How long does online company registration in India take?

Online company registration in India usually takes around 7 to 10 working days, depending on document readiness, name approval, and MCA processing timelines.

Can NRIs own 100 percent of an Indian company?

Yes, in most sectors permitted under the automatic route, NRIs can hold 100 percent ownership in an Indian company without prior government approval.

Do foreign companies need to visit India for registration?

No, a physical visit to India is not required. The entire company registration process can be completed online using digital signatures and electronic filings.

What is the best structure for foreign companies in India?

A Wholly Owned Subsidiary is generally the best structure for foreign companies planning full-scale operations, hiring employees, and long-term expansion in India.

Is GST mandatory for online company registration in India?

GST registration is mandatory only when the business turnover crosses the prescribed threshold or when the company undertakes interstate or taxable supplies.

What is the minimum capital required to register a company in India?

There is no minimum capital requirement for company registration in India. A company can be incorporated with any reasonable authorized capital.

Can one person start a company in India?

Yes, a single individual can start a company in India by registering a One Person Company (OPC), which is designed for solo entrepreneurs.

What compliances are required after company incorporation?

Post incorporation compliances include maintaining books of accounts, filing GST returns if applicable, submitting income tax returns, and completing annual ROC filings.

Online Company Registration in India

Introduction

Online Company Registration in India has become extremely simple today. With the new MCA V3 portal, automated PAN and TAN generation, digital verification and seamless approvals, starting a business in India is now a smooth and fully online experience. You do not need paperwork or physical visits because the entire process is digital and streamlined. When you register a company in India, you are creating a legally recognized business under the Companies Act 2013. This gives your company its own legal identity, protects you through limited liability, improves business credibility and makes it easier to attract investors.

India is quickly becoming one of the most attractive destinations for entrepreneurs around the world. A consumer base of over 1.4 billion people, rapid digital adoption, a strong start-up ecosystem and transparent regulations have made India a business-friendly market. This supportive environment has encouraged more NRIs and international companies to explore starting a business in India and understand different Types of Companies in India before choosing the right structure.

The country has also simplified foreign investment through clear FDI routes. The Automatic Route allows foreign investment in most sectors without government approval. The Government Route applies only to a few restricted sectors where approval is required. Along with this, India’s ease of doing business is improving consistently due to digitized systems, faster approvals, online compliance filing and integrated platforms like MCA V3.

NRIs and foreign companies can open businesses in India with 100 percent ownership in most sectors.Read moreRead less

Why Register a Company in India?

With Online Company Registration in India becoming fully digital and effortless, more entrepreneurs, NRIs, and foreign companies are starting a business in India. The upgraded MCA V3 system and faster approvals make it easier than ever to register a company in India.

Access to a Massive Consumer Market:
India offers one of the world’s largest and fastest-growing consumer ecosystems. From technology and retail to manufacturing and services, companies gain access to diverse markets and expand purchasing power.
100% FDI Allowed in Most Sectors:
Most industries, including manufacturing, consulting, SaaS, ecommerce (marketplace model), trading, and services, allow full ownership by NRIs and foreign companies.
Limited Liability Protection:
Founders’ personal assets remain protected. The company is liable only to the extent of its share capital
Tax Benefits and Incentives:
Startups registered under Startup India enjoy tax exemptions. Manufacturing companies and Section 8 NGOs receive special benefits, subsidies, and deductions.
Easy Repatriation:
NRIs and foreign shareholders can repatriate profits, dividends, and capital gains under FEMA guidelines.

Types of Company Structures in India

When founders explore Online Company Registration in India, understanding the different Types of Companies in India helps them choose the best option for growth, compliance, and long-term strategy. This also helps estimate possible Company Registration Fees in India for each structure.

Private Limited Company

The most preferred structure for funding, technology, startups and scale-oriented businesses. It allows equity issuance, ESOPs, investor onboarding and strong governance, making it ideal for companies aiming to scale when you plan to register a company in India.

