Opening a business

← All resources

Whether you want to set up in India or in the country where you live, this guide covers the main business structures, the steps to register, and the official places to go in India and in the countries with the largest Indian communities. It is written for people of Indian origin, including NRIs (Indian citizens living abroad) and OCI cardholders.

Jump to: India · United Kingdom · USA and Canada · UAE and the Gulf · Singapore, Malaysia, Australia and New Zealand · South Africa, Kenya, Uganda and Mauritius

Opening a business in India

Companies and LLPs in India are registered online with the Ministry of Corporate Affairs (MCA). Most of the process can be done from abroad, but some structures need a director or partner who is resident in India.

Choosing a structure

Steps to register a company

1. Get a Digital Signature Certificate (DSC) for each director and subscriber. You need one to sign the online forms. NRIs usually need their documents notarised or apostilled.
2. Reserve the name and incorporate with SPICe+, the MCA’s single online form. It covers the company name, incorporation, Director Identification Numbers (DIN), and the company’s PAN and TAN.
3. Register for other services through AGILE-PRO-S, filed with SPICe+: GST (if needed), employee provident fund (EPFO), state insurance (ESIC), professional tax in some states, and opening the company’s bank account.
4. Report foreign investment. If shares are issued to a non-resident on a repatriable basis, the company must report it to the RBI on the FIRMS portal (form FC-GPR) within 30 days of issuing the shares.
5. Start your yearly compliance: appointing an auditor, board meetings, annual returns with the MCA and income tax returns.

Investing as an NRI or OCI

• Most sectors are open to foreign direct investment (FDI) under the automatic route, with no government approval needed. Some sectors have limits or need approval. Invest India and DPIIT publish the current FDI policy.
• NRIs and OCI cardholders can also invest on a non-repatriation basis, which is treated like a domestic investment. The trade-off is that the money and profits can’t freely be sent back abroad.
• Fund your investment through proper banking channels, such as your NRE, NRO or FCNR account or an inward remittance, so it can be reported correctly. See our guide to money remittance.

Tax and other registrations

• GST: registration is generally required once yearly turnover passes ₹40 lakh for goods or ₹20 lakh for services (lower in some states), and for most interstate or online sales. Register on the GST portal.
• Income tax: companies and LLPs file yearly returns on the Income Tax e-filing portal.
• Startups: new businesses can apply for DPIIT recognition through Startup India for benefits such as easier compliance and some tax relief.
• Some activities also need licences, such as an Import Export Code (IEC) from the DGFT for import and export businesses, or FSSAI registration for food businesses.

Opening a business in the UK

• Most people set up a private limited company online with Companies House. It usually takes about a day, and the online fee is £100 (from 1 February 2026).
• Directors and people with significant control (PSCs) must verify their identity with Companies House. This can be done free through GOV.UK One Login, or through an authorised company formation agent.
• Register for Corporation Tax with HMRC, and for VAT once your taxable turnover passes the VAT threshold.
• Other options include sole trader (register for Self Assessment) and limited liability partnership. GOV.UK: set up a business explains each.

Opening a business in the USA and Canada

United States

• Businesses are formed at state level, not federally. Most founders choose a limited liability company (LLC) or a C corporation, filed with the Secretary of State of the state you choose. You don’t need to be a US citizen or resident, but you need a registered agent with an address in that state. Delaware is popular with investor-backed startups. SBA: register your business explains the options.
• Get an Employer Identification Number (EIN) from the IRS. It is free. If you have no US Social Security Number, you can apply with form SS-4 by fax, post or phone instead of online.
• Tax: federal corporate tax is 21%, and most states add their own. A single-member LLC owned by a non-US person must still file form 5472 with the IRS every year. Sales tax is set by each state, and there is no federal VAT.
• Beneficial ownership reporting: since FinCEN’s 2025 and 2026 rules, companies formed in the US no longer report their owners to FinCEN. Only companies formed outside the US and registered to do business in a state still have to.
• Opening a US bank account usually needs your EIN and formation documents, and many banks ask you to visit in person.

