Setting Up an Office in Hyderabad as a Foreign Company or NRI

Most foreign companies set up in Hyderabad through a wholly owned subsidiary, a private limited company incorporated with the Ministry of Corporate Affairs. Most services sectors allow 100% foreign ownership without prior government approval. The company needs a registered office in India and at least one director resident in India. Many start in a coworking cabin or managed office, which gives them an address, documents and a working office in a few weeks.

This is a general overview, not legal or tax advice. Foreign investment rules depend on your sector and country. Use a chartered accountant or law firm with FEMA experience.

Your main options

Structure	What it can do	Approval
Wholly owned subsidiary (private limited company)	Full business activity, hire staff, invoice clients	Automatic route for most sectors; incorporation through MCA
Liaison office	Representation and promotion only; no income in India	Through an authorised dealer bank under RBI’s FEMA rules
Branch office	Limited activities, such as export or import, consulting and research	Through an authorised dealer bank under RBI’s FEMA rules
Employer of record	Hire staff in India without your own entity	No entity needed; a provider employs staff for you

Key requirements for a subsidiary

• At least two directors, one of whom must stay in India for at least 182 days in the financial year (the resident director rule in section 149(3) of the Companies Act, 2013; for a newly incorporated company the days are counted proportionately).
• At least two shareholders. These can be the parent company and a nominee.
• A registered office within 30 days of incorporation, backed by a rent or service agreement, an owner’s NOC and a recent utility bill.
• Reporting the foreign investment to RBI on the FIRMS portal within the deadlines after shares are issued.
• PAN, TAN and GST registration (GST in Telangana if your office is in Hyderabad).

Where to put the office

Virtual office (first weeks). Lets you incorporate and register for GST while you hire. It costs ₹8,000–36,000 a year in Hyderabad. See registering a company with a virtual office.

Coworking cabin (first 5–30 people). Gives you a ready office at ₹5,500–20,000 per seat a month, usually with 3–12 month terms. International brands such as WeWork, Regus and The Executive Centre are familiar to head offices. Indian brands such as Awfis, iSprout, Table Space and Smartworks often cost less.

Managed office or enterprise suite (30–500 people). A private floor fitted out to your standards, which suits global capability centres. It costs ₹7,000–18,000 per seat a month on 2–3 year terms. See managed office pricing.

Why Hyderabad

Hyderabad is one of India’s largest technology and global capability centre (GCC) hubs, with a large talent pool around HITEC City, Gachibowli and the Financial District. It has an international airport and metro links to the main office districts. Office costs are lower than in Bengaluru or Mumbai for similar buildings.

A typical 90-day path

1. Weeks 1–2: choose the structure with your advisers; sign a virtual office or coworking agreement to get registered-office documents.
2. Weeks 2–6: incorporate through SPICe+, open a bank account, bring in share capital and report it to RBI.
3. Weeks 4–8: register for GST in Telangana; set up payroll, professional tax and PF.
4. Weeks 6–12: move the first hires into a coworking cabin while a managed office is fitted out, if you need one.

Tell us your team size and timeline and we’ll get quotes from operators that regularly host foreign companies.