Description

Nidhi Company Registration

Basic Offer

₹ 25,000/- (inclusive all)

  • 3 Digital Signature Certificates
  • 3 Director Identification Numbers
  • 1 Name Approval Application under RUN
  • Stamp duty on INR 5 Lakh Authorized Capital
  • Company Incorporation using SPICe
  • MOA & AOA
  • PAN
  • TAN

Combo Offer

₹ 30,000/- (inclusive all)

  • 3 Digital Signature Certificates
  • 3 Director Identification Numbers
  • 1 Name Approval Application under RUN
  • Stamp duty on INR 5 Lakh Authorized Capital
  • Company Incorporation using SPICe
  • MOA & AOA
  • PAN
  • TAN
  • MSME
  • GST Registration
  • First 3 Month GST Return

Documents Requirements

  • PAN Card

PAN Card of shareholders and Directors.

Foreign nationals must provide a valid passport.

  • Identity Proof

Aadhar card and Voter ID/ Passport/ Driving License of Shareholders and Directors.

  • Director’s Address Proof

Latest Telephone Bill /Electricity Bill/ Bank Account Statement of Shareholders and Directors.

  • Photograph

Latest Passport size photograph of Shareholders and Directors.

  • Business Address Proof

Latest Electricity Bill/ Telephone Bill of the registered office address

  • NOC from owner

No Objection Certificate to be obtained from the owner(s) of registered office.

  • Rent Agreement

Rent Agreement of the registered office should be provided if any

Procedure

Day 1 – 2

Review of documents and information provided

Application for Digital Signature Certificate

Day 3 – 6

Checking Name availability

Drafting of MoA, AoA & other required documents

Day 7 – 9

Name reservation application under SPICe

Filing company registration application

DIN allotment application

Application for PAN and TAN of company

Day 10 – 12

Government processing time

Knowledge Portal

What is Nidhi Company?

A Nidhi company is a type of company in the Indian non-banking finance sector, recognized under section 406 of the Companies Act, 2013. Their core business is borrowing and lending money between its members. This way, members (or shareholders) are encouraged to save money and invest them within the company. These deposits are then used by the company for its members (or shareholders), to provide loans or advances, and to acquire government-issued stocks/bonds/debentures/securities. It is regulated by the Ministry of Corporate Affairs, while the RBI monitors all its financial dealings.

Nidhi company means a company incorporated with the object of developing the habit of thrift and reserve funds amongst its members and receiving deposits and lending to its members only for their mutual benefit.

Advantages of Nidhi Company

1.Motivates Savings

It encourages all its members to save money and encourages a thrifty lifestyle. A Nidhi Company, after all, is a mutual benefit society wherein members can lend or borrow money and accept financial aid amongst them.

2.Fewer Complications

Borrowing and lending to known persons, where the procedure is fixed, is much less complicated than dealing with banks or informal settings. A Nidhi Company enables its members to unlock the potential of their money and gain from lower interest rates when they require money themselves.

3.No RBI Regulations – less compliance

By its nature of the activity, Nidhi Company comes under the category of NBFC but does not require RBI approval. These companies follow Nidhi Rules, 2014, issued in respect of the company’s activity and working. RBI has exempted Nidhi Company from following stringent compliances, so you don’t need to be in rush-n- hush as RBI will not bother if you are starting a Nidhi Company in India.

4.Cheaper To Borrow

As a member, one can borrow money at a minimum rate, relative to the rate at which banks lend money. This can be a significant advantage in times of need, as different individuals in the mutual benefit society are likely to need funds at different points in time.

Frequently Asked Questions

1.How much capital is needed for Nidhi company registration?

A minimum equity share capital of Rs 5 lakhs is needed for the registration of a Nidhi company.

2.How many directors does a Nidhi company require?

A Nidhi company requires a minimum of three directors for company registration in India.

3.How many shareholders does a Nidhi company require?

A Nidhi company requires a minimum of eight shareholders for company registration in India.

4.What are the criteria to become a representative of a Nidhi Company?

Any person can deposit, lend, or borrow money through the Companies Act’s provisions, 2013. Hence, they can all become members of a Nidhi Company, provided they are not a corporation or a company.

5.How many members the Nidhi Company must have within a period of one year from the commencement?

It should acquire a minimum of 200 members within one year of commencement.