Canada

• You can incorporate federally with Corporations Canada, which protects your name across the country, or provincially with the province where you will do business. A federal company must also register in each province where it operates.
• Director residency: for a federal company, at least 25% of directors must be resident Canadians (at least one, if there are fewer than four directors). Several provinces, including Ontario and British Columbia, no longer have this rule, which is why non-residents often incorporate there.
• Get a Business Number from the Canada Revenue Agency, then register for GST/HST once your taxable sales pass $30,000 over four quarters. Canada.ca: starting a business covers each step.

Opening a business in the UAE and the Gulf

United Arab Emirates

• Mainland company: licensed by the economic department of each emirate (in Dubai, the Department of Economy and Tourism). It can trade anywhere in the UAE. 100% foreign ownership is allowed for most activities.
• Free zone company: set up in one of the UAE’s many free zones (such as DMCC, IFZA, Dubai South, RAKEZ or ADGM). Free zones offer 100% foreign ownership and quick setup, but some restrict trading directly with the UAE mainland.
• Corporate tax: 9% on taxable profits above AED 375,000 (0% below that), with special rules for qualifying free zone income. Register with the Federal Tax Authority. VAT is 5%.
• The government portal u.ae lists the official steps for each emirate.

Saudi Arabia

• Foreign investors register with the Ministry of Investment (MISA). Under the Investment Law in force since February 2025, this registration replaced the old MISA investment licence. 100% foreign ownership is allowed in most activities, but a short list of activities is restricted.
• The company then gets a commercial registration from the Ministry of Commerce, done online through the Saudi Business Center. A limited liability company (LLC) is the most common structure.
• Tax: the share of profits owned by non-GCC shareholders pays 20% corporate income tax, and the share owned by Saudi and GCC shareholders pays zakat (2.5%). VAT is 15%. Register with ZATCA.
• Companies that want government contracts generally need a regional headquarters in Saudi Arabia.

Qatar

• Mainland company: registered with the Ministry of Commerce and Industry through its Single Window. Since Law No. 1 of 2019, up to 100% foreign ownership is possible in most sectors, but it needs ministry approval. Otherwise a Qatari partner holds at least 51%.
• Other routes: the Qatar Financial Centre (QFC) for financial and professional services, and the Qatar Free Zones, both with 100% foreign ownership. Invest Qatar compares the options.
• Tax: 10% corporate income tax on the share of profits owned by non-Qatari, non-GCC shareholders, administered by the General Tax Authority. Qatar has no VAT yet.

Kuwait

• Under the standard rules, a company (usually a WLL, a limited liability company) needs a Kuwaiti partner holding at least 51%. Register through the Ministry of Commerce and Industry.
• 100% foreign ownership is possible with a licence from the Kuwait Direct Investment Promotion Authority (KDIPA) for approved activities. KDIPA licences can also come with tax and customs incentives.
• Tax: 15% corporate income tax on the share of profits owned by foreign (non-GCC) companies. Large multinational groups also pay a 15% minimum top-up tax. Kuwait has no VAT.

Oman

• Companies are registered online through Invest Easy, the business portal of the Ministry of Commerce, Industry and Investment Promotion. Foreign investors can now verify their identity and register from outside Oman.
• Since the Foreign Capital Investment Law (2019), 100% foreign ownership is allowed in most activities, and there is no minimum capital for most companies. Free zones such as Sohar, Salalah and Duqm offer extra incentives.
• Tax: 15% corporate income tax (3% for some small businesses) and 5% VAT, both with the Oman Tax Authority. A 5% personal income tax on high earners (above OMR 42,000 a year) starts in 2028.

Bahrain

• Register online for a commercial registration through Sijilat, the Ministry of Industry and Commerce portal. 100% foreign ownership is allowed for most activities.
• The Bahrain Economic Development Board helps foreign investors set up and can introduce you to banks and advisers.
• Tax: no general corporate income tax yet, except for oil and gas companies and a 15% minimum top-up tax for large multinational groups. A 10% corporate income tax was proposed in December 2025 and is expected from 2027 if approved. VAT is 10%.

