How to do Business in India?
There was a time when only few families were involved in the business in India. But after Globalization times have changed. There are more and more people participating in business.
These are very important points to consider when doing business in India.
1) Right person and Right consultancy: There are 10,000 business development sectors in India private as well as affiliated by the government sectors; most of them are busy with International business development activities between India and worldwide business networks.
2) But very few professionals are really doing well with International business.
3) It is very important to get right person business development consultancy to enter in to business in India
Legal Business Services:
The Indian legal system. Company law / commercial Law as similar as Europe and USA So there is nothing new that company and person has to understand. But again it is very important to get advice from the right legal consultancy services before entering in to the business. It is always better to have links with advisors who might have study either in USA or Europe or who exclusively dealing with foreign clients. Then things are very easy in India.
Indian Banking support to Foreign Investment: There are many Indian local banks, who are ready to give more than 80% funding support project to project base. There are many government business development organization which are also funding 1:1 base system fund to Foreign investment in India, It means if the investment is 100,000 USD , These agencies can also support you 100,000 USD, Some public sectors bank are even ready to fund 1:3 system , It means if investment is 100,000 USD these banks will give support up to 300,000 USD depend upon project to project base and again depend upon the consultant who guide you properly
How to participate in big projects in India:
There are many International projects in India like port, shipping power. Automobile, Road, Telecommunication water Management, waste Management Railway etc. These projects are mainly coming from the government sectors via Global Tender systems some of the projects are BOT base (Built operate and Transfer after 30 or 50 years) some are PPP based. Means public private participation, There another system with the government called special vehicles system (SVS) it means if any Foreign investors/ company wish to participate or want to do the project in India. They can follow this system also SVS) this sometime better then Global Tender etc.
Be your own Boss in India:
It is very important to the foreign investors and company to have Joint ventures with Indian company but it is always better you set-up yours own business system in India, because there are many non professional companies and investors in India who may be not suitable for the foreign investors / companies for long run business in India. Again get first advice before entry in to any agreement. It is important to calculate all the risk factor and get advice with professional before jumping in to any JV in India especially with private sectors government sectors is OK because security is there.
Mgr Kumar sunil IIBDC consultant India www.viadeo.com/en/profile/kumar.suni