Shark Tank India's Kunal Bahl gives 3 reasons why startups are spending crores to 'return' to India; says incorporating in India isn’t just patriotic , it is ...

TOI Tech Desk / TIMESOFINDIA.COM / Updated: Mar 7, 2025, 18:20 IST

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Snapdeal co-founder Kunal Bahl urges Indian startups to incorporate locally instead of in foreign jurisdictions. He highlights improved fundraising from Indian VCs, favorable regulatory conditions, and simplified compliance for Indian operations. Bahl emphasizes the practicality and benefits of incorporating in India, dismissing the old belief that foreign incorporation offers better fundraising and exits.

Shark Tank India's Kunal Bahl gives 3 reasons why startups are spending crores to 'return' to India; says incorporating in India isn’t just patriotic , it is ...

Snapdeal co-founder and Shark Tank India judge Kunal Bahl has urged Indian startups to incorporate locally rather than in foreign jurisdictions like Singapore or the US, calling the practice "outdated" in today's business environment.
"For years, Indian founders thought incorporating in the US or Singapore made fundraising and exits easier. In 2025, that's outdated," Bahl posted on X (formerly Twitter). "Today, incorporating in India isn't just patriotic—it's pragmatic."

Bahl, who serves as both a prominent investor through Titan Capital and as co-founder of e-commerce platform Snapdeal, outlined three key reasons why founders should reconsider establishing their companies in India.

Shark Tank India's Kunal Bahl's three reasons why Indian founders should set up their companies back in the country

"Nearly all VCs are funding Indian entities," Bahl emphasized, dismissing the notion that overseas incorporation provides fundraising advantages. "Indian investors now back all kinds of startups, including DeepTech and AI, and one doesn't need to find investors overseas to fund these spaces."
The entrepreneur highlighted recent improvements in India's regulatory environment as his second point. "India now offers startup-friendly tax policies, DPIIT benefits, and simplified compliance, unlike US/Singapore structures, which often create double taxation issues," he noted.
Bahl's third argument focused on market practicality: "If your customers, revenue, and operations are in India, local incorporation simplifies compliance, contracts, and access to government incentives."
The post comes amid growing interest in bringing Indian business operations under domestic corporate structures. Even though, Snapdeal hadn’t incorporated in Singapore or the US, it did had significant foreign investment, including from Singapore's Temasek Holdings, as revealed in its IPO filing back in 2021.
Bahl concluded with a practical note about global expansion: "You can easily sell as an Indian company to the world by setting up an overseas subsidiary. Infosys does it and so can you."

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