Opening a business in Singapore, Malaysia, Australia and New Zealand

Singapore

• Most businesses are a private limited company (Pte Ltd), registered with ACRA through BizFile, usually within a day. If you live abroad, you must incorporate through a registered filing agent, such as a corporate service provider.
• You need at least one director who lives in Singapore (a citizen, permanent resident, or holder of an EntrePass or Employment Pass), a local registered address, and a company secretary within six months.
• Tax: 17% corporate tax with partial exemptions for smaller profits. Register for GST (9%) once taxable turnover passes S$1 million a year. See IRAS.

Malaysia

• A private limited company (Sdn Bhd) is registered with the Companies Commission of Malaysia (SSM) through MyCoID. It needs at least one director whose principal home is in Malaysia, and a company secretary licensed by SSM.
• Most sectors allow 100% foreign ownership, but some (such as distributive trade and some services) need extra licences or have limits. The Malaysian Investment Development Authority (MIDA) advises foreign investors.
• Tax: 24% corporate tax, with lower rates on the first part of profits for qualifying small companies. Register with the Inland Revenue Board (LHDN). Sales and service tax (SST) applies instead of GST.

Australia

• A proprietary limited company (Pty Ltd) is registered with ASIC. It needs at least one director who ordinarily lives in Australia.
• Every director needs a director ID before they are appointed. Apply free with ABRS. There is a separate process if you live outside Australia.
• Get an Australian Business Number (ABN) and register for GST once turnover reaches A$75,000 a year. business.gov.au covers each step. Some foreign investments, such as land or larger stakes in businesses, need approval from the Foreign Investment Review Board (FIRB).
• Tax: company tax is 25% for smaller base rate entities and 30% for others.

New Zealand

• Companies are registered online with the Companies Office, usually within a day. At least one director must live in New Zealand, or live in Australia and be a director of an Australian company.
• You get a New Zealand Business Number (NZBN) and can register for an IRD number at the same time. Register for GST (15%) once turnover passes NZ$60,000 a year.
• Tax: 28% company tax. business.govt.nz has free guides for new businesses.

Opening a business in South Africa, Kenya, Uganda and Mauritius

South Africa

• A private company ((Pty) Ltd) is registered online with the Companies and Intellectual Property Commission (CIPC) or through BizPortal, which can also register you for tax and open a bank account. Directors don’t have to live in South Africa.
• Register with SARS for income tax. VAT (15%) registration is compulsory once taxable turnover passes R2.3 million a year (raised from R1 million on 1 April 2026).
• Tax: 27% corporate income tax. Broad-Based Black Economic Empowerment (B-BBEE) ratings matter when selling to the government and to many large companies.

Kenya

• Register a private limited company online with the Business Registration Service through eCitizen. Foreign nationals can be directors and shareholders.
• Get a KRA PIN for the company from the Kenya Revenue Authority and register for VAT (16%) once turnover passes the threshold (check the current figure with KRA).
• Tax: 30% corporate tax for resident companies. KenInvest, the investment authority, helps foreign investors get started.

Uganda

• Register the company with the Uganda Registration Services Bureau (URSB), then get a tax identification number (TIN) from the Uganda Revenue Authority.
• Foreign investors investing at least US$250,000 can get a free investment licence from the Uganda Investment Authority, applied for through the eBiz portal. Get it before you start trading.
• Tax: 30% corporate tax and 18% VAT.

Mauritius

• Register a company online with the Corporate and Business Registration Department. Foreign nationals can own 100% of most businesses. The Economic Development Board handles investor support and occupation permits.
• Companies that mainly do business outside Mauritius often use a Global Business Company, which needs a licence from the Financial Services Commission and must be set up through a licensed management company.
• Tax: 15% corporate tax, with extra levies on larger companies. See the Mauritius Revenue Authority. The India–Mauritius tax treaty was changed in 2016, so India can now tax capital gains on Indian shares bought from 1 April 2017.

Before you commit

• Think about tax in both countries. India has double taxation avoidance agreements (DTAAs) with most of the countries above, including the UK, UAE, USA, Canada, Australia, Singapore and Mauritius. The Income Tax Department lists them all.
• Check that any agent or consultant is properly qualified, such as a chartered accountant (ICAI) or company secretary (ICSI) in India.
• Looking for a partner, investor or distributor? Browse the deals or post your own on India Grows.