What is Branch Office of a Foreign Company ?

Foreign Branch is a special purpose organization set up with the prior approval of Reserve Bank of India to operate as a Branch of a Foreign Organization in India. It can operate only in terms of the permission granted by the Reserve Bank of India and cannot operate as a Manufacturing Unit of the Foreign Parent company.

Eligibility for Registering Branch Office of a Foreign Company

  • Must receive specific approval from the Reserve Bank of India’s (RBI) Foreign Exchange Department to operate a Branch office in the country
  • Must have the same name as that of the foreign company
  • Must have a five-year record of profitable operations in the home country
  • Must have a minimum net worth of US$ 100000 verified by the most recent audited balance sheet or account statement
  • The Profit of the branch office is allowed to be remitted to its parent company after remittance of all applicable taxes in India. Income tax is 40% plus a surcharge.

Key Features & Benefits of Branch Office of a Foreign Company

Process for Registering Branch Office of a Foreign Company

[cool-process category=”subsidiary-company” type=”vertical-process” show-posts=”6″ icon-size=”50px” choose-color=”#7eb642 ” autoplay=”false” content=”summary” content-length=”” read-more-button=”yes” read-more-text=””]

Documents Required for Registering Branch Office of a Foreign Company

Following documents are required for registering Branch Office:

  • 2 Copies of Certificate of Incorporation / Registration (notarized and attested by Indian Embassy) (One copy each for RBI & ROC). If it is in a language other than English then Translation of the same notarized and attested by Indian Embassy is required.
  • 2 Copies of Memorandum & Articles of Association (English Translation) notarized and attested by Indian Embassy
  • Details of Last Three Years Import Into / Export From India (On letterhead, signed with a stamp, five copies)
  • Latest 5 years Audited Balance Sheet (English translation) notarized/attested by Indian Embassy
  • Details of Authorized representatives.
  • Details of existing Indian Clients, if any
  • Details of products/services to be rendered in India by the parent company. Also, provide some literature like brochures/catalogues of products and literature on the company, if any. Indian regulators (RBI) love this literature and it helps in getting the process completed speedily
  • Regulatory and legal Forms/ documents.
  • Details of Activities to be undertaken in India in case of the Branch office.
  • Proof of Registered Address.