What is a Subsidiary Company and How to register a Subsidiary Company in Bangalore?

Introduction

Bangalore is India’s fastest growing city. To establish a subsidiary company in Bangalore is a quick, simple, and online process. Bangalore is known as India’s investment capital and the hub for launching new companies and startups for any business idea. It is an excellent location not only for starting a new business but also for expanding existing ones. This article will provide a detailed understanding on the different types of business structure to register a subsidiary company in Bangalore, Benefits of registering a company in Bangalore, and “How to register a Subsidiary Company in Bangalore?”

Before learning about “How” let’s start with “What”, So let’s discuss first “What is a Subsidiary company?” and then “How to register a subsidiary company in Bangalore?”

What is a Subsidiary Company?

A subsidiary is a company that is owned or controlled by another company. The parent company will typically own more than 50% of the subsidiary company. This gives the parent company a controlling stake in the subsidiary. In some cases, simply being the majority shareholder is enough to gain control.

Basic information on forming a subsidiary or a company with foreign shareholders:

• Directors – A minimum of two directors are required, one of whom must be an Indian resident.
• Shareholders – A minimum of two shareholders are required, and both can be foreign nationals or foreign companies.
• Office Address – In India, it is mandatory to have an office address for company registration.

Benefits to register a Subsidiary Company in Bangalore

• It increases loyalty and credibility in regard to the company’s offerings.
• Bangalore is a business hub, and establishing a Private Limited Company in Bangalore is a sure bet.
• It lends credibility to the company when applying for funds from the market.
• Can easily apply for full legal benefits in the event of a third-party infringement or misuse.
• It enables the company to have dependable assets while performing domestic and international tasks.
• In Bangalore, it is simple to obtain seed funding or investment.

Different Business structure that can be opt by Subsidiary Company in Bangalore

• Private Limited Company
• LLP (Limited Liability Partnership)
• Public Limited Company
• Branch office and Liason office (only with the approval of RBI)

Documents required for Subsidiary company registration in Bangalore

• Board resolution from the subsidiary company to check the availability of the name and authorise representation.
• Notary/Attestation and embassy attestation of documents belonging to the foreign entity’s representative for DSC application.
• Indian director NOC address and identity proofs.
• Rent agreement, and utility bill of the registered office.

How to register a Subsidiary Company in Bangalore?

The same procedure is followed when establishing a subsidiary company in Bangalore as it is when establishing an Indian subsidiary. The applicant company must be aware of the steps that the authority requires in order to incorporate a company. The company must be registered with the Registrar of Companies.

• Choosing a structure to incorporate after consulting with a legal expert like Ebizfiling.
• Choosing a name for the company and registering the name.
• In addition, all directors and shareholders must apply for DSCs and DINs.
• Creating the necessary legal documents, such as the MOA and AOA.
• Furthermore, filing for incorporation with the Registrar of Companies using the SPICe+ application form.

Conclusion

Foreign businesses that want to set up subsidiary company in India can do so by forming a company and registering it with the Ministry of Corporate Affairs (MCA). By establishing a subsidiary company in Bangalore, a foreign company gains extensive exposure to the Indian market as well as access to a larger talent pool.