Establishing a Branch Office in India

Professional Advisory by Shiromani Associates – Chartered Accountants


 

Branch Office in India acts as an extension of a foreign parent company, enabling the business to establish a physical presence and conduct commercial activities in the Indian market. Unlike a subsidiary, a branch office is not a separate legal entity—it operates under the name and authority of the parent company.

This model is ideal for foreign companies seeking to:

  • Represent their global brand in India

  • Explore and expand into the Indian market

  • Provide technical or consultancy services

  • Promote export/import operations

  • Conduct research or liaison activities


Step-by-Step Process for Setting Up a Branch Office in India

At Shiromani Associates, we ensure a smooth, compliant, and timely process for establishing a foreign branch office under Indian regulations.


Step 1: Approval from Reserve Bank of India (RBI)

The first step involves obtaining prior approval from the RBI under the Foreign Exchange Management Act (FEMA), 1999.
Applications are made via an Authorized Dealer (bank) using the Form FNC (Application for Establishing Branch/Liaison/Project Office in India).


Step 2: Registration with Registrar of Companies (ROC)

Once RBI approval is received, the foreign company must register the branch office with the Ministry of Corporate Affairs (MCA) by filing Form FC-1 within 30 days of RBI approval.


Step 3: PAN, TAN & Other Regulatory Registrations

The branch office must obtain:

  • PAN (Permanent Account Number)

  • TAN (Tax Deduction and Collection Account Number)

  • GST Registration (if applicable, based on business activities)
    Additional state or local registrations may be required depending on the nature and location of the business.


Documents Required for Branch Office Registration

To initiate the setup, the following documents are required:

  • Certificate of Incorporation / Registration of the parent company

  • Memorandum and Articles of Association (translated to English, if originally in another language)

  • Power of Attorney authorizing a resident Indian representative

  • Latest Audited Financial Statements and Annual Report of the parent company

  • Banker’s Certificate confirming the financial credibility of the parent company

  • Passport-size Photograph of the authorized Indian representative

  • PAN Card of the Parent Company

Note: All foreign documents must be notarized and apostilled (or consularized, if applicable) as per Indian legal requirements.


Why Choose Shiromani Associates?

As experienced Chartered Accountants and business advisors, Shiromani Associates offers:

  •  Expert Consultation on FEMA, RBI, and Companies Act compliance

  •  End-to-End Assistance from RBI approval to local registrations

  •  Coordination with Authorized Dealers (AD Banks) for FNC applications

  •  Timely documentation, filing, and liaison with government bodies

  •  Ongoing advisory for taxation, accounting, and regulatory compliance

Expert Consultation