Public Limited Company

Suitable for businesses planning large fundraising, public investment or a future stock-market listing.

Limited Liability Partnership

Ideal for consulting firms and professional service providers who prefer low compliance and flexibility, though fundraising options remain limited.

One Person Company

A good choice for solo founders who want a corporate structure without needing multiple directors. Works well for small and growing ventures.

Sole Proprietorship

Simple, quick and cost-effective to start, but offers no limited liability protection. Best for freelancers, traders and micro-businesses.

Section 8 Company

A structure created for NGOs and organizations focused on charitable, social, cultural or educational activities, where impact matters more than profit. This structure is often preferred by people exploring Online Company Registration in India.

Foreign Company Structures

When foreign companies explore market entry options, understanding the right structure becomes essential, especially with Online Company Registration in India making the process smoother and more accessible than ever.

Wholly Owned Subsidiary (WOS)

A private limited company fully owned by a foreign entity. It is the top choice for international companies that want complete control while expanding into India.

Joint Venture

A partnership between an Indian company and a foreign company where both share equity, resources and expertise. Ideal for businesses that benefit from local collaboration.

Liaison Office

A representative office that acts as a communication bridge. It cannot earn revenue or conduct commercial activities but helps foreign companies study the market before starting a business in India through a larger setup.

Branch Office

Allows foreign companies to conduct income-generating operations such as consultancy, research and import or export activities.

Project Office

Set up specifically to execute a particular project awarded to a foreign company and remains active only until the project is completed.

These structures offer foreign investors a clear path to enter and operate in the Indian market, especially for those exploring Online Company Registration in India.

Confused About Your Business Structure?

Confused about which business structure suits you best? Consult our experts for end-to-end guidance and the right solution.

Which Business Structure Is Best for NRIs & Foreign Companies?

Choosing the right structure is one of the most important decisions for global founders, especially now that Online Company Registration in India has made the entire setup process faster and more accessible for NRIs and foreign companies.

For NRIs:
A Private Limited Company is usually the best fit because it offers complete control, 100 percent ownership and smooth capital repatriation under FEMA rules.

For Foreign Companies:
A Wholly Owned Subsidiary is ideal for long-term operations, hiring employees, signing contracts and running full-scale business activities in India.

For Companies Testing the Market:
A Liaison Office works well when your initial intention is to study the market, build relationships or coordinate communication without generating revenue.

For NGOs Receiving Foreign Funds:
A Section 8 Company combined with FCRA registration is the most compliant and transparent structure for social impact organizations.

Best Business Structures in India

When you are exploring how to start a business in India, then choosing the right business structure is one of the most important decisions because it affects liability, compliance, taxation and foreign investment options.

Structure	Suitable For	Liability	FDI Allowed	Compliance
Private Limited	Startups, SMEs, NRIs	Limited	Yes	Medium
LLP	Consultants, service sector	Limited	Yes (sector-wise)	Low
OPC	Solo founders	Limited	No	Low
Partnership	Small traditional businesses	Unlimited	No	Low
Sole Proprietorship	Freelancers, small traders	Unlimited	No	Very Low
Section 8 Company	NGOs & social impact	Limited	Yes (with FCRA)	Medium
Wholly Owned Subsidiary	Foreign companies	Limited	Yes	Medium
Liaison Office	Market research	Not allowed	Yes	High
Branch Office	Export/import, consulting	Limited	Yes	High

Top Benefits of Online Company Registration in India

If you want to know how to start a business in India, then start by choosing a business structure, it’s important to understand how registration strengthens your credibility, financial opportunities, and long-term growth. Below are the core benefits every founder should know when going for Online Company Registration in India.

Strong Business Credibility:

A registered company immediately appears more professional and trustworthy to clients, suppliers, banks, and partners. It signals that the business follows a formal structure with legal accountability, which greatly improves acceptance in both B2B and corporate environments.

