Opening a Bank Account for an Indian Subsidiary of a Foreign Company

Opening a bank account is an important step between incorporation and starting day-to-day operations. For a subsidiary owned by an overseas company, preparation usually involves both the Indian company’s records and information about its parent, beneficial owners and authorised signatories.

Prepared by AU Corporate · Published 12 October 2026. Bank requirements vary. Confirm the current document list and process with the chosen bank.

Quick answer

What should a foreign parent prepare for an Indian subsidiary’s bank account?

Prepare the Indian company’s incorporation documents, PAN, registered-office evidence, board resolution or other authority for account operation, signatory KYC and ownership information. The bank may request parent-company records, source-of-funds details or certified documents based on its due-diligence requirements. Obtain the selected bank’s checklist before submitting documents.

1. Choose the bank and confirm its process

Banks can differ in onboarding procedures, digital services, international payment support and document requirements. Before choosing, explain that the shareholder is a foreign company and describe the expected transactions: inward share capital, customer receipts, vendor payments, payroll, foreign-currency payments or repatriation.

Ask the bank for its latest checklist, required document formats, signatory verification steps, minimum balance terms and process for receiving overseas remittances. Do this early so the company’s incorporation and funding plans reflect the bank’s actual requirements.

2. Prepare the Indian company records

Depending on the bank’s checklist, the Indian entity may be asked for records such as:

Certificate of Incorporation and constitutional documents.
PAN and other tax or registration details available for the company.
Registered-office address evidence and related supporting documents.
Board resolution or other authority identifying account operators and permitted signing powers.
Identity and address records for directors, authorised signatories and relevant beneficial owners.
Information about the company’s business activities, expected transactions and source of funds.

This is a preparation list, not a substitute for the selected bank’s official checklist. A bank may request additional records or different forms.

3. Prepare parent-company and ownership information

Because the shareholder is overseas, the bank may need to understand the parent’s legal existence, ownership chain, control and the individuals who ultimately own or control the group. Keep the parent’s incorporation details, ownership chart and contact/signatory details consistent across the application.

Ask whether any parent-company document needs notarisation, apostille, consular authentication, translation or certification. Do not authenticate every document automatically: follow the bank’s instructions for the particular document and jurisdiction.

4. Confirm authorised signatories and verification

Decide who will operate the account and what approvals are required for payments. The board authorisation should match the bank’s forms and the company’s internal controls. Confirm whether each signatory must complete video, in-person or other identity verification and whether originals or certified copies are needed.

5. Plan the first inward remittance

If the foreign parent will subscribe to shares, coordinate the remittance with the company’s bank and professional advisers before sending funds. Confirm the payment reference, sender and beneficiary details, evidence to retain, share-issue sequence and applicable foreign-investment reporting. Avoid treating a bank credit alone as proof that every corporate and regulatory step is complete.

Useful records may include the remittance advice, bank credit advice, shareholder approval, share subscription documents, board records and share-allotment documents, as applicable to the transaction.

6. Keep the account ready for operations

Set payment approval limits and maker-checker controls.
Keep bank mandates and signatory records updated.
Reconcile bank statements to the books each month.
Retain inward-remittance and foreign-investment records.
Confirm the bank’s requirements for foreign-currency transactions and overseas payments.

Frequently asked questions

Can a foreign parent open an Indian bank account before the subsidiary is incorporated?

A bank account for the Indian subsidiary is generally opened in the name of the incorporated Indian entity after the bank completes its checks. The bank can explain any pre-incorporation or incorporation-linked account arrangements available for the chosen process.

What documents are usually requested to open a company bank account?

Banks commonly ask for incorporation and constitutional records, PAN details, registered-office proof, board authorisation, identity and address records for authorised signatories, and beneficial-ownership information. The exact list varies by bank, entity and risk assessment.

Does the foreign parent need to visit India?

Not necessarily in every case, but banks may require additional verification, certified documents, in-person checks or other steps depending on their policy and the people involved. Confirm the process directly with the selected bank before planning around remote completion.

Can the parent send share capital from overseas?

A foreign parent may fund an Indian subsidiary subject to the applicable foreign-investment rules, banking procedures, documentation and reporting. Coordinate the remittance, share issue and required RBI reporting with the bank and advisers.

How long does account opening take?

There is no universal timeline. Completion depends on the bank, document quality, KYC review, ownership structure, verification and whether additional information is requested. Ask the bank for its current process and expected steps.

Official reference

The Reserve Bank of India publishes foreign-exchange regulations, while banks apply their own customer due-diligence and KYC procedures. The selected bank’s current checklist is the controlling practical reference for its account-opening process.

For the next steps, read our guide to funding an Indian subsidiary from the US and the subsidiary document checklist.