What is FDI Filing?
When a company in India receives foreign investment, it must report and file details with the Reserve Bank of India (RBI) through the Foreign Investment Reporting and Management System (FIRMS portal), in compliance with FEMA regulations.
This ensures the investment is legal, transparent, and properly recorded under Indian law.
Key FDI Forms to be Filed with RBI
1) Form FC-GPR
⇒ Filed when a company issues shares or convertible securities to a foreign investor
⇒ To be filed within 30 days from the date of allotment
2) Form FC-TRS
⇒ Filed when shares are transferred between a resident and a non-resident
⇒ To be filed within 60 days from the date of transfer
3) Form FLA (Foreign Liabilities and Assets)
⇒ Annual return showing foreign investment in the company
⇒ To be filed by 15th July every year
4) Form LLP(I) / LLP(II)
⇒ For FDI in Limited Liability Partnerships (LLPs) – capital contribution and disinvestment
5) Form CN (Convertible Notes)
⇒ Applicable when a startup issues convertible notes to a non-resident
Documents Required for FDI Filings:
- Board resolution for share allotment or transfer
- KYC report from the foreign investor's bank
- Valuation certificate by a CA or registered valuer
- FIRC (Foreign Inward Remittance Certificate)
- Shareholder agreement / transfer deed (if applicable)
- Company incorporation documents and share certificates
How the Filing Process Works
1) Register on RBI’s FIRMS Portal
⇒ Create Entity User & Business User accounts.
2) Prepare Documents
⇒ Collect FIRC, KYC, valuation report, share allotment/transfer docs.
3) Submit the Online Form
⇒ Upload documents and fill details in the correct form (FC-GPR, FC-TRS, etc.).
4) Review by RBI/AD Bank
⇒ Authorized Dealer (your bank) and RBI verify and approve the filing.
Why is FDI Filing Important?
⇒ Mandatory under FEMA – Non-filing can lead to penalties and legal issues.
⇒ Creates Legal Record – Registers the investment with RBI officially.
⇒ Builds Credibility – Shows compliance to investors and auditors.
⇒ Avoids Future Delays – Required for future funding rounds, exits, or repatriation of funds.
Who Needs to File?
⇒ Indian companies receiving foreign direct investment
⇒ Startups funded by overseas investors
⇒ Businesses transferring shares to/from non-residents
⇒ LLPs with FDI participation