Limited Liability Protection:

Incorporation creates a separate legal identity for the business. This protects founders’ personal assets from business risks, ensuring that liabilities, debts, or legal claims are restricted only to the company’s assets, not the promoters.

Access to Funding and ESOP Options:

Only registered companies can issue shares, bring in investors, or offer ESOPs to employees. This is a major advantage for businesses looking to scale, as Company Incorporation in India is the minimum requirement for attracting angel investors, VCs, or strategic partners.

Startup India Eligibility and Tax Incentives

Registered companies can apply for Startup India recognition, which provides tax exemptions, funding access, relaxed compliance, and credibility in the startup ecosystem. These benefits are not available to unregistered or informal businesses.

Instant PAN, TAN, GST and Corporate Bank Account

Once the company is incorporated, PAN, TAN and GST (if applied) are issued instantly. A corporate bank account can also be opened immediately, enabling smooth financial operations from day one without separate paperwork.

Suitable for NRI and Foreign Ownership

Most sectors in India permit 100% ownership by NRIs and foreign investors. A registered company provides a compliant structure for global founders to invest, operate, and repatriate profits easily under FEMA regulations.

Easy Multi-State Expansion

A registered company can operate in any state, open branches, appoint teams, and expand nationwide without restrictions. This flexibility is a key advantage for companies planning long-term growth across India.

Higher Global Investor and Client Confidence

International clients, overseas partners, and global investors prefer working with formally incorporated entities. Registration enhances transparency, governance, and brand value, making your business more competitive globally.

Industry-Specific Guidance

Different industries have different regulatory, licensing, and compliance needs. A registered company enjoys smoother approvals for industry-specific requirements such as FSSAI (food businesses), GST & e-commerce onboarding (online sellers), trade licenses (retail and manufacturing), ISO certification (quality-focused companies), and MSME registration (small businesses).

Step-by-Step Company Registration Process in India

Getting started with Online Company Registration in India is now a smooth and fully digital experience, but understanding the step-by-step flow helps founders, NRIs and foreign companies move through the process confidently and without delays, especially when starting a business in India for the first time. Below is the complete Company Registration Process in India, which simplifies the entire journey and avoids unnecessary mistakes and delays.

Digital Signature Certificate

The first step in the Company Registration Process in India is obtaining a Digital Signature Certificate for each proposed director. Because the entire system now runs digitally through MCA V3, a DSC is essential for signing forms online. Without this, the application for Company Registration in India cannot move ahead.Read moreRead less

Director Identification Number

After the DSC is ready, the Director Identification Number is generated during the SPICe+ filing. DIN allows the Ministry of Corporate Affairs to verify and record a director’s identity across all companies. It is a mandatory step for anyone planning to register a Company in India and ensures long-term compliance and transparency.Read moreRead less

Name Approval via SPICe+ Part A

The next step is applying for name approval, which is important when you are starting a business in India. The proposed name must be unique, legally compliant, and not similar to any existing business or trademark. A properly selected name helps avoid delays and allows the incorporation to proceed smoothly toward full approval under MCA rules.Read moreRead less

Drafting MOA & AOA

Once the name is approved, the Memorandum of Association and Articles of Association are drafted. These documents outline the company’s objectives, structure, and internal rules. They form the legal base for Company Incorporation in India and help define how the business will function in the long run.Read moreRead less

Filing SPICe+ Part B

SPICe+ Part B is the main filing stage of online company registration in India, where all information, including MOA, AOA, director details, registered office proof, PAN, TAN, GST, and statutory registrations, is submitted together. Accuracy here is crucial, as mistakes can cause resubmission or queries, which may extend timelines and increase overall effort.Read moreRead less

ROC Review & Approval

After filing, the Registrar of Companies reviews the documents and checks compliance under the Companies Act. If everything is correct, approval is granted; otherwise, a clarification request is raised. ROC review ensures the proposed structure matches MCA requirements and aligns with permitted Types of Companies in India.Read moreRead less

