Hi,
I am from Bangalore and wanted to start a Trust to provide financial aid to the needy for healthcare purposes. The source of funds, I am looking it is from NRIs. So now, he mentioned that to get foreign funds, we need to take approval from Home Ministry and it is a tedious process. Need to spend a good amount of time before getting that approval and hence it shall take time. It is explained in this post as well:
https://www.lawyersclubindia.com/forum/Prior-Approval-from-Ministry-of-Home-Affairs-6063.asp#.UR5GNx16-Zh
But now, as an alternative I thought if I can start a proprietary firm for the same. In that case, will I be able to receive funds because RBI lays down guidelines that FDI is not possible in sectors like Agriculture, Real estate, Gambling, Tobacco Industry, Print media and few more. But this firm shall not come under this.
Some things which I am concerned is that, here no shares shall be given. I understand it is taxable, but if I am spending the funds for charity, then tax is not an issue. Is this allowed? Kindly guide me on this.
