It’s been a while since we’ve talked about the things we’ve learned on the legal end (and trust me we’ve learned a lot). Here is where we are currently at.
- We are officially an American C-Corp- “NextDrop”
- We are in the process of becoming an Indian Private Limited Company (hopefully) “NextDrop Private Limited”
Visa Issues: We took a long time trying to figure this out but finally did.
I came on an OCI (Overseas Citizen of India) Visa.
- Pro: It gives me the same rights as any Indian, except I cannot vote, hold political office or hold agricultural land. This acts as my work permit, and I can go in and out of India as I please. I was eligible because I am of Indian descent.
- Con: It took 2.5 months to get (when I thought it would only take 30 days).
Ari has come on a Business Visa. Our main goal was to get Ari to India as fast as possible. Originally, we were not sure how long it would actually take to get one (as I thought mine would only take a month and it took close to 2.5 months). We knew that getting a Business Visa would be the best thing to get- we just weren’t sure how long it would take to process since we were a very new company and Indian governments are unpredictable. Luckily, our friends at Grey Ghost Ventures were incredibly helpful and put us in touch with the people who arranged for their Visas. With their advice, we applied and got the business Visa.
- Pro: It only took 1 day to get- even as a new company. We got an invitation letter from an Indian company. We submitted for his Visa, and he got it the next day.
- Con: It lasts for 5 years and he has to leave India every 6 months (for at least a few days I believe).
We are still waiting on my PAN card to come through for us to become a private limited company in India. To get a PAN card, we just went through our Indian lawyer (basically any lawyer in India should be able to get you a PAN card). Then, we submit our documentation and it should take about 15 more days to become a company.
If I had to do it again, this is what I would do:
- Immediately become a C Corp in the United States- because you just need to get legal entity in place to store all of your money ASAP. We tried to incorporate in India first, but finally realized we needed to have SOMETHING in place to put our winnings, so we finally incorporated in the US (because it only takes a week as opposed to…we are still waiting).
- Start the incorporation process in the United States (for Indian incorporation). This seems counterintuitive, but Ari’s paperwork is already in place because he got things notarized in the US with his US address. Since I had already moved to India, I had to have things notarized in India, which meant that I needed to prove that I lived in India, which meant that I needed to get a PAN card. Or at least my lawyer said I needed to (which I still have not received- it’s been 2 weeks). It would have been easier if I had gotten these things notarized in the US before I came, and used my US address.
- Get a business visa for everyone
- Then come to India, and make sure that the paperwork gets done (i.e. just call the lawyer every week to make sure he moves things along). If you’re not annoying your lawyer, you aren’t calling enough.
This is what we have learned so far.