Nidhi Company Registration

An ideal option for promoting small savings among middle and lower middle class and provide an easy source of loan to members with minimum formalities.

  • Requirement of One DSC & three DINs

    For the registration directors must have one DIN and three DINs be registered with the MCA

  • Selection of Company Name

    Providing you assistance in selecting a unique name for company.

  • Approval from RBI

    Provide you assistance in getting approval from RBI

What is a Nidhi Company?

Nidhi Company is a company registered under Companies Act 2013 with the sole motive for creating the habit of savings and thrift among its members. It is one of the classes of NBFC. Nidhi Company is a public limited company to facilitate the deposit and lending among members. It is known under different names such as permanent funds, mutual benefit funds, a mutual benefit company and benefit funds. All lending and borrowing must comply with rules laid down in Chapter XXIV of Company Rules, 2014.

Requirements for incorporating Nidhi Company

  • Requirement of Equity Capital

    At the time of incorporation Nidhi Company must have a paid up equity share capital of Rs. 5 lakhs Net owned fund should be 10 lakhs and ratio of net owned fund to deposit shall not be more than 1:20. However, 10% of the total deposit collected from members must be in a fixed deposit in a nationalized bank.

  • Regulated by MCA & RBI

    Nidhi Company‘s activities are regulated by MCA and RBI. RBI has exempted the notified Nidhi from core provisions of RBI and other directions are applicable to NBFC. Nidhi Companies are only allowed deposits which are over six months and less than five years old.

  • Minimum Number of Members

    For Incorporating a Nidhi Company must have at least 3 directors and 7 shareholders. It must have at least accumulated 200 members within a year of its formation, otherwise it has to apply for permission for extension of time limit to collect more members.

Documents Required for Nidhi Company Registration

Following documents are required to be submitted by all directors in self attested form.

  • PAN Card
  • Driver’s License/ Voter ID/ Aadhar Card/Passport
  • Bank Statement/ Telephone Bill/Mobile Bill/ Electricity Bill
  • Latest Passport-size Photograph
  • Specimen Signature Certificate
  • Copy of NOC from the owner of property
  • Copy of Sale deed in case of owned property

Features of Nidhi Company

  • Borrowing at lower rate

    A major advantage of Nidhi Company is that member of Nidhi Company is able to borrow money at cheaper rate as compared to bank lending rates which will be very economical in today’s time.

  • Promotes Savings

    A Nidhi Company motive is to promote savings and thrift among its members. It encourages borrowing and lending of money among its members as it acts as mutual benefit society.

  • Less formalities and obstacles

    Borrowing and lending process is much easy as compared to banks because borrowing and lending are made between known members of company where the procedure is fixed. A Nidhi Company encourages members to unlock the potential of their money and borrow money at lower rate of interest.

Procedure for Nidhi Company Registration

  • 8 Working Days for registration

    For registration of Nidhi Company, at least 3 directors should apply for Digital Signature Certificate (DSC). We will file registration as per documents submitted by you in this regard

  • 14 Working Days for selection of Company’s name

    After making application for DSC, our next step would be selection of unique name for your company as per regulations this will take up to a week, depending on whether you have all the documents in order.

  • 35 Working days for getting incorporation certificate

    After getting understanding about your business and submission of your document, we will provide you incorporation certificate in around 35 working days depending upon govt’s approval.


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