In the global economic market, India is one of the major forces and it is the second biggest market in the world, only second to China. Although India is a developing economy, it has a huge impact on the global economic market. Almost all of the world’s developed nations want to have ties with India or want to expand already existing ones.

India has a huge market base and fast-developing spending habits of its citizens which makes it one of the preferred destinations for foreign investors who want to expand their businesses. India is a diverse country and also has a history of welcoming foreigners in the past. 

Along with all of us, the country has highly skilled people along with other advantages such as Government support, Government initiatives, attractive foreign policies, all of which are good for people who want to start a business in India. Let’s have a look at some of the advantages of starting a business in India for foreigners: 

A Large Population
For any investor, a large population is always beneficial since it means more customers which always helps a business grow. India is the 2nd largest market in the world and this is a huge advantage of starting a business in India. A big market, a very large population, a growing economy are all the things that attract investors and India has all of these things. 

Unlike other countries where the tax system is very complicated and it becomes very hard for foreigners to understand those, India has a comprehensive tax system and recently, the Indian tax system has been amended by additions of bills like the Direct Taxes Code and the Goods and Service Tax (GST) bill. 

Both of these make it easier for people to do business in India. Foreigners generally avoid countries that have a complicated tax system and a complicated tax system always repels foreign investors, and sometimes even domestic investors too. 

A Comprehensive Taxation System
Along with a comprehensive taxation system, India also has business-friendly laws that make it easier for businesses operating in different sectors to continue their operations without any problem. In recent years, there have been different bills passed in the Indian parliament that are beneficial for businesses and industrial sects. These include bills like The Goods and Services Tax Bill, Direct Taxes Code Bill, the Land Acquisition Bill, the Companies Bill, etc.

All of the bills that have been passed in the Indian parliament are beneficial for the businessmen and these business-friendly laws make it easier for international investors to turn their plans into reality by entering the Indian market. 

Low Operational Costs
The operational costs in India are low as compared to other countries. Everything from infrastructures to phones to the internet to labor to salaries is very affordable and something that any investor can afford to set up a business. Plus, most of the workers are willing to work at low costs as compared to other markets such as the USA. These low operational costs are very beneficial and another attractive feature of the Indian market. 

A Huge Population of English-Speak People
Since English is an international language, most foreign people have difficulties opening a business in a company where people don’t know the English language, however, India has a strong base of English-speaking people. 

The Indian graduates that graduate every year are very prolific and fluent in English, although the accent and vocabulary of Indian English might be different from that of American or British English, this isn’t that big of a problem. If you are not sure how good English speakers Indians are then you can randomly find one on Omegle and other similar platforms such as Chatroulette to see how good English Indians can speak.

This is a huge advantage for foreign investors as Indian people can speak English fluently and they also have command over local Indian languages making it easier for them to operate in India. 

Friendly Government`s Initiatives
The government of India has also tried its best to attract foreign investors in India. The government has taken several initiatives to support foreign investors and also attract them to diverse sectors by announcing several schemes and policies from time to time to lure them into investing in India. 

The government has even made attempts to ease the regulations related to foreign investment in different industries in order to promote foreign investments in the country. Now, who would want to avoid investing in such a country where the government itself is supporting the investors by easing the rules and regulations for the foreign investors.

Foreign investors who are looking to start a business should know that starting a business is the right decision because it is currently the fastest-growing country in the world, ranks 6th in growing international economies, and has a huge population, all of the things that any investor would love in a foreign country.