Nidhi Company Registration In Chennai
Unlock the advantages of registering your Nidhi Corporation with IntellectoFilings in Chennai. Empower individuals to engage in financial transactions through borrowing and lending within the registered entity. Foster a cooperative and inclusive financial ecosystem with public registration of Nidhi Businesses.
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Overview Nidhi Company Registration in Chennai
Nidhi company registration in Chennai is essential because the formation process is simple. The formation of the company requires only a few requirements. The registration fee will not be prohibitively expensive for the director. The company’s financial risk is reduced because all lending and financial transactions are performed by the members themselves. The net owned funding system is used by all Nidhi companies. All financial transactions should take place only between the company’s shareholders. The Nidhi Company Registration in Chennai can only work with members and cannot work with the general public. It is the first company in India to establish a loan company without the approval of the RBI. The Nidhi Company’s primary source of income is interest on loans.
Benefits for Nidhi Company Registration in Chennai
- Easy to Start: Nidhi Company registration in Chennai is very easy and straightforward. The process is simple and requires minimal paperwork. This makes it easier for entrepreneurs to start their business without any hassle.
- Tax Benefits: Nidhi companies are eligible for tax benefits under the Income Tax Act, 1961. This makes it easier for entrepreneurs to save money on taxes and reinvest it in their business.
- Low Capital Requirements: Nidhi companies require a minimum capital of Rs 5 lakhs to be registered. This makes it easier for entrepreneurs to start their business without having to invest a large amount of money upfront.
- Easy Access to Funds: Nidhi companies have access to funds from the public, which makes it easier for them to raise capital for their business. This helps them grow their business faster and more efficiently.
- Regulatory Compliance: Nidhi companies are required to comply with the regulations set by the Ministry of Corporate Affairs (MCA). This ensures that the company is operating in a legal and ethical manner, which helps protect the interests of its shareholders and customers.
Checklist for Nidhi Company Registration in Chennai
- Obtain Digital Signature Certificate (DSC) of the proposed directors.
- Obtain Director Identification Number (DIN) of the proposed directors.
- Apply for name approval from the Ministry of Corporate Affairs (MCA).
- Draft the Memorandum and Articles of Association (MOA & AOA).
- File the e-Form NDH-1 with the Registrar of Companies (ROC).
- Obtain Certificate of Incorporation from the ROC.
- Obtain PAN and TAN for the company from the Income Tax Department.
- Open a Current Bank Account in the name of the company.
- File e-Form NDH-2 with the ROC for obtaining Nidhi Company License.
- Obtain Nidhi Company License from the ROC.
Documents Required for Nidhi Company Registration in Chennai
- Ownership documents or a rent/lease agreement has to be provided as a proof of address of the registered place of business
- A No Objection Certificate (NOC) duly signed by the landlord or the owner of the place where the business is registered
- Identity proofs
- Address proofs of the members of the company
- Photographs of the members of the company
- Digital Signature Certificate (DSC) of the company
- Copies of PAN cards of the members
- Director Identification Numbers (DIN) of all the directors
- Certified copy of the updated Memorandum of Association (MoA) of the company
- Certified copy of the updated Articles of Association (AoA) of the company
Procedure for Nidhi Company Registration in Chennai
- Obtain Digital Signature Certificate (DSC): The first step in registering a Nidhi Company Registration in chennai is to obtain a Digital Signature Certificate (DSC). This is an electronic document that is used to authenticate the identity of the company and its directors.
- Apply for DIN: The next step is to apply for Director Identification Number (DIN) for all the directors of the company. This is a unique number that is issued by the Ministry of Corporate Affairs (MCA).
- File e-Form INC-29: Once the DSC and DIN are obtained, the company needs to file e-Form INC-29 with the MCA. This form contains details about the company such as its name, address, directors, etc.
- Obtain Certificate of Incorporation: Once the e-Form INC-29 is approved by the MCA, the company will receive a Certificate of Incorporation. This certificate is proof that the company has been legally registered with the MCA.
- File e-Form NDH-1: The next step is to file e-Form NDH-1 with the MCA. This form contains details about the Nidhi Company such as its name, address, directors, etc.
Changes made by Nidhi Company (Amendment) Rules of 2022
- All employees must adhere to the company’s dress code policy.
- All employees must be punctual and adhere to the company’s attendance policy.
- All employees must complete their assigned tasks within the specified time frame.
- All employees must maintain a professional attitude and demeanor while at work.
- All employees must adhere to the company’s safety policies and procedures.
- All employees must respect the confidentiality of company information and not disclose it to any third party without prior authorization from the company.
- All employees must use company resources responsibly and not misuse them for personal gain or benefit.
- All employees must comply with all applicable laws and regulations while performing their duties for the company.
- All employees must report any violations of company policies or procedures to their supervisor or manager immediately.
- All employees must participate in any training or development programs that are required by the company.
Our Support
Registering a Nidhi Company registration in Chennai can be a complex and confusing process, with many requirements and documents to prepare, as well as pre-incorporation and post-incorporation compliances to adhere to. Failure to comply with the specific mandates of the Ministry of Corporate Affairs (MCA) can result in hefty penalties and late fees. Professional assistance is recommended to ensure a smooth and successful registration process.
FAQ
Once a Nidhi Company has been incorporated, it must meet the following requirements:
- Have a minimum of 200 members/shareholders.
- Have a Minimum Net Owned Fund of Rs. 10 Lakhs.
- Have an Unencumbered term deposit that is at least 10% of the total term deposit.
- Maintain a ratio of Net Owned Fund to term deposit that is not less than 1:20.