In Hindi, the word “Nidhi”, this implies Finance or Subsidize. Nidhi implies an organization which has been fused with the protest of building up the propensity for thrift and hold reserves among its individuals and furthermore accepting stores and loaning to its individuals just for their common advantage.
Nidhi organization enlistment requires at least 3 individuals. All the Nidhi organizations joined should have the last word as “Nidhi Limited” as a feature of its name. Nidhi organization is simple and practical to enlist. Nidhi organization enrollment should be possible through Tradenfill in Delhi NCR, Mumbai, Bengaluru, Chennai, and other Indian urban areas. It won’t issue inclination share. On the off chance that inclination shares have just been issued by a Nidhi Company before the start of this Act, such inclination shares are to be reclaimed as per the terms of issue of such offers. Nidhi Company Registration is done through Tradenfill.
Reasons Behind to Register for Nidhi Company
There are mainly the reasons because of which you should register for Nidhi Company.
- No External Involvement in Management.
- Helpful for Lower and Middle Classes.
- Low Rates of Interest.
- Secured Investments.
- Minimum Documentation and Formalities.
Documents Required for Registration of Nidhi Company
- Copy of Director’s PAN Card.
- Passport Size Photos of Directors.
- Copy of Aadhar Card and Voter Id Card of Directors.
- Copy of Rent Agreement (if your property is rented properly).
- Electricity / Water Bill of the Office.
- Copy of Property papers (if owned property).
- Landlord NOC (Format will be provided).
Advantages of Registration of Nidhi Company
There are many of the benefits of the registration of Nidhi Company:
- There is no requirement of minimum share capital.
- Easy transfer of ownership.
- Tax benefits.
- No need to use “Nidhi” or “Limited” title.
- No stamp duty.
- Clear objectives for easy donations and loans.
- Easy to manage.
- Exemptions and Privileges under Companies Act, 2013.
- Relaxation in Compliances.