Nidhi is a Hindi word, which means finance or fund. Nidhi Company is one of the categories of Non-Banking Financial Company (NBFC) that does not require any Reserve Bank license. The Nidhi Company is very easy and cheap to form to register. Hence, this is the main reason as to why the Nidhi Company is so famous between the business communities
The main thrust to register Nidhi Company in India is to promote the saving habits among its members for their mutual benefits.
Nidhi Company has following features:
Documents required to incorporate Nidhi Companies in India:
Following are the documents required for company incorporation for each director/ shareholder
Minimum Requirement before Incorporation
1. Minimum 7 shareholders
2. Minimum 3 Directors
3. Minimum capital of 10 lacs
4. DIN of all Directors
Maximum Requirement after Incorporation
1. Minimum number of 200 shareholders
2. Net owned fund shall not be less than Rs.10 Lacs
3. Unencumbered deposit of not less than 10% of the outstanding deposits
4. Net owned funds to deposits ratio should be more than 1:20
Every Nidhi Company shall have the above requirement after one year of its incorporation. If the company fails to fulfil the requirements, then such company is prohibited from accepting any more financial deposit.
4 Steps to get incorporated. We'll email you at different points in the process or you can check the status of your order anytime in our Online Status Centre.
We ensure that all the information provided during the order process meets the requirements for registering a Nidhi Company. We'll contact you before we prepare the application, in case of issues.
We conduct a preliminary name check to see name availabily with Registrar of Companies & Registrar of Trademarks. Final name approval shall be granted by the Registrar of Companies.
We prepare incorporation documents and file it on the MCA Portal. Processing times vary upon state to state, but can be fulfilled within 3-5 business days with expedited service.
Once the name approval is obtained, registration documents can be submitted to the MCA along with an application for registration. MCA will usually approve the application for incorporation in 5 to 7 days, subject to their processing time.