Jan 4, 2019
Now that telecommuting is becoming highly acceptable in the modern workforce, multiple companies are implementing remote work policies. This implementation…
More and more established businesses across the globe have started to adopt Virtual office as a solution to start expanding in India. There have been several instances when your company would have decided to make most out of the opportunities emerging out of the most sought after economy, India.
The Indian economy has opened doors for many sectors to experiment their ideas on the Indian soil. Testing waters in a new and diverse geography like India can be tricky and fraught with risks. Thus, firms look for a virtual office that will give them a physical address and a telephone number at a respectable business location and meeting room space, whenever needed. This saves them the hassle of hiring manpower and spending a significant amount of money on leasing.
Setting up such a branch office in India gives foreign companies the buffer time needed to focus on expansion of your business. Should the venture fail to capture the market, the company can pull out of the country without suffering huge losses.
The concept of a virtual office in India is at a nascent stage, but it is expected to grow at a rate of 21-25% every year. A city that is seeing rapid growth in this sector is Chennai. Virtual offices in Chennai are preferentially located in the IT corridor of the city – OMR. This area is well-connected to other business hot-spots of the city and is ideal to start a new enterprise.
When a business enters India or expands its scope of operations, three entities can be established – liaison office, wholly owned subsidiary, or branch office. Setting up a new business in India involves the following steps:
The registration requirements are:
The easiest way to get a business address is to hire a virtual office in India. Your calls and e-mails are handled by professional staff at a fraction of the cost of setting up a physical office.
Support staff to manage immediate operations
Back office operations such as recruitment of personnel, pay roll, general office maintenance, and other statutory and legal formalities can be outsourced to a service provider specialized in these activities.
One can open and operate a bank account in India with all major international banks. Certain professional firms provide assistance and signatory services for this function. To open a branch office in India, permission from the Reserve Bank of India (RBI) must be sought.
The launch of the eVisa for 43 countries including Australia, US, Germany, Israel, Singapore, and Japan has given India a favorable business environment. Eligible foreign nationals can apply for an Indian visa online and pay the visa fee online as well. There is no need to visit an Indian mission.
By law, Indian limited companies are required to place their statutory annual accounts on public record. These annual accounts must be audited and they must comply with several detailed disclosure requirements as per the Indian Companies Act. A trustworthy firm of chartered accountants must be employed to take up these activities. They can also provide assistance with corporate tax planning and compliance.
Association & Business bodies for a good network
A variety of industry associations exist in India to provide support to new firms. These business bodies are also instrumental in influencing government policy.
Virtual offices provide a variety of offerings for firms looking to test a new idea in India while keeping their operating costs low. A professional business presence is necessary for the success of any new venture. With virtual offices, such as step can be cost-effective as well.
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