Indian Startup: Companies setting up their headquarters in foreign countries have now lost their attachment there. Now these companies have started preparations to bring their headquarters back to India. They no longer find it as beneficial to continue working from abroad. According to the information, Pine Labs, Udaan and Meesho are the big names who have become disillusioned with foreign countries. They will soon start their operations from India.
Headquarters are in Singapore and America
Pine Labs and Udaan are headquartered in Singapore and ecommerce company Meesho is headquartered in the US. According to the Economic Times report, Pine Labs is waiting for the approval of its board to come to India. POS device (PoS Devices) maker Pine Labs is preparing for an IPO from 2021 itself. But, the ongoing turmoil in the market had forced him to postpone his plans. After getting the approval of the board, the company will bring its parent firm to India. Pine Labs' homecoming may happen this year. However, this will depend on regulatory approval. According to sources, Udaan is also making similar preparations and will soon launch its IPO in the market.
Went abroad for easy tax policy and foreign funding
There are many reasons behind the preparations for big Indian startups to return to India. These startups had set up their headquarters outside India for easy tax policy and foreign funding. During the last few years, the Central Government has continuously changed its policies. It is believed that in 2024, the government may give tax exemption to companies to bring them back to India. This step can be a big incentive for these startups to return home.
IPO is the biggest reason behind homecoming
If the government further simplifies the tax rules, then more and more companies will leave their foreign attractions and set up their headquarters in India. Walmart had spent approximately $900 million to bring PhonePe from Singapore to India. Many companies are preparing to return to India for IPO. The biggest reason behind Udaan's return home is IPO.
Fintech companies will also return to India
According to the information, fintech companies are also busy preparing for their return home. Groww has filed a petition before the National Companies Law Tribunal (NCLT) to come to India from America. Razorpay is also engaged in similar preparations. Pine Labs will also complete this process in a few months. Despite the challenges, India remains a profitable place for startups. The Government of India will also focus on the benefits to the Indian economy from the return of these companies.
Read this also
Get more latest business news updates