NIDHI Company and Its Advantages

NIDHI Company and Its Advantages in India

Nidhi is a form of company which assists in creating the habit of saving, by accepting deposits and providing loan to its members. The term nidhi mean treasure and it is a very useful method for starting a financing service.

Some of the basic features of the NIDHI Company are:

• It requires only 7 persons in which 3 of the members are appointed as Directors.
• It requires very less documentation work.
• The Registration process is very easy doable.
• The time period for registration is just 10 to 15 days.

The NIDHI company registration process is very easy to understand and can be easily followed by the company owners. Provided below are some of the advantages attached with NIDHI company registration:

Cost Efficient Registration

The cost of registration for a NIDHI company is very reasonable. The capital investment required for the registration is Rs. 5 lakh. The applicant has to make the payment within two months after the company registration has been completed.

No RBI Regulations – less compliance.

The NIDHI Company is under the category of NBFC but it does not require the approval for RBI. The company has to work under the rules and guidelines stated in the NIDHI Rules established in 2014.

More Certainty in Nidhi Company

The main objective of this type of company formation is to promote the habit of saving among the members for the commencement of the business.

Less level of Risk - Non- payment loans

As it already clearly stated in the NIDHI rules, the company can accept deposits and offer loans to its members according to it. Hence, the risk of non-repayment is very less in comparison to other forms of business. It is also one of the safest way to avail loans for members at very low rates, thus providing more savings.

Net owned fund- Invest one get twenty

The net owned fund ratio of Nidhi Company is 1:20, which means that which means that the invest one rupee, raises the deposit to twenty rupees.

There are numerous legal firms which offer the services of NIDHI company registration for the company owners. They are very professional and offer services at reasonable prices. They also offer exclusive services for starting and managing the NIDHI Company across India. 

To  get information about formation of NIDHI Company, please contact to internationally famous law firm Global Jurix at following details:

Global Jurix

S-191 C, 3rd floor, Manak Complex

School Block, Shakarpur

New Delhi - 110092, India,

Website:www(dot)globaljurix(dot)com,

Call at +91-9810-062-387

Mail at: corporate(at)globaljurix(dot)com