Application Form For Company Investment: Fill & Download for Free

Small tech companies survive because they target markets the bigger companies consider too small or uncertain to bother with.There are many companies providing applications for very specific purposes. For example, I interned for a company that made software to collect and collate data from the sensors in prototype aircraft during testing. This company likely made in the tens of millions of dollars in revenue. At Microsoft I was told that VPs won't even consider a proposal projected to earn less than $100 million, because they already have many proposals worth more than that. Big business is big.There are also ideas that could be big, but probably won't be. There are lots and lots of this kind of idea, far too many for any one company to build or even invest in. Instead, the big companies let startups experiment and then acquire the successful ones.

There is no free lunch in this world.You have to pay a price for everything that is used by you.If you are not paying the price right now, someone else is paying the price and sooner or later, he is going to demand the same from you.Let me start from the worst case scenario.We all know how a foreign company called ‘East India Company’ started its business in India and soon captured the entire country. India lost almost everything in bargain of getting foreign investment by East India Company.Let us first ask a fundamental question before moving any further into discussion.Why should foreign company invest in India?The answer is obvious to me.Because the foreign companies want to make profit?No foreign company invest in India for charity or for helping India becoming a developed country. They are interested in their own good and profitability.However, India too gain something in process. These gains are:-Employment to the local peopleUse of superior technology to produce goods and servicesMore competition in the local market and hence cheaper goods and servicesMore options to the consumersImprovement in the foreign currency reserves as all investments are in convertible foreign exchangeHowever, it is also important to know the flip side of foreign investmentTaking out the profits earned in India in foreign exchangeClosing of the local industry and business who could not survive international competitionIncrease in the unemployment due to higher level of automation and IT applicationInfluence of foreign companies and governments in making government policies more favourable to them as compared to local companiesTransforming the culture and traditions of India due to the influence of foreign values imbibed through their goods and servicesWe have to be careful while dealing with foreign investments and invite them only in the areas where the benefits are more that the costs.Foreign investments are inevitable, but let us use discretion it the matter rather than giving red-carpet welcome to every foreign company in India.

What is Automatic Route in FDI?India’s foreign direct investment (FDI) rules have been substantially liberalized over the past several years.Most sectors are now open to 100% FDI, meaning thereby, that the foreign companies do not need a prior approval for investment either by the Government or the Reserve Bank of India.The investors are only required to intimate the Regional office concerned of the Reserve Bank within 30 days of receipt of inward remittance.The automatic route allows Indian companies engaged in various industries to issue shares to foreign investors up to 100% of their paid up capital in Indian companies.The investors are also required to file necessary documents within 30 days of issue of shares. The following documents need to be filed with the RBI:Name of the collaborators/ promoters/ shareholdersDetails of allotmentCopy of the foreign collaboration agreementThe original foreign inward remittance certificate from the authorised dealer and other specified informationWhat is Approval route in FDI?There are certain activities that are not covered under the automatic route and that require prior Government approval and are considered by the Foreign Investment Promotion Board (FIPB).Following list include the activities for which automatic route for foreign investment is not available:Banking,NBFC's Activities in Financial Services Sector,Civil Aviation,Petroleum Including Exploration/Refinery/Marketing,Housing & Real Estate Development Sector for Investment from Persons other than NRIs/ OCBs,Venture Capital Fund and Venture Capital Company,Investing Companies in Infrastructure & Service Sector,Atomic Energy & Related Projects,Defence and Strategic Industries,Agriculture (Including Plantation),Print Media,Broadcasting,Postal Services.Applications for all FDI cases except Non-Resident Indian (NRI) investments, 100% Export Oriented Units (EOUs) should be submitted to the FIPB Unit, Department of Economic Affairs (DEA) Ministry of Finance.However application for NRI investment and 100% EOU cases should be presented to Secretariat for Industrial Assistance (SIA) in Department of Industrial Policy & Promotion. (DIPP).Source: Foreign Direct investment in IndiaProcess of registering an LLPYou can find all the details in Ministry of Corporate Affairs website.Thanks for the A2A Nikhil Singla.