The term "Nidhi" translates to "Treasure." A Nidhi Company is a type of company specifically incorporated as a Nidhi under the Companies Act. Governed by rules and regulations set by the central government, its primary objective is to promote the habit of thrift and savings among its members while facilitating mutual benefit through receiving and lending activities.
Nidhi Companies promote the habit of thrift and savings among their members, fostering financial discipline.
They operate for the mutual benefit of their members, facilitating secure and straightforward financial transactions within the group.
Incorporation and operation involve fewer regulatory requirements compared to other financial institutions.
Since transactions are restricted to members, Nidhi Companies operate in a controlled environment, reducing financial risks.
Aadhar / Voter ID / Driving licence / Passport
The Address proof of the members along with the Proof of the registered place of business (Ownership documents/ rent or lease agreement) or any bill in relation to electricity /landlord bill / bank statement.
The photos of the respective Directors , shareholders and designated authorities should submit for the clarification and proof of the concerned person.
The PAN card of the respective Directors, shareholders and designated authorities of the company.
Digital signature is the electronic signature format of the Directors / signatory authority for the purpose of e-filing the Register of Companies.
No objection certificate by the owner / landlord must be enclosed.
No, loans cannot be provided to non-members.
No, The Director is one of the main members of the Nidhi company and must be part of the shareholder.
Nidhi Company shall not issue preference shares.
The Director of a Nidhi shall hold office for a term up to 10 consecutive years on the Board of Nidhi. The Director shall be eligible for re-appointment only after the expiration of two years of ceasing to be a Director.
A Nidhi shall not accept deposits exceeding twenty times of its Net Owned Funds (NOF) as per its last audited financial statements.