Investment by capitalization allows conversion of export receivables into equity abroad, subject to Reserve Bank permission and filing requirements. Investment by capitalization allows an Indian party to convert amounts due from a foreign entity-including payment for exported goods or software and entitlements such as fees, royalties, commissions and service payments-into equity abroad under Part I, but export proceeds or entitlements unrealised beyond the prescribed period cannot be capitalised without prior permission of the Reserve Bank. An Indian software exporter may receive shares in an overseas software start up as consideration for exports by filing the required application through an Authorised Dealer.