Certificate of Incorporation Issued

Once approved, the Certificate of Incorporation (COI) is issued along with the Corporate Identification Number (CIN). This document officially confirms that the company is legally formed and can now operate, enter into contracts, and open its bank account. At this stage, the process of registering a Company in India is considered complete.Read moreRead less

PAN, TAN & GST Issued Automatically

Following incorporation, PAN and TAN are automatically generated, and GST is issued if it was requested. EPFO and ESIC registrations are also activated, and the company’s current bank account is set up. This integrated process reduces multiple follow-up steps and helps founders begin operations without delay.Read moreRead less

Documents Required for Online Company Registration in India

Getting your paperwork in place is the first real step toward Online Company Registration in India, and it can save you days of back-and-forth with the MCA. Below is a complete, expanded list of documents you need, depending on whether you’re an Indian director, an NRI director, or a foreign company planning to invest.

For Indian Directors

These documents help verify your identity instantly on the MCA portal during company registration online. To complete the digital KYC and identity verification, Indian directors must provide:Read moreRead less

PAN Card – Acts as the primary ID proof and is mandatory for DIN & DSC.
Aadhaar Card – Used for Aadhaar-based OTP verification.
Residential Address Proof – Recent electricity bill, water bill, gas bill or bank statement (not older than 2 months).
Passport-Size Photograph – Clear, recent photo with a plain background.
Active Mobile Number & Email ID – Required for all OTPs, DSC issuance and MCA communication.

For NRI Directors

These extra authentication steps ensure smooth processing for NRIs opting for LLP registration online or company formation. NRIs need a slightly more detailed set of documents because they must be authenticated for use in India: Read moreRead less

Valid Passport – Mandatory and must show full name, nationality and date of birth.
Overseas Address Proof (Notarized/Apostilled) – Utility bill, driving licence, bank statement, etc.
OCI/PIO Card OR Valid Indian Business Visa – Proof of eligibility to become a director/shareholder.
Recent Photograph – Clean background, high clarity to avoid DSC rejection.
Active Email & Phone Number – For digital signature, OTPs and MCA updates.

For Foreign Companies:

These documents must be notarized, apostilled or consularized (based on the country). These are essential compliance requirements for anyone starting a business in India through a foreign subsidiary or investment route. If a foreign entity is investing or forming a subsidiary in India, these documents are mandatory:Read moreRead less

Certificate of Incorporation – Proves the legal existence of the parent company.
Charter Documents – MOA & AOA or equivalent documents.
Board Resolution Approving Investment – Authorizes the decision to form or invest in the Indian company.
KYC of Authorized Signatory – Passport, ID proof and address proof of the person signing documents.
Shareholding Structure – Shows ownership, control and percentage of share distribution.

FDI & FEMA Rules for NRIs & Foreign Companies

Suppose you plan to online company registration in India as an NRI or foreign investor. In that case, FEMA compliance becomes a core part of Company Incorporation in India, especially when issuing shares or receiving foreign investment.

FDI Routes:

Automatic Route – Enables foreign companies and NRIs to invest without prior approval, facilitating smooth market entry for those planning to register a company in India and commence operations promptly.

Government Route – Required for sensitive sectors like defence, telecom, and print media, where government approval is mandatory.

Capital Investment Methods:

Equity Shares – Standard shareholding structure used for most foreign investments.
CCPS – Preference shares that convert into equity as per FEMA guidelines.
CCD – Debentures that convert into equity and are widely used for structured FDI.

Repatriation Rules:

1. Foreign shareholders can freely send dividends abroad.
2. Capital gains repatriation is allowed after payment of taxes.
3. Valuation must strictly follow FEMA and RBI standards.
4. FC-GPR filing is mandatory when issuing shares to foreign investors.
5. An annual FLA Return is required for any company that has received foreign investment.Read moreRead less

Need Help with Documents & Compliance?

