PRESCRIBED PROCEDURE. WHAT IS TO BE DONE NEXT IF THEY ARE DIRECTORS OF THE COMPANY WITH RESPECT TO MOA, AOA & OTHER FORMALITIES OF INCORPORATION?
jeets
(CS )
(461 Points)
Replied 13 February 2012
In respect to incorporation of a company, foreign directors have no major implications.
However if the share-holders are body corporate incorporated outside India, then there would be some changes in the incorporation procedure. Just for example...
- If the AOA and MOA are signed outside India, it should be apostilled and notarized.
- It would also be subject to RBI compliances under FEMA.
Finally, as per my understanding FDI in software is allowed upto 100%, please check before you proceed.
Dipjyoti Majumdar
(CA in service & CS. dipmaj@ rediffmail.com )
(3468 Points)
Replied 14 February 2012
It is better and easy to form a indian company with indian directors and shareholders, and, thereafter appoint foreign directors and transfer shares to non residents in line with FDI regulations.
pranjali
(article)
(32 Points)
Replied 14 February 2012
| Originally posted by : Dipjyoti Majumdar | ||
 |
It is better and easy to form a indian company with indian directors and shareholders, and, thereafter appoint foreign directors and transfer shares to non residents in line with FDI regulations. |
 |
Ya i agree but what are formalities to be done with respect to FEMA & FDI if foreign nationals are directors of the company since incorporation?
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