Answer
Sep 24, 2016 - 03:28 PM
We went through this process recently. I posted a summary to this group a while ago.
We setup an India Pvt Limited and a Delaware C-Corp. We are in the process of making the India Pvt Limited a subsidiary of Delaware C-Corp. The Partner(s) are Directors in India Pvt Limited and are shareholders in the US Company. We were told LLC wouldn’t work for this arrangement. Since we hadn’t setup the LLC, we went the C-Corp route.
While the subsidiary relationship is not mandatory, we were recommended to do so by our attorney in India. The other option is to set up a Master Services Agreement between India Pvt Limited and USCo.
Our plan is to raise funds solely through USCo, which led us to this path. Your plan may be different.
We setup an India Pvt Limited and a Delaware C-Corp. We are in the process of making the India Pvt Limited a subsidiary of Delaware C-Corp. The Partner(s) are Directors in India Pvt Limited and are shareholders in the US Company. We were told LLC wouldn’t work for this arrangement. Since we hadn’t setup the LLC, we went the C-Corp route.
While the subsidiary relationship is not mandatory, we were recommended to do so by our attorney in India. The other option is to set up a Master Services Agreement between India Pvt Limited and USCo.
Our plan is to raise funds solely through USCo, which led us to this path. Your plan may be different.
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