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So any ideas? How could I do that? Is it an expensive adventure? There is a huge potential but I do not have money to invest, will work from home to start with and all I need is a company name and a bank account, to be able to bill the people I do work for and pay tax for that...
Thanks in advance.
After that, open a current account at either ICICIBank.com or Citibank.co.in. Your customers in USA will be able to wire transfer the payments directly to your bank account.
However, I'm not exactly sure what you intend to do. What kind of products are your contacts in USA intend to import from India? Do you have any contacts back here in India?
A private ltd company setup should not cost you more than Rs.5000 - Rs. 10,000. I would recommend starting either a partnership or a proprietorship company that would be lot cheaper.
But I think there are a few issues that might crop up. Are you an Indian citizen? Or have you come here on a temporary visa?
I think there are a few rules/regulation/restrictions regarding foreign nationals setting up a company here or opening a bank account.
- The minimum capital for a private limited company is Rupees 100.000 though ROC may ask the capital to be more for registration.
- including professional charges to a practising company secretary who will get these done, the cost could be Rs 40,000 at the maximum.
- The company would be required to 'hire' a premises, register under Shops and Establishments Act, Service Tax, Income Tax PAN, TDS, TIN, Professional Tax and depending on the number of employees under ESI/PF etc. Such registration would cost extra at the time of doing so.
- The Corporate income tax presently is approx 37% of the profits.
I also asked him about a proprietor owned 'business' as it wouldn't be called a 'company', this indeed is a cheaper option to start with..seems depending on the business I will do I will need a license and the only cost will be my phone, internet etc cost as I will start working from home as a beginning..The tax is %30 'plus cess'(whatever that is) .. The owner of the company my husband is working also paid similar for his 'limited liability company'...how come yours only charged that low? And please explain to me what exactly private limited company is..in limited there has to be more than one person..right? so can it be called 'private then? (I have an employment visa, that should be ok..Though I was given that 'accidentally' by the embassy in the country I lived before... )Thanks in advance.
Hmm. From my business studies a long time ago.... a long, long time ago:
Private is up to 20 owners. For a public limited company you need a minimum of 7 owners. Between 7 and 20 owners you can decide whether you want it to be private or public. Over 20 owners and it has to be a public company.
I'm sorry I can't point you to the right places. I've been out of India for a long time and just don't have the contacts I used to have. But, a good local accountant should be all you need.
