العربية• International Business Setup
The automatic route decides a lot, and a resident director is essential
India allows foreign investors to set up a wholly owned company in many sectors under the “automatic route”, while other sectors need prior government approval and some are closed to foreign investment. The Companies Act 2013 also requires a director resident in India on the board.
You deal with LegalIn alone, from Egypt. We handle the in-country steps through our network of offices there, so you do not need to engage another firm.
• Is this route for you?
- Companies that want operations, development or services in India.
- Investors targeting the Indian market.
- Egyptian companies that want a subsidiary or branch in India.
• Foreign ownership and investment regime
100% on the automatic route; approval or caps elsewhere
| Item | Details |
|---|---|
| Ownership | 100% in automatic-route sectors without prior approval; government approval in other sectors; caps in some (e.g. telecoms: 49% automatic, above that with approval) |
| Basis | The FDI Policy (DPIIT) and the Companies Act 2013; approvals through the FIFP portal |
| Prohibited | Lottery and gambling, chit funds and Nidhi companies, real estate business in the sense of trading in property, manufacturing cigars and cigarettes, and sectors closed to the private sector such as atomic energy |
| Resident director | A private company needs at least two directors, one resident in India, even with full ownership |
| Entry routes | An Indian subsidiary or joint venture, an LLP in 100% automatic-route sectors, or a liaison, branch or project office of your foreign company |
• How we handle the file
From Egypt to incorporation
- Identifying the sector route: automatic, government or closed.
- Choosing the entry route and arranging the resident director.
- Notarising foreign shareholders’ and directors’ documents with an apostille or legalisation.
- Registering with the Ministry of Corporate Affairs through SPICe+.
- Filing the declaration of commencement of business within 180 days of incorporation and before starting operations.
• Before we start
What we need to know
- Your exact activity, and who and where your customers are.
- The partners and their nationalities, and whether the investor is an individual or a company.
- Whether you need a physical office or staff in India.
- How the new entity relates to your company in Egypt, if any.
This tells us the route and the document list; documents vary with the activity and the partners’ nationalities.
• Common pitfalls
What can delay the file?
Starting before confirming the sector route: automatic, government or closed.
Not arranging the resident director before applying.
Foreign documents without an apostille or legalisation.
Starting operations before filing the declaration of commencement of business.
• FAQ
Questions we often hear before setting up in India
Can I own the company fully?
Yes, in 100% automatic-route sectors.
Must one director be Indian?
The requirement is residence in India, not nationality.
Do I need a firm in India?
No. You deal with LegalIn, and we coordinate with our network of offices there.
• Your next step
Considering India?
Send us your activity and partners’ details. We review the right route and get back to you on the next step.
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