Foreign Wholly Owned Subsidiary

Foreign Wholly Owned Subsidiary: The Most Powerful Way for Global Companies to Establish a Presence in India

A Foreign Wholly Owned Subsidiary (WOS) is the strongest and most flexible structure for an international company looking to enter and expand in India. In this setup, the foreign parent company owns 100% of the shares, giving it complete control while operating as a fully compliant Indian entity.

This model is ideal for global brands, SaaS companies, tech firms, manufacturers, IT services, e-commerce businesses, and multinational corporations planning long-term operations in India.

100% Ownership and Full Control

A WOS allows the foreign parent company to hold total ownership. This means no local partners, no shared control, and complete authority over operations, finances, and decision-making. It’s the cleanest route to establishing an India base.

Operates Like a Regular Indian Company

Once incorporated, the wholly owned subsidiary functions exactly like any Indian Private Limited Company. It can:

• Hire employees
• Sell goods & services
• Enter contracts
• Open bank accounts
• Raise local funding
• Acquire assets

This gives global companies full commercial freedom in the Indian market.

Smooth Market Entry With Maximum Flexibility

Unlike branch or liaison offices, a WOS has no restrictions on business activities. You can generate revenue, bill clients, market your products, and scale operations with ease. It is the preferred structure for companies ready for serious growth.

Compliant With FDI & FEMA Rules

A wholly owned subsidiary is set up under India’s Foreign Direct Investment (FDI) policies and must comply with FEMA regulations. Proper reporting ensures smooth operations and builds a transparent presence for the parent company.