GCC Nexus · Cost Guide 2026

GCC Setup Cost in India 2026.
One-time and ongoing, by team size.

Quick answer
One-time GCC setup costs in India run ~$31,000 (entity registration ~$1K, legal ~$5K, office deposit ~$20K, IT infrastructure ~$5K). No recruitment setup fees. Laptops are a per-employee ongoing overhead. Ongoing costs are primarily engineering salaries - a team of 10 senior engineers at the top 25% bracket costs $443K-$611K/year total, versus $1.75M-$2.5M for an equivalent US team. Source: GCC Nexus client data 2024-25.
One-time setup costs

What you pay once to set up your GCC

These costs happen once, in the first 3-6 months. They are largely independent of team size.

Cost componentEstimate (USD)TimelineNotes
Entity registration (Pvt Ltd)~$1,000Weeks 3-10MOA/AOA, RoC filing, PAN, TAN, GST, bank account
Legal and compliance setup~$5,000Weeks 1-8Employment law review, IP agreements, POSH policy, NDA templates
Office deposit (50-person team)~$20,000Weeks 4-10Security deposit for managed office in tech park. Refundable on exit.
IT infrastructure~$5,000Weeks 6-12Firewall, networking, security tools, initial SaaS licences. Laptops are per-employee overhead cost.
Total one-time setup~$31,000Months 1-5GCC Nexus manages all of the above in parallel. No recruitment setup fees.

Based on GCC Nexus client engagements 2024-25. Office costs vary significantly by city - Bangalore highest, Pune lowest (~30% less).

Ongoing costs by team size

Annual GCC operating cost - by team size

Engineering salaries are the primary cost. Operating overhead = 20% of salary (payroll processing, PF, gratuity, statutory compliance, HR). Laptops = $2,000 per employee one-time on hire. Senior engineer mix assumed at top 25% bracket.

10
engineers
Salary (top 25% blend)$350K-$490K
Operating overhead (20%)$70K-$98K
Health insurance ($300/emp)$3K
Laptops ($2K each, one-time)$20K
Total year-one cost~$443K-$611K
vs US equivalent$1.75M-$2.5M
20
engineers
Salary (top 25% blend)$700K-$980K
Operating overhead (20%)$140K-$196K
Health insurance ($300/emp)$6K
Laptops ($2K each, one-time)$40K
Total year-one cost~$1.0M-$1.44M
vs US equivalent$3.5M-$5M
50
engineers
Salary (top 25% blend)$1.75M-$2.45M
Operating overhead (20%)$350K-$490K
Health insurance ($300/emp)$15K
Laptops ($2K each, one-time)$100K
Total year-one cost~$2.22M-$3.06M
vs US equivalent$8.75M-$12.5M
Detailed cost breakdown - 20 engineers, year one
Cost componentIndia (20 engineers)US (20 engineers)
Engineering salaries (top 25% blend)$700,000-$980,000$2,600,000-$3,700,000
Operating overhead - 20% of salary
Payroll processing, PF, gratuity, statutory compliance, HR admin
$140,000-$196,000$520,000-$740,000
Group health insurance - $300 per employee/year$6,000$300,000-$500,000
Laptops - $2,000 per employee (one-time on hire)$40,000$60,000-$80,000
Office workspace (annual rent, managed office)$60,000-$100,000$200,000-$400,000
Total year-one cost (20 engineers)$946,000-$1,322,000$3,680,000-$5,420,000
Annual saving vs US$2.7M-$4.4M saved per year
The setup cost payback is measured in days, not months. One-time setup costs of ~$31,000 (plus $40,000 in laptops for a 20-engineer team) are recovered within 1-2 weeks of team operation - saving $2.7M-$4.4M per year versus a US team. The office deposit (~$20,000) is refundable on exit. The longer you wait to set up your GCC, the more you are paying in US hiring costs.

India salary figures from GCC Nexus salary engine (senior level, top 25%, ₹90:$1). Operating overhead of 20% covers PF, gratuity, ESIC, statutory compliance and HR admin. Group health insurance at $300 per employee per year. Laptops at $2,000 per employee one-time. US figures from Glassdoor USA and Levels.fyi 2025. Mix assumed: 70% senior, 30% mid-level.

Cost by city

How city choice affects your GCC cost

Same role, same quality - different cities. Engineering talent cost vs Bangalore = 100.

CityCost indexSenior engineer salary rangeOffice cost/desk/monthBest engineering roles
Bangalore100 (benchmark)$39-55K/yr top 25%$250-$450AI/ML, product, deep tech
Hyderabad85-88$33-47K/yr top 25%$180-$320Data, cloud, BFSI
Pune80-82$31-44K/yr top 25%$150-$280Fintech, enterprise backend
Chennai76-78$30-42K/yr top 25%$130-$250Infrastructure, QA
Hyderabad vs Bangalore: For most engineering functions, Hyderabad delivers 12-15% lower cost with comparable talent depth and lower attrition. For a 20-engineer team, that translates to $120,000-$180,000 in annual savings - significant enough to warrant serious consideration for cost-sensitive GCCs.
FAQ

GCC setup cost - common questions

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