Liaison vs Branch vs Project Office: Which India Entry Fits You?

Besides a subsidiary, foreign companies can enter India through a liaison, branch or project office. Each differs in permitted activity, RBI approval and taxation.

Liaison Office

A communication channel only — market research and promotion. No income permitted; funded entirely by inward remittance. Needs RBI approval and an annual activity certificate.

Branch Office

Permits limited commercial activity (exports/imports, consultancy, project execution) and can earn income, but is taxed at the higher foreign-company rate and liability sits with the parent.

Project Office

A temporary setup for executing a specific contract in India; wound up when the project ends.

Choosing

Research → liaison; a specific project → project office; ongoing business → subsidiary. Statura advises on the optimal structure.