International Accounting Standard 1


It prescribes the basis for Presentation of GENERAL PURPOSE FINANCIAL STATEMENTS (GPFS)

It ensure comparability with Entity’s FS of previous periods and with the FS of other entities

It sets out overall requirement for the Presentation of FS, guideline for their structure and minimum requirements for their content.


Apply this Standard in PREPARING & PRESENTING General Purpose Financial Statements in accordance with IFRS.

This Standard applies equally to all entities, including those that present CFS & SFS as per IFRS 10 (Consolidated Financial Statement) & IAS 27 (Separate Financial Statement) respectively except to the Structure & Content of Interim Financial Statement as per IAS 34.

This Standard use terminology that is suitable for Profit Oriented Entities only.

Key Definitions

GENERAL PURPOSE FINANCIAL STATEMENTS (referred to as Financial Statements) : – Prepared to meet the needs of users who are not in a position to require an entity to prepare tailor made Financial Statements according to their specific needs.

Impracticable : – Applying a requirement is impracticable when the entity cannot apply it after making every reasonable effort to do so.

International Financial Reporting Standards (IFRSs) : – Standards and Interpretations issued by the International Accounting Standard Board (IASB). They Comprise: –
International Financial Reporting Standards;
International Accounting Standards;
IFRIC Interpretations; and
SIC Interpretations




I am glad to inform you all the followers and readers of SWAN FINTECH, We are going to start our Financial & Technical Services to United States of America, Canada, Mexico & Countries sharing time zone with USA.

After such wonderful response from Indian Companies, it is time to expand our service to outside India. We are initiating it from 16th of April 2014. Different Menu will be available from Basic to expertise services from small business to Big corporates. Our Financial services includes Business Set up Services, Payroll, Financial Accounting, Financial Reporting in accordance with Local GAAP & IFRS. We are also providing services related to M & A, Fraud Investigation, Business Valuation, TrunKey Projects, Taxation Consultancy & Management Advisory. We are also providing IT Based services.

For More information please follow at our website as mentioned in our contact details.

Thanks for your love & support. Keep supporting us and help us to follow our Passion.






Last blog was about eligibility, but what next?

Do you know how much amount you can invest in India. No, then read below to get answer of this question.

Do you remember in our blog ENTRY ROUTES FOR INVESTMENT IN INDIA, I have mentioned some sectoral Cap. Every Non Resident Investor who are eligible to Invest in India needs to identify  in which sector he wants to Invest. After identifying the business for your Investment, you need to follow the guideline issued by Indian Government in this respect. Indian Government has laid down the maximum limit for Foreign Investment in each line of business activity in their Foreign Direct Investment Policy.

But How will you calculate that limit?

Guidelines for Calculation of Total Foreign Investment in Indian Company. (Direct or Indirect)

There may be two kind of Investment in Indian Entities: –

a) Direct Foreign Investment: – All Investment made directly by Non Resident entities into the Indian company will be counted as Direct Foreign Investment

b) Indirect Foreign Investment: – If investment made by Indian company (having Foreign investment) in another Indian company then it will be known as Indirect Foreign Investment. The entire investment by the investing company into other Indian Company would be considered for the purpose of calculation of foreign indirect investment.

The total foreign investment would be the sum total of direct and indirect foreign
investment. The above methodology of calculation would apply at every stage of investment in Indian companies and thus to each and every Indian company.

Additional Conditions to be followed: –

A) The full details about the foreign investment including ownership details etc. in Indian company(s) and information about the control of the company(s) would be furnished by the Company(s) to the Government of India at the time of seeking approval.

B) If there is any agreement between the shareholders & Foreign investor in respect of voting rights or management or appointment of board of directors and Foreign Investment needs government approval, then such agreement must disclose before the approving authority.

c) In all the sectors attracting sectoral caps , the balance equity (beyond foreign investment cap) must be held by Indian citizens or Indian entities.

d) If a declaration is made by persons as per section 187C of the Indian Companies Act about a beneficial interest being held by a non resident entity, then even though the investment may be made by a resident Indian citizen, the same shall be counted as foreign investment.

The above mentioned policy and methodology would be applicable for determining the total
foreign investment in all sectors, except in sectors where it is specified in a statute or rule there
under for eg; – Insurance sector.

I hope it will help you to assess how much amount you can invest and in which sector.

Keep following us. More write up to come on this.

