What it actually costs to set up a company in India
Incorporation fees are the small part. The costs that catch foreign parents out are the resident director, the registered office, and the first year of compliance — none of which appear on a registration quote.
Most quotes a foreign company receives for India entry cover incorporation alone: name reservation, DSC and DIN, SPICe+ filing, PAN and TAN. That work is real, but it is the smallest line in the first-year budget.
What the quote usually covers
Government filing fees, professional fees for incorporation, digital signature certificates for the directors, and stamp duty, which varies by state.
What it usually leaves out
- A resident director. At least one director must be resident in India. Whether you second someone, hire locally, or appoint a nominee, this is a recurring cost and a governance decision, not a formality.
- Registered office. A real address that can receive statutory correspondence.
- First-year compliance. Bookkeeping, statutory audit, ROC filings, income tax return, TDS returns, and GST returns if registered. This is where the ongoing spend actually sits.
- Transfer pricing documentation, if the entity transacts with the parent — which it almost always does from day one.
The expensive mistake
Choosing an entity form to minimise setup cost, then discovering the structure cannot repatriate cash efficiently. Unwinding costs far more than the difference in incorporation fees. Decide the structure first; the registration follows.
We publish indicative ranges rather than a price list, because the honest answer depends on state, sector, and whether you need a resident director. Ask us and we will scope it properly.