Our specialists guide NRIs and foreign investors through every step, from paperwork to approvals, with complete legal clarity.

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Compliance After Online Company Registration in India

After completing Online Company Registration in India, you must follow a few essential compliances to keep your business active, legal, and credible.

Mandatory Compliances:

Open a current bank account – Used for all official business transactions.
Maintain proper accounting records – Tracks income, expenses, and financial accuracy.
Apply for GST (if required) – Mandatory once you cross the GST turnover limit.
File annual Income Tax Return – Annual income tax return is mandatory – Must be filed every year, even with zero profit.
Submit ROC filings (AOC-4 & MGT-7) – Annual financial and compliance reports to MCA.
Appoint a statutory auditor – Required within 30 days of incorporation.
Maintain statutory registers – Includes director, member, and share registers.

Additional Compliances:

MSME registration – Helps you access subsidies and government schemes.
Trademark registration – Protects your company name and logo.
Shops & Establishment registration – Mandatory for offices and workplaces.
FEMA filings for foreign investment – Required if funds are received from overseas.
ESIC & EPFO registration – Needed once you start hiring employees.

These compliances become especially important for anyone starting a business in India, as they ensure smooth operations and help you calculate total Company Registration Fees in India more accurately based on future obligations.

Common Mistakes to Avoid While Registering a Company in India

Starting a business is exciting, but even small mistakes can slow down the entire process, especially now that online company registration in India has become quicker and more structured. Here are the most common errors founders make when they try to register a company in India, along with how to avoid them.

Choosing the Wrong Business Structure:
Many founders, especially those starting a business in India, rush the decision without understanding compliance, ownership rules, taxation, or fundraising limitations. Picking the wrong structure can affect future investments, profit distribution, and even international expansion.
Selecting a Name That Gets Rejected:
A lot of applicants choose names that sound similar to existing brands or violate MCA naming guidelines. This leads to repeated rejections and delays. Always ensure the name is unique, compliant, and available before applying.
Incorrect Documents or Address Proof:
Using outdated documents, mismatched signatures, or non-valid address proofs is one of the most common reasons for delays. Make sure all KYC documents are updated, clear, and in the required format.
Not Understanding Director Requirements:
Some founders forget that at least one director must be an Indian resident for certain structures. Misunderstanding this rule can lead to rework, especially for NRIs and foreign companies.
Ignoring Ownership & FEMA Rules:
If NRIs or foreign nationals are involved, FEMA rules apply. Many founders proceed without reviewing sector-wise restrictions, which can create major compliance issues later.
Misjudging Tax & Compliance Obligations:
Each structure ( Pvt Ltd, LLP, OPC, or Section 8 ) comes with different tax benefits and compliance responsibilities. Choosing without proper guidance may lead to higher costs or penalties down the line.
Using a Residential Property Without NOC:
Registering a company at a residential address is allowed, but many forget to obtain a No-Objection Certificate (NOC) from the property owner. Without it, the application may get rejected.

Why Taxlegit for Company Registration in India?

Choosing Taxlegit gives you a smooth and stress-free experience when completing online company registration in India. Our experts also guide you through every step of the Company Registration Process in India, making it simple even for first-time entrepreneurs who want to register a company in India.

Why Businesses Prefer Taxlegit

We take care of the entire incorporation process, so starting your business feels simple and stress-free.

A specialized NRI and foreign company desk to assist with cross-border business setup.

Strong expertise in FEMA, FDI rules, and international structuring for foreign investors.

More than 3,500 successful company registrations across multiple industries.

Transparent and upfront pricing with no hidden charges or delays.

Accurate documentation and filing support to prevent rejections on the MCA portal.

Dedicated post-incorporation services such as accounting, GST, ROC compliance, payroll, and FEMA filings.

Trusted by startups, SMEs, NGOs, NRIs, foreign subsidiaries, and global enterprises

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