A nidhi company is a type of company in the Indian non-banking finance sector, recognized under section 406 of the Companies Act, 2013. Nidhi means a company which has been incorporated with the object of developing the habit of thrift and reserve funds amongst its members and also receiving deposits and lending to its members only for their mutual benefit. The basic concept of nidhi is "Principle of Mutuality". They are also known as Permanent Fund, Benefit Funds, Mutual Benefit Funds and Mutual Benefit Company. This company's core business is borrowing and lending money between their members. These companies are more popular in South India, and 80% of Nidhi companies are located in Tamil Nadu.

Nidhi Company is in the form of Public Limited Company registered under the Companies Act, 2013. No RBI approval is required for forming a Nidhi Company as RBI has specifically exempted this category of NBFC in India to comply its core provisions such as registration with RBI etc. Nidhi Company Registration is regulated by the Central Registration Center (CRC), Manesar, Haryana on behalf of each state jurisdictional Registrar of Companies, Ministry of Corporate Affairs, Government of India. The governing law for the Nidhi Companies is Companies Act, 2013. The Government of India had announced on 26th January, 2018 that there is zero incorporation fee for the Companies registered with an Authorized Share Capital up to of Rs. 1,000,000/- (Rupees Ten Lakhs), subsequently it had been increased to Rs. 15 lakhs. The remaining fee such as Name Availability, Stamp Duty, Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN) is applicable as usual.

Those who want to borrow and lend money in between them are required to register a Nidhi Companay.

The Nidhi Company registration in India is entirely online. If you’re looking to make your company registered, then CompaniesHouse is the team for you. Register your company online with us today and you’ll be on your way to operating a registered company under 10 working days.

Directors	Three Directors
Shareholders	Seven Shareholders
Authorised Share Capital	Rs.5
Paidup Share Capital	Rs.5

• Three directors and seven shareholders are rquired. The directors and shareholders may be the same persons. They should be majors. The director must be an Individual whereas the shareholder may be the body corporate. One of the directors must be resident Indian.
• Authorised Share Capital is the amount up to which, you can invest in the company as share capital.
• Paidup Share Capital is the amount up to which, you can deposit in the Company's Bank Account towards Share Capital.
• Nidhi Company to ensure: Every nidhi company must ensure within a period of one year from the commencement that it has not less than 200 members, the net owned funds should be Rs. 10 lakhs or more, the ratio of net owned funds to deposits should not be more than 1:20. If the number of mumbers do not exceed 200, then it has to apply for extension of time limit with the Ministry of Corporate Affairs.

• A

  Directors Documents

  1. Directors PAN
  2. Directors ID Proofs
     Aadhaar Card or Voter ID or Passport or Driver's License
  3. Directors Address Proofs:
     Latest one month Savings Bank statement or
     Latest Telephone Bill on his own name or
     Latest Moblie Bill on his name or
     Latest Power Bill on his own name.
  4. Directors latest passport size photograph
  5. Directors Email ids
  6. Directors Mobile Numbers linked with their Aadhar
  7. Incase of Foreign direcrtors, International Passport is mandatory
• B

  Company Documents

  1. Registered Office Address Proof: Latest Power Bill
  2. No-objection letter from the Landlord.
  3. Rental Agreement from the landlord if the premises are rented.
  4. Company email id.

Now the Nidhi Company can be registered simply in 3 Steps. Below is the 3 step Nidhi Company Registration process.

• 1

  Digital Signature Certificates

  Through eMudhra - One Hour Job

  Nidhi Limited Company registration in India is entirely online. To register a Company, the Shareholders of the Company have to sign documents digitally using Class-III Digital Signature Certificate (DSC). We will apply Class-III DSCs through eMudhra or other Digital Signature Certificate provider Online. We will attest and submit your documents with eMudhra or other Digital Signature Certificate provider and get your DSCs approved and download the same for signing purpose. Apart from Shareholders, a practicing professional such as Company Secretary or Chartered Accountant has to mandatorily digitally sign and attest the documents to get your Company Incorporated. We also get this done with our associated CA/CS professionals.

• 2

  Incorporation

  Through MCA Portal - 5 to 7 Days

  Once the DSCs are approved, we will then draft the By-Laws and Articles of the Company and prepare the Company Incorporation documents (ie. eSpice+ PartB, eSpice MOA, eSpice AOA, Form DIR-2, Form INC-9, eAGILE Form, Directors KYC documents, NOC and other declarations as may be required) and once you give confirmation from your end to upload with the MCA, we will do that by paying requisite challan amount online.

• 3

  Certificate of Registration

  Through eMail - 1 Day

  Once we upload and pay the incorporation challan amount to MCA, the Registrar of Companies will go through your application and after due scrutiny, approves the same and issues you the Certificate of Incorporation online through your registered email address.

Certificate of Incorporation (CIN)	Memorandum of Association (MOA)
Articles of Association (AOA)	Company PAN & TAN
Digital Signature Certificates (DSC)	Director Identification Numbers (DIN)
GST Registration (GSTIN)	MSME Registration (UDYAM)
PF Registration	ESI Registration
PT Registration*	Shops & Establishment Registration**
GST Software	Share Certificates

* PT Registration is available in the states of Maharashtra, Karnataka & West Bengal only

** Shops & Establishment Registration is available in the state of Delhi only

Company Bank Account Opening:

Now, the Ministry of Corporate Affairs (MCA) is giving automatic Company Bank Account along with the Certificate of Incorporation in any one of the following banks (ie. Punjab National Bank, ICICI Bank, Kotak Mahindra Bank, Bank of Baroda, HDFC Bank, State Bank of India, Union Bank of India, IndusInd Bank or Axis Bank). You have to select any one of the bank as listed and this is mandatory. If you do not wish to open bank accounts in either of these banks, you can open your bank account separately once you get the Certificate of Registration and other incorporation documents such as MOA, AOA and Company PAN. No amount is required to get the bank account opened in these banks. Once you get all documents, you can then submit KYC with the bank and deposit the Share Capital amount.

