Yes, an NRI (Non-Resident Indian) is allowed to start a proprietorship firm in India. However, there are certain rules and regulations that need to be followed to set up such a business entity.
The Reserve Bank of India (RBI) allows NRIs to open a proprietorship firm in India subject to certain conditions.
An NRI will have to obtain a Permanent Account Number (PAN) from the Income Tax Department, register the business with the Ministry of Corporate Affairs, and obtain a certificate of registration from the Registrar of Companies.
To start a proprietorship firm in India, an NRI must first select a business name.
The name should not be similar to that of any existing registered business. The NRI must then apply for a PAN card and register the business with the Ministry of Corporate Affairs.
Once the business is registered, the NRI must obtain a certificate of registration from the Registrar of Companies.
The NRI must then open a current account in an Indian bank and obtain a Digital Signature Certificate (DSC). The DSC is required to file the necessary documents and declarations with the Registrar of Companies.
The NRI must also obtain a Goods and Service Tax Identification Number (GSTIN) from the Goods and Services Tax department.
Finally, the NRI must comply with all applicable laws, regulations, and rules related to running the proprietorship firm. This includes registering for taxes, obtaining permits, complying with labor laws, and adhering to safety standards.
An NRI can start a proprietorship firm in India provided they follow the necessary procedures and comply with all applicable laws and regulations.
The process may seem complicated, but it is fairly straightforward and relatively quick once all the documents and declarations have been filed.
Online Services for NRIs to Setup Companies in India
In recent years, India has seen a steady influx of Non-Resident Indians (NRIs) establishing businesses in the country.
This trend has been further encouraged by the Government of India’s ‘Make in India’ initiative and various policies aimed at encouraging NRIs to set up shop in India.
As such, a number of online services have emerged that help NRIs to set up sole proprietorship companies in India.
One of the most popular online services is MyOnlineCA, which offers a comprehensive range of services for NRIs looking to establish a business in India.
The platform offers easy-to-use tools and resources to help NRIs register their business, obtain necessary licenses and permits, open bank accounts, and more. It also provides 24/7 customer support to answer any queries or doubts about setting up a business in India.
It provides complete legal documentation and registration processes, including obtaining a PAN card, tax registration, and other necessary documents. It also offers a range of business solutions and advice from experienced professionals, helping NRIs to make informed decisions when setting up a business in India.
Finally, MyBizFiling is another online service that helps NRIs to set up sole proprietorship companies in India.
It offers a range of services for registering a business, including obtaining the necessary licenses and permits, setting up a company bank account, and filing taxes.
It also provides assistance with drafting and filing all the necessary documents for setting up a business, as well as ongoing support for existing businesses.
Overall, there are now a number of online services that can help NRIs to set up sole proprietorship companies in India.
These services provide comprehensive guidance and support throughout the entire process, making it easier than ever for NRIs to establish a business in India.