Does a GCC always require setting up a separate legal entity in India?

A private limited subsidiary is the default structure for a GCC intended to operate at scale and for the long term, since it gives full control over hiring, IP ownership, and operations, and is the structure most acquirers, auditors, and regulators expect for a substantial India operation. Setting one up takes roughly 4 to 6 weeks for incorporation, plus additional time for statutory registrations before hiring can begin at scale.

Companies that want to start delivering work faster, or want to validate the India location before committing to a full entity, often use a Build-Operate-Transfer model instead: a local partner's existing entity employs the initial team and runs operations under the client's direction, and headcount, contracts, and assets transfer to the client's own newly incorporated entity once the centre is validated, typically within 12 to 24 months. A branch office is a narrower option, generally suited to liaison or specific project-based activities rather than a full-scope GCC, since its permitted activities are more restricted than a subsidiary's.