A Canada-based NRI or OCI holder can invest in an Indian company or LLP on a repatriation basis, as foreign investment with pricing and reporting, or on a non-repatriation basis, treated like domestic money. We check the business, negotiate a shareholders agreement that protects you from Canada, and make sure the company completes its FEMA reporting so your capital can later return.
- Document route
- Notary or lawyer, then apostille from Global Affairs Canada or the provincial authority
- Time difference
- IST is 9h30 (Ontario, summer) to 13h30 (British Columbia, winter) ahead
- Law
- FEMA 1999 and NDI Rules 2019
- Routes
- Repatriable (Schedule 1) or non-repatriable (Schedule 4)
Legal Advisory for NRI Investors from Canada: how it works
We begin with a call about your goals and the business. For a startup or venture you hope to exit, the repatriation route is usually best; for a family enterprise where you want flexibility, non-repatriation often works. Due diligence covers the company's MCA filings, capital history, charges, litigation, tax compliance and ownership of key assets. If the business is still a partnership, we advise on converting it into a company first so your stake is clearly documented.
Your protections are written into the shareholders agreement and articles: information rights, consent over new share issues and borrowings, a board or observer seat with video meetings, pre-emption and exit rights. Money comes from Canada by wire or from your NRE account for repatriable investment, and the company files Form FC-GPR. We remain available to review board papers so that, even from Canada, you know what decisions are being taken.
What clients in Canada should know
- Investment in agriculture, plantations and real estate business is barred for NRIs and OCI holders on either route.
- Dividends from Indian companies are taxed in India and must be reported in Canada, with a foreign tax credit.
- Keep the bank's remittance advice for every investment; it is the proof needed when you later repatriate sale proceeds.
Step by step from Canada
Video consultation
A call at a time that suits Canada, after we have read your documents.
Documents signed in Canada
Notary or lawyer, then apostille from Global Affairs Canada or the provincial authority
Work in India
Our team files, appears and follows up in India, and shares scans of everything filed.
Result and handover
Certified copies and originals are couriered to you in Canada where needed.
The full guide
This page covers what changes when you are in Canada. For the law, the documents and the step-by-step procedure, read our main page on Legal Advisory for NRI Investors, or see all services for clients in Canada and the Doing Business in India practice area.
Questions from clients in Canada
Can I invest in a partnership firm in India?
On a non-repatriation basis, subject to sector restrictions. A company or LLP often gives better protection.
What reports must the company file?
For repatriable investment, Form FC-GPR within 30 days of allotment and the annual return on foreign liabilities and assets.
Can I be a director from Canada?
Yes. You need a DIN and digital signature, and board meetings can be attended by video.