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Company · Cross-border

A foreign company is opening shop in India — branch, or subsidiary?

The short answer

A foreign company entering India faces a structural fork: a branch or liaison office registers under the FC-series with RBI approval, while a wholly-owned subsidiary follows normal Indian incorporation plus the FDI/FEMA layer. For a place of business in India, FC-1 must be filed within 30 days under Section 380. Annual compliance then runs through FC-2, FC-3, and FC-4 — with FC-2 due within 60 days of the foreign company's financial year-end.

The sequence

  1. 1Decide between a branch/liaison office (FC-series + RBI) or a wholly-owned subsidiary (incorporation + FDI/FEMA)
  2. 2For a branch or liaison, file FC-1 within 30 days of establishing a place of business in India
  3. 3Obtain RBI approval required for the branch or liaison structure
  4. 4File FC-3 with annual accounts and a list of places of business
  5. 5File FC-2 and FC-4 as annual returns within the statutory window after the foreign company's year-end

Questions founders actually ask

What is the deadline to register a foreign company's Indian office?

FC-1 must be filed within 30 days of establishing a place of business in India, under Section 380 of the Companies Act 2013 and Rule 3 of the Companies (Registration of Foreign Companies) Rules 2014.

What annual filings does a registered foreign company owe?

FC-2 is the annual return due within 60 days of the last day of the foreign company's financial year. FC-3 covers annual accounts and places of business. FC-4 is the annual return under Rule 7.

Should we open a branch or incorporate a subsidiary?

A branch or liaison office operates under the FC-series with RBI approval. A wholly-owned subsidiary is a separate Indian entity formed through normal incorporation, with an additional FDI/FEMA compliance layer.

Last verified 2026-08-24 against MCA V3 records and ICSI reference material. Form-level deadlines and penalties live on the linked form pages and update there.