Startup Services

Nidhi Company Registration

Nidhi companies are just like Public Limited Companies but having the word Nidhi before Limited. Nidhi companies are allowed to borrow from their members and lend to their members. Therefore, the funds contributed to a Nidhi company is only from its members (shareholders). They are created primarily for the motive of cultivating the habit of thrift and savings among their members.

Main Business of Nidhi Company

Nidhi Companies are registered Limited Companies involved in taking deposits and lending to their members. Nidhi Companies ONLY deal with shareholder-members money, RBI has exempted Nidhi Companies from the core provisions of the RBI and other regulations applicable to an NBFC.

Features Of Nidhi Company

  • Borrow from and lend only to members
  • Incorporate as Public Limited Company
  • Not Required to register with RBI
  • Minimum 7 Members, 3 Directors
  • 5 Lakh Capital

Requirements For Nidhi Company

Compliances to be made after One Year of Incorporation

  • Unencumbered term deposits of not less than 10 percent
  • Net Owned Fund of Rs.10 Lacs or More Minimum 200 Members
  • Net Owned fund to deposits ratio not more than 1: 20