Frontstage Success – Set Up an Entertainment Business in India
Cash in on the real deal! 3E Accounting shows you how to set up an entertainment business in India from scratch.
The media and entertainment (M&E) industry in India is experiencing robust growth fuelled by a young population and high internet penetration. The industry is projected to hit forty billion USD by 2025, outgrowing the average global rate exponentially. That should give any discerning entrepreneur enough impetus to set up an entertainment business in India.
The Indian government is paving the way by implementing new policies and governance. It has also extended the Foreign Direct Investment (FDI) limit to 100%. Rising consumer demand, increasing digitalization and investment in technological infrastructure has turned this industry into a rising star.
A Strong Sunrise Sector
To set up an entertainment business in India, it helps to know exactly what the industry encompasses. India’s M&E industry is mostly consumed by its population across the following segments:
- Broadcasting, Film & Music
- Television & Radio
- Print & Digital Media
- Online Gaming, Visual Effects (VFX), Animation, etc.
- Live Events, Extreme Games, etc.
To set up an entertainment business in India, it’s best to follow these simple steps. Firstly, plan your business – write up your proposal, do research on the target market and competition, and put together the financials. This will be useful later when you need to apply for loans or get funding.
Secondly, form your legal entity. Submit your application to the Ministry of Corporate Affairs (MCA) and set up one of the following legal structures:
- Private Limited Company (PLC)
- Public Limited Company (PC)
- Limited Liability Partnership (LLP)
- Partnership Firm
- One Person Company
Company incorporation will be considered incomplete without getting your tax registration done. A few of the approvals you will need to get include:
- A Permanent Account Number (PAN) & Tax Deduction & Collection Account Number (TAN) – alphanumeric taxpayer identification
- VAT, GST and other applicable tax registrations
India also has further requirements to ensure the legality of your business. Don’t forget other necessary approvals such as:
- A Digital Signature Certificate (DSC) – for proposed directors and shareholders
- A Director Identification Number (DIN) – for proposed directors
- An Importer-Exporter Code (IEC) – from the Directorate General of Foreign Trade (DGFT) and is needed if your business has an international trade agenda
Once your company has a proper legal structure, you will need to apply for a corporate bank account and business insurance. It is also necessary to get licences and permits from the Central Government as well as State from which your business operates. These include, amongst others:
- Entertainment License
- Performance License
- Public Performance & Entertainment License (PPEL)
Finally, don’t miss out on good website design and development. A web presence will facilitate prominent branding and advertising. This will help make your business stand out from the competition.
Let the Good Times Begin
If you are keen to set up an entertainment business in India, don’t be discouraged by the complicated procedures. There are quite a few processes, and it’s best to get it right the first time around. Professional consultants such as 3E Accounting are on hand to assist you in your every need. 3E Accounting has the necessary skills to provide comprehensive solutions with every step of the way from incorporation to website design and development.
Contact 3E Accounting today for the best option in business operating strategies.
