How to open a bank account in India in 2020

How to open a bank account in India in 2020

Many entrepreneurs seek to launch a startup project or to set up a business in India, and their ultimate goal is to open a current bank account in the name of the company.

In this article, we want to draw your attention to some aspects of opening a corporate account in India.

Preparation of documents

In order to open an account with an Indian bank, you will need the following:

  • A certificate of company registration;
  • PAN Company Card;
  • The resolution of the board of directors, which states that the company wants to open a bank account in India. In addition, it should be specified who will manage the account and what funds are requested (internet banking or mobile banking or cards for the account manager);
  • MoA and AOA;
  • A confirmation of registered local address. Please note, that VAT registration is not considered by banks as evidence, despite the fact that this is a government document;
  • KYC of the person authorized to manage the account in accordance with the decision of the board;
  • A solvency verification of one of the directors.

Those, who are planning to open an Indian corporate bank account, we propose to consider the following stages of this procedure:

  1. When you have collected all the necessary documents, you need to fill out and sign the account opening form in order to send it to the bank.
  2. The bank will check your documents and your company office address.
  3. Checkbooks and debit cards, network bank identifiers and user passwords will be delivered by post at the office address.

YB Case specialists can provide you with qualified advice on setting up a business in this jurisdiction and professional assistance in opening an account for a company in India.

Key advantages of opening a business account with a bank of India

A corporate account is one of the most important tools for successful business. It offers various types of benefits:

  1. First of all, you need to open an Indian bank account for accounting of a company that is engaged in entrepreneurial activities within the territory of this country. In addition, it helps to monitor business operations and the financial condition of the company.
  2. You can easily make a bank reconciliation statement at any time. And this will make it easier for you to compare the balances of “Cash-on-hand” and “Cash at bank”.
  3. In addition, you can easily file an IT declaration with other regulatory requirements, such as VAT return, professional tax, etc.
  4. Opening a business account in India offers various types of services that a savings account does not provide. These are RTGS or NEFT, LOC, round-the-clock banking, Internet banking, etc.
  5. Maintaining a balance with a positive value guarantees your right to obtain credits. This helps in obtaining an urgent loan or working capital credit, which can help you to expand your business.
Read also:
How to choose the most appropriate bank in India

When opening an account with an Indian bank, you should always choose a bank that provides the best service for business purposes. Today, most businesses use NEFT, debit cards, so they should always be secure. Even in the case of registering a company in India, you can have a certain limit on the use of funds for each director.

We recommend you asking for personal advice on opening a bank account in India. By contacting YB Case team, you are guaranteed to receive high-level service and full support at all stages of this procedure.

For more information, please use the contacts listed on the site.

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