Liaison Office Registration

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Considering expanding your business horizons into the vibrant Indian market? A liaison office offers a strategic entry point to explore opportunities, conduct market research, and build relationships without a full-fledged corporate presence.

At CAA, we’re here to guide you through the liaison office registration process seamlessly, ensuring compliance and maximizing your success in India.

What is a Liaison Office?

A liaison office (LO) is a non-profitable representative office of a foreign company established in India to undertake a limited range of permitted activities. It serves as a bridge between the parent company and the Indian market, facilitating:

  • Market research and feasibility studies
  • Promotion of exports and imports
  • Technical collaborations and joint ventures
  • Brand building and liaison activities
  • Coordination with agents and distributors
Features of Liaison Office Registration:

● Limited scope of operations: LOs cannot directly engage in commercial activities or generate revenue in India.

● Funding from parent company: Expenses are met through inward remittances from the parent company.

● No separate legal entity: An LO is not considered a separate legal entity from its parent company.

● Tax implications: LOs are generally not subject to Indian income tax, but certain compliances may apply.


To establish an LO in India, the foreign company must meet the following criteria:

● A proven track record of business operations in its home country for at least three years.

● A net worth of at least USD 50,000 or its equivalent in foreign currency.

● A business activity that falls within the permitted scope of LO operations.

The Registration Procedure:

1. Obtain RBI Approval: Secure approval from the Reserve Bank of India (RBI) under the Foreign Exchange Management Act (FEMA).

2. Register with the Registrar of Companies (ROC): File the necessary forms and documents with the ROC to obtain a Certificate of Registration.

3. Obtain other licenses and registrations: Depending on the nature of activities, additional licenses or registrations may be required, such as service tax registration or import-export code.

Essential Documents:

● Application form for RBI approval
● Certificate of incorporation of the parent company
● Board resolution authorizing the LO establishment
● Power of attorney appointing a representative in India
● Financial statements of the parent company
● Business plan for the LO activities
● Other supporting documents as required by the RBI and ROC

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/Including Govt. Fees

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*Fee is inclusive of Government Fee, Out of Pocket Expenses, Professional Fee and GST.
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/Including Govt. Fees

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*Fee is inclusive of Government Fee, Out of Pocket Expenses, Professional Fee and GST.
Common Questions

Most Popular Questions

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A Liaison Office, also known as a Representative Office, is a temporary establishment set up by a foreign company to facilitate communication between the parent company and its Indian counterparts.

Any foreign company engaged in manufacturing or trading activities outside India can register a Liaison Office for promoting its business interests in India.

Key requirements include approval from the RBI, submission of business plan and financial statements, appointment of a local representative, and compliance with Indian tax and regulatory laws.

Liaison Offices can engage in activities such as market research, promotion of parent company's products, and facilitation of communication, subject to approval from the RBI.

Liaison Offices must adhere to RBI guidelines, maintain proper accounting records, file annual activity reports, and comply with Indian tax laws.

Yes, but only for administrative and liaison purposes, not for revenue-generating activities.

No, Liaison Offices cannot generate revenue in India or undertake any commercial activities. They are meant for promotional and liaison purposes only.

Yes, Liaison Offices can remit funds outside India for meeting their expenses after obtaining approval from the RBI.

The validity period is typically linked to the duration of the business activities planned in India, as specified in the approval letter issued by the RBI.

The registration process for a Liaison Office usually takes around 3 to 4 months, subject to approval from the RBI and timely submission of required documents.

Company Avenue Advisory provides expert guidance and support throughout the Liaison Office registration process, including RBI approvals, documentation, compliance, and liaison with regulatory authorities, ensuring a smooth registration process.

The process usually takes 8-12 weeks, subject to regulatory timelines and completeness of documentation.

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