A Nidhi Company

“Nidhi” stands for ‘Finance or Funds ‘in Hindi.

It is a company which has been incorporated wrt to section 406 of the Company’s Act -2013 with the main object of receiving Deposits and Lending to its members only for their mutual benefit.

The Nidhi company registration requires minimum 3 members. All the Nidhi company’s incorporated shall have the last word as “Nidhi Limited” as part of its name.

The initial Paid-up capital of the company is Rs 5.0 lacs. After the company must have a Net Owned Funds (NOF) of at-least Rs 10.0 lacs.

AVALON has a great Package for the Nidhi Company with details as below:

Package value: Rs 35,000/-

This includes the following services:

  1. 3 x DIN for Directors.
  2. 3 x DSC for Directors.
  3. Name / Search Approval.
  4. Drafting of the MOA/AOA.
  5. TAN/PAN approval & issue.

Documents Required For Nidhi Company Registration

  • Copy of Director’s PAN Card
  • Passport size photograph of Directors
  • Copy of Aadhar Card/ Voter identity card of directors
  • Copy of Rent agreement(If rented property)
  • Electricity/ Water bill (Business Place)
  • Copy of Property papers (If owned property)
  • Landlord NOC (Format will be provided)

Steps to Incorporate Nidhi Company Registration

1. Application of DSC & DPIN :

All the partners have to apply for the DSC (Digital signature) and DPIN for Nidhi company.

2. Name approval :

One has to put forward 3 x Names/Alternate names to MCA.

Names provided should ideally be unique and suggestive of company business.

Step 3. MOA & AOA submission :

After the approval of the Company –name;  one needs to draft Memorandum of association and Articles of Associate.

But the object of the Nidhi company must always be a charitable object. Both MOA and AOA are filed with the MCA with the subscription statement.

Step 4. Get incorporation certificate :

It typically takes 20- 25 days to form a Nidhi company and get the Incorporation certificate. Incorporation certification is a proof that company has been created & It also includes your CIN number.

Step 5. Apply for PAN, TAN and Bank account :

The TAN & PAN need to be processed within a week of installing the hardware.

PAN and TAN are received in 7 working days.

After this event; one can submit the Incorporation certificate, MOA, AOA and PAN with bank to open your account.