Introduction
Partnership business is more comfortable to establish with low start-up cost, and it is ideal for the small entrepreneur(s) wants to start a partnership business. In this form of organisation, few like-minded people pool up their resources to form a partnership firm. The Partnership is an ideal form of organisation for medium scale business operations which require a higher amount of capital and risks than a sole proprietorship.
Foreign Investment :
There is no restriction for NRI to become a partner in the Indian partnership firm and contributing to the capital infirm. However, there are two ways to infuse capital, i.e. one is on repatriation basis (prior approval of RBI) and second is on the non-repatriation basis (automatic route by FCNR/NRE/NRO account subject to sectoral restrictions.
Non-Resident Indian: Citizens of India, holding Indian Passport, immigrated to any other country for six months or more. A Non-Resident Indian (NRI), being an Indian citizen living abroad possesses several opportunities for investment in India. One of the director/Partner needs to be a resident in India to register in Partnership.
