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Fundraising assistance for Indian businesses

Raising money is part story, part paperwork. We help founders and family businesses get investor-ready, meet the right investors and close the round on terms and documents that hold up.

Updated Reviewed by our legal team

In short

Raising money is part story, part paperwork. We help founders and family businesses get investor-ready, meet the right investors and close the round on terms and documents that hold up.

Who this is for

Startups raising angel, seed or Series A rounds; profitable private companies raising growth capital from family offices or strategic investors; and businesses with an NRI or foreign investor who wants a clean, compliant entry. Through ProudLegal's investor network and investor meets, founders also get introductions, not just documents.

Getting investor-ready

Most rounds slow down at due diligence because records are incomplete. Before we approach investors we review the cap table, past share issues and their ROC filings, founder agreements, IP ownership (is the brand registered and is the code assigned to the company?), key contracts, tax and GST filings, and any litigation. Gaps are fixed first, so the data room is ready on day one.

We then help prepare the pitch deck, financial model and a one-page summary investors actually read, and agree a realistic valuation range supported by a valuation report where the law requires one.

Choosing the right instrument

InstrumentTypical useKey points
Equity sharesPriced roundsSimple; dilution at agreed valuation; valuation report for private placements
Compulsorily convertible preference shares (CCPS)Venture and foreign investorsPreferred rights and conversion terms; FEMA compliant for foreign money when fully convertible
Convertible notesEarly rounds for DPIIT-recognised startupsDefers valuation; minimum ticket and conversion period rules apply
Debt and structured instrumentsWorking capital, asset-backed growthSecurity, covenants and, for foreign lenders, ECB rules

Term sheet to closing

We negotiate the term sheet on the points that matter later: valuation and dilution, liquidation preference, anti-dilution, board seats, reserved matters, founder vesting and lock-ins, and exit rights. Then we draft or review the share subscription agreement and shareholders' agreement, align the Articles of Association, and complete the corporate steps: board and shareholder approvals, private placement offer, allotment, PAS-3 filing and share certificates.

Where money comes from abroad, the round must also follow FEMA: pricing at or above fair value, receipt through banking channels, and the FC-GPR report within 30 days of allotment. Mistakes here are expensive to fix later.

After the round

Investors expect regular reporting and clean compliance. We set up a calendar for board meetings, investor updates, ROC and FEMA filings, and keep the cap table and ESOP pool current, so the next round starts from a strong position.

Frequently asked questions

How long does a fundraise take?

A seed round commonly takes three to six months from readiness review to money in the bank; diligence and documentation alone take four to eight weeks.

Do you guarantee investment?

No. No honest adviser can. We improve readiness, make introductions and protect your position in the documents.

Can NRIs invest in my Indian company?

Yes, on a repatriable basis under the FDI rules or a non-repatriable basis under Schedule IV of the Non-Debt Instruments Rules, each with its own reporting.

Is angel tax still a concern?

The tax on share premium received by unlisted companies was abolished from 1 April 2025, but valuation reports are still needed under company and FEMA rules.

Planning a raise or a listing?

Share your deck or latest accounts and we will tell you where you stand.

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