The selective component of the Nidhi company is that, this arrangement with deposits from and credits to its members (shareholders) just, and works for the mutual advantages of its members. In this way, the Nidhi companies do fall under a specific classification of the Non-Banking Financial Companies (NBFCs) the exercises of which are administered and [...]
Section 406 of the Companies Act 2013 and the Companies (Nidhi Companies) Rules, 2014 which governs The Law and the Procedure for Nidhi Company. They borrow and lend money to their members and also provide with the Fund Benefits and Mutual Fund Benefits. Nidhi” means a company which has been incorporated with the object of: -Cultivating the habit [...]
This article covers the Nidhi Company Registration Process in Detail. But let us first understand what is a Nidhi Company. A Nidhi company is basically a type non-banking Indian Finance company and it is also recognized under section 406 of the Companies Act 2013. They basically borrow and lead money to their members. Nidhi [...]
