Foreign Investors – Startup Guidelines and Process.

The legal and compliance process

  1. Obtaining the Foreign Inward Remittance Certificate (FIRC) from the Indian bank.
  2. Filing the Annexure - 6 with the RBI within 30 days from the receipt of the money along with a copy of FIRC and a covering letter.
  3. Valuation of the shares to be made by the Charted Accountants and obtaining the valuation report.
  4. Board meeting to be conducted to allot the share to the respective investors.
  5. Obtaining the Know Your Client (KYC) of investor from the remittance Bank.
  6. Obtaining Certificate from Statutory Auditors or Chartered Accountant indicating the manner of arriving at the price of the shares issued to the persons resident outside India.
  7. Obtaining Certificate by a Company Secretary.
  8. Share allotment details (Extracts of allotment)
  9. Form FC - GPR to be filed through "AD category I bank" within the 60 days from the date of allotment of shares to the RBI along with the following documents
  • Certified copy of FIRC
  • KYC in original
  • CS Certificate in original
  • CA certificate in original
  • Extracts of the Board Meeting for allotment
  • Covering letter

 Further the entire reporting i.e. filing Form FC - GPR should be completed with in 180 days from the date of inward remittance.  


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