Nidhi company is a category of NBFC(Non-Banking Financial Company), that is formed to lend and borrow money from its members. It works on the belief of mutual benefit. Nidhi company is easy to assemble as it does not require to receive a license from Reserve Bank of India. Nidhi company registration is a lengthy process and requires specific eligibility criteria. What is Nidhi Company?The incorporation of a Nidhi Company is done based on the rules of the Companies Act 2013. Nidhi company requires a minimum of three directors and seven shareholders. The objectives, as well as functions of a Nidhi Company, are to encourage the habit of saving among its members. It receives deposits from the members and lends the money only to its members. All these have to be mentioned in the Memorandum of Association at the time of incorporation. What are the features of Nidhi Company Registration?The features of Nidhi company are-
What are the advantages of Nidhi company registration?The advantages of Nidhi company registration are-
What are the minimum requirements for Nidhi Company Registration?The minimum requirement for registration of Nidhi Company is- What are the documents required for Nidhi Company Registration?
What is the procedure for registration of Nidhi Company?
Describe the Compliances of a Nidhi Company?Nidhi Company compliances are divided into three parts: • Pre-Incorporation Compliances, • Post-Incorporation Compliances, • Event-based Compliances. What are the Pre-Incorporation compliances for Nidhi Company?Nidhi Company has to follow some compulsory compliance to get Nidhi Company Registration. The essential agreements are mentioned below:-
What are the post-registration compliances?The post-registration compliances you need to follow are-
What are the Event-Based Compliances of a Nidhi Company?Usually, event-based compliances are essential to file only once through the company registration process. Also, the agreements must be followed when there is any change in the Company's structure, which is non-periodical. Below is the list of event-based compliances:
Which activities are prohibited by Nidhi Company?The activities that are not permitted by the Nidhi Company are-
What are the kinds of Deposits for Nidhi Company Registration?According to Rule 13, there are three types of deposits under Nidhi Company- What is the Maximum Deposit Limit in Nidhi Company Registration?Nidhi Company will not accept deposits that are beyond 20 times its NET OWNED FUNDS (NOF) as per the last audited financial statement of the Company. What is the Duration of Deposit in Nidhi Company Registration?The deposits shall be accepted for a minimum period of 6 months and a maximum period of 5 years. The Company can accept deposits like Banks/NBFCs, of which the maximum period of deposit is five years. Still, a company can renew the same for the next five years based on the choice of the investor. Recurring Deposits will be accepted for a minimum period of 12 months and a maximum period of5 years. Recurring deposit is a perfect tool that is mostly used by the Nidhi Companies to increase the deposit amount and funds, and hence the same as fixed deposits, and its maturity time is five years. When the Recurring deposit is mature or closed, the money of that deposit is automatically moved to the regular savings account. The Company can again offer the recurring account facility to the same member, and the amount collected of recurring deposits will be capitalized in fixed deposit as bulk money on the customers choice. Therefore, it is a sales promotion idea for the Nidhi company. What is the Rate of Interest on Fixed Deposits and Recurring Deposit?The Rate of Interest that can be offered on Fixed and Recurring Deposit should not surpass the maximum rate of interest arranged by RBI, which the NBFC offer on the deposits. The Maximum interest rate offered on Fixed Deposits and the Recurring deposit will continuously be fluctuating, and it is at all times essential to look at the RBI policies for the Interest rate. Whatsoever RBI decides for NBFC about the rate of interest. The same will be applied directly to the Nidhi companies. ConclusionNidhi Company works on the concept of mutual benefit. It is easy to form Nidhi Company as it does not require to receive a license from the Reserve Bank of India. It accepts deposits from the members and lends the money only to its members. For any assistance regarding Nidhi Company Registration, feel free to reach us at Corpbiz.
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An association of numerous individuals joined using a mutual accord to deliberate, govern and act cooperatively for some common purpose. Society are usually registered for the development of charitable events like sports, music, culture, religion, art, education, and many more. The Society Registration Act lays down specific procedures for the sake of society registration & operation. This act was implemented to augment the legal requisites of registration for the progression of literature, fine arts, science or distribution of awareness for generous purpose. The Society Registration Act, 1860 has been accredited by several state governments. What is the purpose of Society Registration?A society registration is done for the growth of fine arts, science, or literature or else for diffusion of purposeful knowledge or charitable purposes of political education. According to section 20 of Society Act, 1860, a society registration can be done for following purposes:
What are the step by step Process for Society Registration in India?A Society has to be created by a minimum of 7 persons and it can be more than 7. Similar to Partnership firms, society can also be either unregistered or registered. But, only the registered societies will be able to withstand consigned properties and/or have an ensemble filed against or by the society. For Society registration, the establishing members must agree with the name of society first and then prepare for the Memorandum, followed by Rules & Regulations of the society.
What are the documents required forSociety Registration In India?List of required documents are as follows-
The mentioned documents hasto be submitted to the Registrar of Society with the necessary fees in two copies. Once the application is received, the registrar will sign the first copy and keep the second copy for prior agreement. On proper inspection of the documents, the registrar will issue a Registration Certificate by allocating a registration number for it. The signed Rules & Regulations, as well as Memorandum, has to be filed with concerned society or registrar of state with a mentioned fee. If the registrar is fulfilled with society registration application, then they will certify that the society is registered. What are the mandatory things for selecting a name for the society registration?As per the SocietyRegistration Act, 1860, the things that should be kept in mind are-
What are the various rights obtained by the members of society?The various rights are as follows: What are the questions compulsory for rules and regulations of society registration?The rules & regulations of Society Registration should consists the following- ConclusionThe Society Registration Act lays down specific procedures for the sake of society registration & operation. This act was implemented to augment the legal requisites of registration for the progression of literature, fine arts, science or distribution of awareness for generous purpose. The Society Registration Act, 1860 has been accredited by several state governments. In case of any query, contact Corpbiz.
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