Hello, I have to find this information on an urgent basis. Please help me. Suppose a foreigner, for example, a Korean person, wants to open an overseas recruitment consultancy in India. Does he need to do it with an Indian partner and share profits, or can he solely open and own the profits? I mean, can't he take the profit of his business unless he does the business with an Indian partner sharing profits with him? What does Indian law say about this? Please give me confirmed information.
From India, Mumbai
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2From India, Mumbai
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Hi,
A foreigner does NOT need an Indian partner. As long as ALL taxes are paid, any profits can be repatriated to the parent company overseas. However, an Indian partner is usually required to ensure the business is, on a day-to-day basis, running smoothly, without the foreigner having to make numerous trips to India. An Indian partner should have invested some money in the business; this will ensure that the Indian partner has a vested interest in the success of the business. This is purely a commercial and logistical issue and entirely separate from profits. Repatriation of profits is also governed by the exchange rate; sometimes it might be more prudent to retain the profits in India. It is essential that the partnership agreement is watertight; I, therefore, urge you to seek professional legal assistance in this matter.
I hope the above helps.
Regards,
Harsh
From United Kingdom, Barrow
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A foreigner does NOT need an Indian partner. As long as ALL taxes are paid, any profits can be repatriated to the parent company overseas. However, an Indian partner is usually required to ensure the business is, on a day-to-day basis, running smoothly, without the foreigner having to make numerous trips to India. An Indian partner should have invested some money in the business; this will ensure that the Indian partner has a vested interest in the success of the business. This is purely a commercial and logistical issue and entirely separate from profits. Repatriation of profits is also governed by the exchange rate; sometimes it might be more prudent to retain the profits in India. It is essential that the partnership agreement is watertight; I, therefore, urge you to seek professional legal assistance in this matter.
I hope the above helps.
Regards,
Harsh
From United Kingdom, Barrow
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Swati U have asked a book of answers question.any way -He can run solely as "Foreign Company", without indian partner also. -For taxation some procedures has to followed.
From India, Chennai
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From India, Chennai
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We are now collaborating with a Sri Lankan company. A foreign company can do business on its own with its set of directors. From an operational standpoint, an Indian is required because knowledge of how things work in India can be best understood, and actions can be taken appropriately. If you are an Indian partner, appropriate discussions need to be done and agreed upon in terms of responsibility, profit sharing, decision making, etc.
From India, Madras
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From India, Madras
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