Technical Collaboration Agreement.

This agreement is made between an India company and a foreign company for passing technical know how for manufacturing a similar product abroad. Collaborative Agreements are written agreements between two or more parties that contribute to a project. It is one of the type of Joint Venture between the two or more individuals/company/partnership firm to combine together in order to undertake the production/manufacturing of certain product or to do special business and/or to provide certain services in respect of the product such as lend its technical know-how.

₹ 825.00


What are the approvals required to set up a JV?


A two tier approval mechanism has been provided:-
1. Automatic Approval Route: - FDI in sectors or activities to the extent permitted under automatic route does not require any prior approval either by Government of India or Reserve Bank of India (RBI). The investors are only required to notify the Regional office concerned of RBI within 30 days of receipt of inward remittances and file the required documents with that office within 30 days of issue of shares to foreign investors.
2. Foreign Investment Promotion Board (FIPB) Approval Route:- FDI in activities not covered under the automatic approval route requires prior Government approval and are considered by the Foreign Investment Promotion Board (FIPB).The FIPB has been set up in the Ministry of Finance to promote inflows of FDI into the country, as also to provide appropriate institutional arrangements, transparent procedures and guidelines for investment promotion and to consider and approve/recommend proposals for foreign investment.


What is meant by a Collaboration Agreement?


A collaboration agreement is an arrangement that allows one company to use the expertise and skills of another.


What is Joint venture?


A joint venture is a new enterprise owned by two or more participants. It represents a combination of subsets of assets contributed by two (or more) business entities for a specific business purpose and a limited duration.


Who are the approving authorities for collaborations in India?


1. The Reserve Bank of India (RBI); 
2. The Department of Industrial Development in the Ministry of Industry, Government of India;
3. Foreign Investment Promotion Board (FIPB): The FIPB is the nodal, single window agency for all matters relating to foreign direct investment (FDI) as well as promoting investment into the country. Secretary, Industry (Department of Industrial Policy and Promotion) chairs it.


What is the validity of a foreign collaboration approval?


Government approval for foreign collaboration is valid for an initial period of two years, which may be extended for one more year. In case any further extension is needed, beyond   the period of three years, it will be considered by the Foreign Investment Promotion Board on the recommendation of the administrative ministry.


What happens when a JV has a non-resident partner?


1. Approval of Reserve bank of India {RBI} will be required for acquiring shares of the company and establishing place of business in India 
2. A non-resident Indian citizen / Person of Indian origin are generally permitted to subscribe to the memorandum and articles of association 
3. Such company can issue shares to the non-residents subject to the condition that the total face value of shares is not to exceed Rs 10,000 
4. The company cannot engage in the activity of agriculture / plantation / dealing in real estate other than its development and the company files a declaration with RBI within 90 days of its incorporation. With the ongoing liberalization more general permissions of RBI are expected.




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Stamp Paper

The Stamp Duty value will be made available to you at your legaljini account on purchase of the document.


Stamp Duty Payment option 1

If you wish to print Agreement on Stamp Paper, you can buy from court/ Stamp office and said Stamp paper will be used as 1st page of Agreement. If you wish to have 2 copies of Agreement you should buy 2 Stamp Papers (one Stamp Paper for each copy)


Stamp Duty Payment option 2

If you have facility of franking for Stamp Duty payment at nearest bank, you need to print the Agreement & get franking done. If you wish to have 2 copies of Agreement you should frank 2 copies (one copy for each party)





Printing on Legal Paper:



On Stamp Paper

Print ONLY on the blank portion of the stamp paper.


On Ledger Paper

Print on a SINGLE SIDE of a sheet of Ledger Paper.





Number of Copies Needed:

Collaboration Agreements are generally executed in Duplicate and duplicate is also required to be stamped accordingly.





Photographs & Signatures/ Thumb Impression & Initials:

The concerned parties should sign, or affix their mark and recent passport size photograph against their names on the last page of the document. This document must initialed or marked by the concerned parties at the end of every page. In addition or corrections/ alterations made after printing must be initialed.





Witness Attestation (Both Parties):

This document must be attested by at least two witnesses from both sides.





Registration/ Notary

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Registration Mandatory

Please contact the nearest Sub Registrar office for registration of this document.




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