If you want to start your own finance business, but want to avoid the hassles of RBI, then Nidhi Registration can become your best friend! This is one such way through which you can create a secure platform of savings and lending for your community. We will make this process so easy for you that you can run your business from small towns to big metros. 

Nidhi Companies, which come under Section 406 of Companies Act, 2013, promote savings among their members and give them low-interest loans. But all this is not as simple as it seems – clients have to face many problems, such as complex documentation, legal compliances, and time-consuming processes. Don’t worry, in this article we will solve every problem and guide you step-by-step so that you can enjoy Nidhi Registration in India.

What is Nidhi Registration and Why is it Mandatory?

Nidhi Registration is an idea which is a unique form of Non-Banking Financial Company. These companies work for their members – meaning, only shareholders or members can make deposits or take loans in it. It is a mutual benefit society which is perfect for small and middle-class communities, especially in rural and semi-urban areas. 

It provides exemption from the strict rules of RBI, which normal NBFCs have to follow. But, clients often do not understand how to register a Nidhi Company or what is required for this. Company Registration Online will take you out of this confusion and take you straight to the path of success.

Benefits of Nidhi Company Registration in India

Nidhi Company Registration in India has so many benefits that you will be amazed! The biggest benefit? Low risk! Since this company deals only with its members, the risk of default is quite low. 

Secondly, its registration process is cheap and simple as compared to other NBFCs. 

Thirdly, it promotes savings, which works to bring financial discipline in small cities and villages of India. And yes, Nidhi Companies can earn up to 20% interest on loans, which can become a stable income source. But the problem is that many clients feel that this process is complicated or it takes time. 

We will tell you how you can register your company in 14-21 days, without any headache.

How to Create a Nidhi Registration Company?

Let’s talk about the action of forming a Nidhi Company Registration. This process may seem a little technical, but if you are with us, it is as easy as you want it to be! Clients often do not understand which documents are required or how to get the name approved. 

Don’t worry, we will explain you every step:

Digital Signature Certificate (DSC) and DIN: First of all, directors have to get the DSC and Director Identification Number (DIN). This is obtained from MCA-certified agencies.

Name Approval: You have to suggest 3 unique names for your company. MCA will choose one of these, which will be valid for 20 days.

SPICe+ Form: After the name is approved, SPICe+ form has to be filled. This is an online form which is used for company incorporation.

MoA and AoA: Memorandum of Association (MoA) and Articles of Association (AoA) have to be drafted. In which the objective of the company should be clearly mentioned.

Certificate of Incorporation (CIN): You will get the CIN within 15-25 days, which will be the official registration certificate of your company.

What Documents are Required in the Fund Registration Process?

The list of documents that you will need:

Identity Proof: Adhar Card, PAN Card, Voter ID, or Passport for Directors and Shareholders.

Address Proof: Mobile Bill, Bank Statement or Electricity Bill – should not be older than 2 months.

Registered Office Proof: Rent agreement or property ownership documents, and NOC from landlord.

Passport-size Photos: Photos of all directors and shareholders.

MoA and AoA: The objective of the company should be clearly mentioned in these.

Also Read This: Nidhi Company Registration with 20% OFF in Just 7 Days

Minimum Requirements for a Nidhi Company?

There are some basic requirements to form a Nidhi Company which you have to fulfill. These requirements are a little strict, but it is important to understand them:

7 Shareholders Minimum: There should be 7 shareholders at the time of the company of Incorporation.

Minimum 3 Directors: One of them should be an Indian resident.

Paid-up Capital: Minimum ₹10 lakh is required.

Net Owned Funds (NOF): There should be a NOF of ₹20 lakh within 120 days of registration.

200 Members: The company should have 200 members within a year, otherwise you have to file an NDH-2 form and ask for an extension.

What Problems Do Clients Face?

Let’s get real. 

These are the common problems clients face during the Nidhi Registration process:

Complex Documentation: It is difficult to understand the clutter of documents and their format.

Name Rejection: MCA again and again rejects the name of a company if it is related to an existing company.

Time Delay: Form filing and verification can take up to 30-45 days, which is frustrating for clients.

Compliance Confusion: Even after registration, there is confusion about annual returns, audits, and NDH-1/NDH-2 forms.

Lack of Knowledge: Many clients do not know about Nidhi Company’s restrictions (like not being able to provide vehicle loans).

We provide solutions to all these problems! With us, you will get dedicated experts who will guide you at every step. Like handle documentation, and give clear advice regarding compliances.

Restrictions and Limitation of Nidhi Company

Nidhi Companies have their own rules. It is important to understand them so that you do not make any mistakes. 

Here are some important restrictions:

Deal only with members: You cannot take deposits from non-members or give them loans.

No Vehicle Loans: Nidhi Companies cannot go into vehicle finance or microfinance.

Branch Limitations: You can open 3 branches in a district only after 3 years. And separate registration is required for business outside the state.

No Chit Funds: You cannot do chit funds, leasing, or insurance business.

How to Manage Nidhi Company Compliances?

The work does not end even after registration. Nidhi Companies have to follow regular compliances, else they can face penalties. 

Here are some important compliances:

NDH-1 Form: Has to be filed within 90 days of the first financial year, which should be certified by CA/CS/CWA.

Annual Returns: Annual returns have to be filed with ROC every year.

Statutory Audit: Getting an annual audit done by a Chartered Accountant is mandatory.

NDH-2 Form: If the target of 200 members is not met, then this form has to be filed for extension.

Why Choose Us?

The biggest reason to choose Company Registration Online is their expert team which is always with you. Be it a CA, CS or a legal expert – you will get proper guidance at every step, without any tension.

This service is not only smooth but also affordable. You can complete your registration without overpaying. And the process is also fast – work is done quickly, without delay.

The best thing is that they handle everything – from documentation to post-registration compliance. Clean service, no hidden charges, everything is transparent and clear. When it comes to an important decision like Nidhi Registration, there is no question of compromise.

How is the Future of Nidhi Company?

The craze for financial inclusion is growing in India, and Nidhi Companies are playing a big role in it. These companies fill the gap of banking services in rural and semi-urban areas. They empower the middle-class and lower-income groups through low-interest loans and savings accounts. Plus, the government is also supporting MSMEs and financial institutions, so the future of Nidhi Companies is bright.

Now it’s your turn – start your Nidhi business!

So what are you thinking? 

Start your finance business with Nidhi Registration and make your community financially strong! This will not only build your business, but will also bring change in people’s lives. With us, you don’t need to worry – we are with you every step of the way. Just make one call and make your dream of Nidhi Company a reality!

Contact Us Today!

Come on, don’t delay any longer – start your Nidhi business and enjoy the flight of financial freedom!