Nidhi Company
Registration
Start your own non-banking financial company for mutual benefit. We handle the entire incorporation and compliance process.
What is a Nidhi Company?
A Nidhi Company is a type of Non-Banking Financial Company (NBFC) recognized under Section 406 of the Companies Act, 2013. Its core business is borrowing and lending money among its members. It functions on the principle of mutual benefit and is exempt from RBI registration.
Why Choose Credorra?
Nidhi companies have specific naming conventions (must end with 'Nidhi Limited') and strict post-incorporation compliances (NDH forms). Our experts ensure you meet all MCA norms to operate legally.
Accepts Deposits
Gives Loans
Benefits of Nidhi Company
No RBI License
Exempt from mandatory RBI registration, making it easier to start than other NBFCs.
Mutual Benefit
Operates for the mutual benefit of its members, fostering community trust.
Low Capital
Can be started with a minimum paid-up capital of just ₹5 Lakhs.
Who Can Register?
- Minimum 3 Directors: Required to incorporate.
- Minimum 7 Members: Required at the time of incorporation.
- Name Clause: Name must end with "Nidhi Limited".
- Object Clause: MOA must state the objective of cultivating thrift and savings.
What Nidhi Cannot Do?
- No Public Deposits: Can only accept deposits from members.
- No Chit Funds: Cannot carry on chit fund business.
- No Insurance: Cannot carry on insurance business.
- No Hire Purchase: Cannot engage in hire purchase financing.
Documents Required
Keep these documents ready for all proposed Directors and Members.
Start Registration- PAN Card of all Directors/Members
- Aadhar Card of all Directors/Members
- Passport Size Photos of all Directors
- Proof of Address (Bank Statement/Electricity Bill - Not older than 2 months)
- Registered Office Proof (Rent Agreement + NOC from Owner + Electricity Bill)
- Digital Signature Certificate (DSC) for Directors
Simple 5-Step Process
DSC & DIN
We apply for Digital Signatures and DIN for all directors.
Name Approval
We file RUN form with "Nidhi Limited" suffix.
MOA & AOA
Drafting specific clauses for Nidhi operations.
SPICe+ Filing
Submitting incorporation forms to MCA.
NDH Compliance
Filing NDH-1 within 90 days of incorporation.
Annual Compliances
Nidhi companies have unique compliance requirements under Nidhi Rules, 2014.
- Form NDH-1: Statutory return filed within 90 days of FY end.
- Form NDH-2: Application for extension of time (if needed).
- Form NDH-3: Half-yearly return filed within 30 days.
- Annual Return (MGT-7): Filed within 60 days of AGM.
- Financial Statements (AOC-4): Filed within 30 days of AGM.
Why Compliance Matters?
Failure to file NDH forms can lead to heavy penalties and the company being declared as a defaulter. Regular compliance ensures your Nidhi company remains in good standing with the ROC.
Credorra offers annual compliance packages to keep your Nidhi company hassle-free.
Common Questions
No, Nidhi Companies are exempt from the requirement of obtaining a Certificate of Registration from RBI. They are regulated by the Ministry of Corporate Affairs (MCA).
No, a Nidhi Company can only accept deposits from and lend money to its registered members. Accepting public deposits is strictly prohibited.
The minimum paid-up equity share capital required is ₹5 Lakhs. It cannot issue preference shares.
Yes, but only after complying with certain conditions like having a net owned funds of ₹10 Lakhs and filing necessary forms with the ROC.
Start Your Financial Institution.
Don't let legal formalities delay your Nidhi Company setup. Let Credorra handle your registration and compliance with precision.
Get Started Now