If you’re searching “cost to set up an office in India”, “India GCC cost”, or “India office setup budget”, this is the page you want. This guide breaks down every real cost line-item—entity, hiring, office, compliance, tech—and shows how costs change by city, model, and scale so CFOs and expansion leaders can approve budgets with confidence.
Quick Answer (TL;DR)
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Pilot team (10–20 via EOR): $30k–$60k setup + higher monthly premium
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GCC launch (50 employees, Tier-2 city): $1.6M–$2.0M (Year 1)
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GCC launch (50 employees, Tier-1 city): $2.5M–$3.0M (Year 1)
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Break-even vs EOR: 6–9 months
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5-year savings (Tier-2 vs Tier-1, 100 engineers): $6M–$10M
What “Office Setup Cost in India” Really Includes
Many calculators miss hidden costs. A complete India setup budget includes:
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Legal & incorporation
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Office & infrastructure
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Hiring & salaries
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Payroll, HR & compliance
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IT, security & licenses
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Management & overhead
We’ll price each—accurately.
Step 1: Choose the Setup Model (Cost Driver #1)
Cost by Model (Year 1)
| Model | Setup Cost | Ongoing Cost | Best Use |
|---|---|---|---|
| EOR | $5k–$15k | High (15–30% premium) | Pilot (≤20) |
| Partner-Led GCC | $30k–$60k | Low | Fast scale |
| Wholly Owned GCC | $40k–$80k | Lowest | Long-term |
Rule: If you’ll cross 30 hires, move to a GCC.
Step 2: City Choice (Cost Driver #2)
Fully Loaded Annual Cost per Employee (USD)
| City Type | Cost |
|---|---|
| Tier-1 (BLR/HYD/Pune) | $45k–$60k |
| Tier-2 (Indore/Coimbatore/Kochi) | $28k–$40k |
Attrition impact: Tier-2 averages 7–11% vs Tier-1 18–25% (a hidden cost swing).
Step 3: One-Time Setup Costs (Realistic)
Legal, Finance & Compliance (USD)
| Item | Cost |
|---|---|
| Incorporation & registrations | $2k–$5k |
| Legal templates (India-specific) | $3k–$8k |
| Accounting & tax setup | $2k–$4k |
| Bank & payments | $1k–$2k |
| Total (one-time) | $8k–$19k |
Step 4: Office & Infrastructure Costs
Monthly Office Cost per Seat (USD)
| Office Type | Tier-1 | Tier-2 |
|---|---|---|
| Managed office | $250–$450 | $150–$300 |
| IT park / SEZ | $200–$350 | $120–$250 |
| Hybrid (WFH + hub) | $120–$220 | $80–$150 |
Best practice: Start managed → expand later.
Step 5: Hiring & Salary Budget (Year 1)
Salary Bands (USD / year)
| Role | Tier-1 | Tier-2 |
|---|---|---|
| Senior Engineer | $35k–$50k | $28k–$40k |
| Mid Engineer | $22k–$32k | $16k–$24k |
| QA Automation | $22k–$35k | $18k–$28k |
| DevOps / SRE | $38k–$60k | $32k–$52k |
Step 6: Payroll, HR & Compliance (Annual)
| Item | Cost |
|---|---|
| Payroll & filings | $5k–$10k |
| Statutory audit | $2k–$5k |
| HR compliance & POSH | $3k–$6k |
| Ongoing legal advisory | $5k–$15k |
| Total | $15k–$36k |
Step 7: IT, Security & Tools (Annual)
| Item | Cost |
|---|---|
| Laptops & peripherals | $1.2k–$2k / hire |
| Cloud & dev tools | $800–$2k / hire |
| Security & IAM | $300–$800 / hire |
| Typical total (50 hires) | $100k–$180k |
Sample Budgets (All-In)
50 Employees — Tier-2 City (Year 1)
| Category | Cost |
|---|---|
| One-time setup | $40k |
| Salaries & benefits | $1.4M |
| Office & infra | $220k |
| HR & compliance | $30k |
| IT & security | $150k |
| Total | $1.84M |
50 Employees — Tier-1 City (Year 1)
$2.6M–$3.0M (same scope)
5-Year Cost & ROI Comparison (100 Engineers)
| Model | 5-Year TCO | ROI |
|---|---|---|
| EOR | Highest | Low |
| Tier-1 GCC | Medium-High | Medium |
| Tier-2 GCC | Lowest | Compounding |
Savings vs Tier-1: $6M–$10M over 5 years.
Hidden Costs to Watch (Most Teams Miss These)
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Attrition & rehiring
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Delayed productivity
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Overpaying Tier-1 premiums
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Compliance penalties
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Tool sprawl
Mitigation: Senior-first hiring + Tier-2 cities.
How to Reduce Costs Without Cutting Quality
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Choose Tier-2 cities
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Hire senior first
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Lock compensation bands early
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Start with managed offices
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Parallelize entity + hiring
How Supersourcing Helps You Build a Clean, Predictable Cost Model
Supersourcing designs cost-right GCCs—no surprises.
Why teams choose Supersourcing
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CMMI Level 5 execution discipline
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Google AI Accelerator Batch participant
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LinkedIn Top 10 company recognition
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Tier-2 GCC specialization
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End-to-end ownership: setup → hiring → compliance → scale
Outcome: Lower TCO, faster break-even, higher retention.
Final Takeaway (For Searchers)
If you want a reliable India office setup budget:
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Pick the right model (GCC > EOR at scale)
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Choose Tier-2 cities
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Budget fully loaded costs
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Plan on a 5-year horizon
That’s how teams build predictable, high-ROI operations in India.