“Nidhi” is a Hindi word, which implies finance or fund. Nidhi company means that a corporation that has been incorporated with the article of developing the habit of thrift and reserve funds amongst its members and additionally receiving deposits and disposition to its members just for their mutual profit.
registration needs a minimum of three members. All the Nidhi company’s incorporated shall have the last word as “Nidhi Limited” as a part of its name. Nidhi company is straight forward and economical to register. Nidhi company registration may be done through SetyourBiz.com in metropolis NCR, Mumbai, Bengaluru, Chennai, and alternative Indian cities
Nidhi Company is a company registered beneath the Companies Act, 2013, that contains a sole objective of cultivating the habit of thrift and savings amongst its members. Nidhi corporations are allowed to require a deposit from its members and lend to its members solely. Therefore, the funds contributed to a Nidhi company are solely from its members (shareholders) and used solely by the shareholders of the Nidhi Company.
Nidhi Company may be a category of NBFCs and tally is authorized to issue directions to them in matters about their deposit acceptance activities. However, in recognition of the very fact that these Nidhi traumatize their shareholder-members solely, the tally has exempted the notified Nidhis from the core provisions of the tally Act and alternative directions applicable to NBFCs. Therefore, Nidhi Company is a perfect entity to require a deposit from and lend to a selected cluster of individuals.
Choose Nidhi Company because :
- No External Involvement in Management
- Helpful for Lower and Middle categories
- Low Rates of Interest
- Secured Investments
- Minimum Documentation and Formalities
- Reasons to Register a Nidhi Company Registration
- Separate Legal Entity
- Easy Management
- Better credibility
Requirements for Private Nidhi Company Registration
- Obtaining digital signature certificate- In today’s modern world everything is done online now the days of pen and paper have gone All documents are submitted electronically and for that, each company should acquire a digital signature certificate that is employed to verify the legitimacy of the documents… A digital signature is obtained by all the directors which are used on all the documents by every director.
- Members- A minimum number of two and a maximum number of 200 members or shareholders are required as per the companies’ act 2013 before registration of the company.
- Directors- The least number of directors required for registering the private limited company is two. Each of the directors ought to have DIN i.e. director identification number which is assigned by the ministry of corporate affairs. One condition is among the two directors one must be the resident of India which means he/she should have stayed in India for at least 182 days in a previous calendar year.
- Name- one of the most important and major components for a private limited company is the name. The name of the company comprises of three parts i.e. the name, the activity, and private limited company. The use of a private limited company at the end of the company name is compulsory. For the acceptance of the name, one should send at least 6 alternatives For the approval of the Registrar and all the names should be unique and expressive and the purposed name should not reassemble to any other in any means. Choosing the right company name is an important component is it will stay with the company throughout its life.
- Registered office address- While going for the registration of the company, you should provide the temporary address of the company for the period of registration. However when the company has been registered then the permanent address of its registered office should be suited with the registrar of the company. The Registered office of the company is where the company’s main task is done and the working bodies are placed there with all documentation.
Advantages of Nidhi Company
- Advantages of Nidhi Company Registration
- No Minimum Share Capital demand
- Easy Transfer of possession
- Tax benefits
- No need to use “Nidhi” or “Limited” title
- No stamp duty
- Clear Objectives for simple donations and loans
- Easy to Manage
- Exemptions and Privileges below Companies Act, 2013
- Relaxation in Compliances