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What are the clearances required for starting an operation?
No State Government clearance is required for starting a software unit. From the Government of India, you may need foreign investment clearance from the Foreign Investment Promotion Board. You may also need STP (Software Technology Park) registration, if you are planning a 100% Export Oriented Unit (EOU). Both these can be organized easily through a single window system in the IT Parks.
How will I go about registering a company in India?
Company registration can be done with the Registrar of Companies that has an office in Kochi. A chartered accountant can do the same.
What are the different steps involved in getting started?
Step 1.
Have a Chartered Accountant immediately do the company formation for your activity in India. For foreign companies, establishing a subsidiary is the recommended route.
Step 2.
Complete the formalities of Foreign Investment Promotion Board/Software Technology Park registrations.
Step 3.
Sign up for space in Technopark / Infopark.
Step 4.
For a start up operation, get going at the Incubator.
Step 5.
For a larger area, do up the interiors, complete recruitment and commence operations. The whole job can be entrusted to Venture Management experts.
If we ship computers and equipment directly to the IT Parks, is there any duty or taxes we have to pay to the customs or to Government of India?
A 100% export oriented unit (EOU) need not pay any duty. Imports are duty free. Otherwise duty depends on the items imported, and will be about 35%. A 100% EOU also enjoys income tax exemption.
Is land available for lease in IT Parks so that a company can construct its own building?
Yes. Only well established and reputed non polluting Information Technology related projects would be leased out land in the campus. For availability of land, the CEO's of the concerned IT Parks may be contacted.
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