Start your Nidhi Company

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Start your Nidhi Company

Start your Nidhi Company

Nidhi Company is yet another popular form of company that people starting business prefer. The word Nidhi originates from the Hindi language which means treasure, taking a cue from its meaning, Nidhi Company refers to a company that has been established with the objective of developing the habit of thrift and savings amongst its participating members.

As per the Indian, Financial sector Nidhi Company refers to a mutually benefitting society which has been notified by Central government or Union government.

As mentioned above Nidhi Company is mutual benefiting company wherein the funds are used by its members as far as the funding is concerned, the money is contributed by the participating members and the dealings are also restricted to the members forming the Nidhi Company. The members can take a loan at a reasonable rate for various objectives like house constructions repair etc. The principal source of funds is the contribution from the members.

Note : Talk to our experts or drop us a mail and we will help you in Opening a Nidhi Company in India.

Key Features of Nidhi Company

Following are the key features of Nidhi Company:

  1. Nidhi Company is registered as Public Company
  2. Minimum paid up equity capital is up to 5 lac
  3. It has no less than 200 members
  4. The company registered as Nidhi should have the words ‘Nidhi Limited’ as part of its name

Benefits of Nidhi Company:

  1. This is the best form of company for those who are willing to start business in the financing vertical
  2. Although Nidhi Company falls under the NBFCs yet it doesn’t come under the axe of stringent policies which otherwise are applicable to companies which fall under NBFC.
  3. Nidhi Company enjoys better credibility as compared to Mutual Benefit Organizations.

Documents required for incorporation of Nidhi Companies in India:

  1. A copy of Self-attested PAN card.
  2. Four Photographs.
  3. Any ID proof which is self-attested (Driving License, Passport, Voter ID & Adhaar Card)
  4. Address proof which is self-attested, the likes of which include Bank Pass Book/ Bank Statement, Telephone Landline Bill, Mobile Bill & Electricity Bill
  5. Address proof of the company like Electricity bill, telephone bill, rent agreement and NOC for doing business on the premises.

If you to wish to explore this option, Empressallegal will help you. We carry the complete process of Nidhi Company incorporation, from arranging the documents to its submission. All-in-all we do the complete handholding till the time we get our company registered. Connect with us today to know more on this.