For any query about your Investment feel free to ask here or you can mail us


Rahul Singla


GOING TO INVEST IN INDIA ? – Get Your Answer here – I

In our last blog related to Investment in India, we come to know that before investing we need to understand basics of FDI Policy. We raised few questions about investment. ARE YOU ELIGIBLE TO INVEST IN INDIA? Do you have answer of this question, if not then this is just for you.

Image 1.1 A Non Resident entity can invest in India except if it belongs to Pakistan or Bangladesh or entity formed in any of the country mentioned. For Pakistan, Bangladesh or entity formed in these countries can invest only under government route.

1.2  NRI’s in Nepal and Bhutan or citizen of Nepal and Bhutan can also invest in India, Subject to condition that the amount of Investment shall be paid only by way of inward remittance in free foreign exchange through normal banking channel.

1.3 Overseas corporate bodies (OCB) which are not under the adverse notice of Reserve Bank of India (RBI) can make fresh investment in India subject to approval of Government / RBI as the case may be.

1.4 Foreign Institutional Investors (FII) may invest in the capital of Indian company under the Portfolio Investment Scheme, However there is cap on investment under this scheme i.e Individual holding in a company can’t exceed 10% of the total capital and aggregate limit for the FII investment in the company is 24% of the company’s capital.

1.5 Only Security Exchange Board of India (SEBI) registered FII & NRI’s can invest/trade through registered broker on recognized stock exchange in the capital of India companies.

Key Terms: –

Non Resident : – Please refer our blog “Entry route for Investment in India

Overseas Corporate Bodies: – OCB means a company, partnership firm, society and other corporate body owned directly or indirectly to the extent of at least sixty percent by non-resident Indian and includes overseas trust in which not less than sixty percent beneficial interest is held by non-resident Indian directly or indirectly but irrevocably.

Foreign Institutional Investors: – FII means an entity established or incorporated outside India which proposes to make investment in India and which is registered as a FII in accordance with the Securities and Exchange Board of India (SEBI) (Foreign Institutional Investor) Regulations 1995.

Foreign Venture Capital Investor: – FVCI means an investor incorporated and established outside India, which is registered under the Securities and Exchange Board of India (Foreign Venture Capital Investor) Regulations, 2000 and proposes to make investment in accordance with these Regulations.

Qualified Foreign Investor: – QFI means a non-resident investor (other than SEBI registered FII and SEBI registered FVCI) who meets the KYC requirements of SEBI for the purpose of making investments in accordance with the regulations/orders/circulars of RBI/SEBI.

For Knowing about entry routes in India please refer our previous blog.

This blog is in continuation of our previous blog ” GOING TO INVEST IN INDIA ? – Get Your Answer here“. Please read that one prior to this.

Please keeping posting your views and your queries at


Rahul Singla


Swan Fintech Pvt. Ltd.

GOING TO INVEST IN INDIA ? – Get Your Answer here

After more than 2 decades of liberalization, India has gained its reputation in International market and emerges as one of the leading nation in respect of business and investment. India in current scenario is 2nd largest market in the world following china. India is one of the developing nation. Despite of recession in 2008-09 in western countries, India has performed well and continuously performing well. Few sectors have tremendous growth which includes real estate, automobile, telecommunication and FMCG products. Service industry is not exception to this growth & it is contributing as equivalent to another Industries. All the Multinational Companies having their office including Microsoft, Coco Cola, Pepsi co, Vodafone, Unilever, Procter & Gamble etc. India is appealing to all the world’s leading companies in different sector as Burger King in Food Industry, MeadWestvaco in Paper Industry, Singapore International Airline (SIA) in Aviation sector and Tesco in Multi-Brand Retail. Recently 25 global companies set up their R & D centers in India including Groupon, Abbott, Expedia, Panasonic  etc..Image

But as a investor is this sufficient for you to invest in India and park your hard earned money in any sector. I don’t think so it would be smart decision to invest like this. No doubt India has potential to provide you better return on amount invested but it is better to know Indian Government policy before investing. Every citizen who is not resident of India, needs to follow Foreign Direct Investment (FDI) policy . Do you have answers of your all questions which you should ask before investing, like: –

a) Are you authorized to Invest?

b) How much amount you can Invest?

c) In which entity & business sector you can invest?

d) What are the Investment mode?

e) What are the Tax implications?

f) How can you repatriate invested & earner money?

I will try to address all the question asked above and other issues related to this subject in my later blogs very soon in continuation to this. If you have any query you can reach us through our E-Mail ID


Rahul Singla


SWAN FinTech Pvt. Ltd.