Company PAN & TAN:

The Company PAN & TAN will also be generated simultaneously along with the Certificate of Incorporation. You are not required to apply for it separately. You will only get password protected ePAN & eTAN at the time of Company Incorporation and if you want physical PAN & TAN, again you need to separately apply for it by paying the application fee at PAN application center or online. This ePAN & eTAN are sufficient to get other supporting licenses and run your business. The password to open ePAN is the date of registration and the PIN code of the Company Registered office for eTAN.

GST Registration:

Every supplier shall be liable to be registered under this Act in the State or Union territory, other than special category States, from where he makes a taxable supply of goods or services or both, if his aggregate turnover in a financial year exceeds twenty lakh rupees*:

Provided that where such person makes taxable supplies of goods or services or both from any of the special category States, he shall be liable to be registered if his aggregate turnover in a financial year exceeds ten lakh rupees**.

* This limit is increased to Rs. 40 Lakhs w.e.f 1st April 2019 for all states except the State of Telangana. Special category states ie. Jammu and Kashmir, Ladakh and Assam also opted Rs.40 lakhs limit.

** This limit is increased to Rs. 20 Lakhs w.e.f 1st April 2019 for Special Category States.

We help registering your business under GST by making application online subsequent to the business formation. This GST Registration in India is online and subject to approval with the GST Officer. Normally, with in 4 to 5 days, you will get your GSTIN and sometimes it may be delayed due to various reasons.

Other Licenses:

Subsequent upon your Company Registration, you need to apply for certain other licenses such as (ie. MSME Registration, Import Export Code (IEC), Shops & Establishments Registration, Professional Tax Registration (PT), FSSAI License, Local Trade License etc. We help you get these licenses at an affordable cost.

Compliance:

Once your register your Company, you need to file certain periodic documents with the Registrar of Companies, GST department, Income Tax Department and Other Statutory Department online by paying requisite fee. Apart from filing documents, you need to maintain certain records, registers and maintain books of accounts. You need to prepare the Company financials such as Profit & Loss Account, Balance Sheet, Schedules to Accounts, Notes to Accounts, Directors Report etc. You also need to prepare resolutions and minutes of meetings of the board of directors and members of the Company. Our team of experts will assist you in getting all these compliances done at an affordable cost.

Fund Raising & Tax Planning:

Our team of experienced Chartered Accountants & Company Secretaries will help you get funds to run your business by preparing project reports, business plans, term sheets & Share Purchase Agreements etc. We also help you pay less tax to the government through a proper tax planning.

Limited Liability:

The liability of the members of the Company is limited. The Directors or Shareholders are not personally liable for the debts of the Company. For example, when Company is in default of repayment of debt or loan, there is a protection to the personal assets of the Directors or Shareholders. They can recover the loan amount only by selling the assets of the Company.

No RBI Approval:

No RBI approval is required for forming a Nidhi Company even this company's nature is similar to NBFC as RBI has specifically exempted this category of NBFC in India to comply its core provisions such as registration with RBI etc.

Mutual Benefit::

The members of the company can deposit amount into the company and can borrow loans from the company at a lesser rate of interest compared to the outside market rate. For one rupee of investment, he can get Rs. 20 as loan.

Director Dual Role:

The Director of the Company can be the employee of the Company. He can give his own premises on rent/lease to Company and Collect rent from it, he can give loan to the Company and can take loan from Company, he can supply goods or services to the Company and get consideration for that.

Separate Entity:

The members of the Company may come and may go but Company may not go that means the members are different and the Company is different. Company can own assets on it own name and can sell. It can sue and can be sued in a court of law.

Less Level of Risk:

There is a less level of risk as company provides loan to the members against the security.

As an Official Company Registration Agent, we have built strong ties with the Ministry of Corporate Affairs, Govt of India since our own formation. Since we began, our goal has been to provide a seamless incorporation process that is quick and simple to use. Today, our company registration system is one of the most effective and efficient in India. In just over 5 minutes you can submit your new company name application, and often in just 3-5 days, your company will be fully registered. We also keep our company formation pricing competitive, while always exploring innovative ways to provide value to our customers. We are pleased to be one of the most affordable ways to start a company in India.

We have the expertise to advise which is the correct corporate structure they need to put in place. Most customers come to us for help registering a company limited by shares. The limited company structure is popular as it allows profits to be distributed amongst the shareholders while at the same time protecting them through the limited liability aspect. Our team has well over 20-years of combined expertise forming companies and providing corporate and secretarial services that help thousands of our clients grow their businesses each year.

We are incredibly passionate about the quality of our service, and we are incredibly proud of our customer feedback, as shown by our excellent reviews and ratings. Time and time again, we are selected for the value and expertise that our team is known for. We have helped shape the industry by providing innovative business services and bundled packages that have evolved alongside the needs of our customers.

Our clients have access to free support from an expert team. We are always on standby to help. If you need assistance at any point before, during, and after the registration of your company, you will be able to reach us by telephone or email.