GLOBALISATION

With the liberalization of the economy in 1991 and the subsequent development of the IT sector, Indian companies started looking outwards at setting up operations in foreign jurisdictions which were either suppliers or customers. We have assisted several Indian companies in setting up their overseas operations and structuring them in a tax efficient manner, as one of the key components of setting up overseas operations would be the tax incidence of the same in India as well as the foreign country. We have a well-established network with overseas counsels in various jurisdictions, which we use effectively to help our Indian clients who need local counsel in offshore jurisdictions where they have set up operations. While structuring the overseas operations of our clients we also need to keep in mind their future business strategy,protection and location of intellectual property, potential exit strategies such as M&A and IPO etc. so that we can build-in their business needs into the structure.

Our Globalisation practice area focuses on:

• Structuring the holding company pattern
• Selecting the appropriate jurisdiction for holding company
• Decision regarding opening of a branch office or a subsidiary
• Selecting the type of entity which could include Inc., Corp, Pvt. Ltd, LLC, LP, stiftung, etc.
• Decision regarding capital structure - Debt v Equity v Hybrid
• Information on corporate and allied laws of various countries
• Assistance on incorporation of local companies/ setting up of branch office
• Devising the revenue model from tax efficiency view point, including the legal strategy for transfer pricing
• Location and registration of the intellectual property and related licensing arrangements
• Assistance with the oter necessary agreements
• Advise on exchange control issues
• Coordination with local counsels in various jurisdictions

Research Paper:

Contact details: For further information and / or suggestions, please contact Bijal Ajinkya
Email: bijal@nishithdesai.com