All you need to know about Nidhi Company Registration in Jodhpur

If you are looking to start a business in Jodhpur, one option you may consider is setting up a Nidhi company. Nidhi companies are financial institutions that are similar to credit unions, which serve the needs of their members by providing them with loans and other financial services. In this article, we will discuss the process of Nidhi company registration in Jodhpur and the benefits of starting this type of business.
Let us discuss Nidhi Company in great detail before we discuss Nidhi Company Registration in Jodhpur.

What is a Nidhi Company?

A Nidhi company is a type of Non-Banking Financial Company (NBFC) that is regulated by the Ministry of Corporate Affairs (MCA) in India. These companies are created for the purpose of cultivating the habit of thrift and savings among its members and accepting deposits and providing loans to them. Nidhi companies are typically structured as public limited companies and are required to have a minimum of seven members. 

Benefits of Starting a Nidhi Company in Jodhpur

There are several benefits to starting a Nidhi company in Jodhpur, including:

• Low Capital Requirement: The capital requirement for starting a Nidhi company is relatively low compared to other types of financial institutions, making it an attractive option for entrepreneurs who are looking to start a business with limited capital.
• High-Interest Rates: Nidhi companies typically offer higher interest rates on deposits than banks, which can attract a large number of depositors.
• Flexibility: Nidhi companies are relatively flexible in terms of their operations, and they can offer a variety of financial products and services to their members.
• Trust and Credibility: Nidhi companies are often seen as trustworthy and credible financial institutions, which can help them to attract customers and build a loyal customer base.

Documents required for Nidhi Company Registration in Jodhpur

A Nidhi Company is a type of non-banking financial company (NBFC) that is registered under the Companies Act, 2013. It is a mutual benefit company that facilitates lending and borrowing between its members, with the objective of promoting thrift, savings, and financial inclusion. In Jodhpur, the process of Nidhi Company registration requires certain documents to be submitted.

• Memorandum of Association (MoA): The MoA is a legal document that contains the objectives for which the Nidhi Company is being formed. It includes details such as the name of the company, the location of its registered office, the objectives of the company, and the liability of its members. The MoA must be signed by at least seven subscribers.
• Articles of Association (AoA): The AoA is another legal document that contains the rules and regulations governing the operations of the Nidhi Company. It includes details such as the procedures for conducting meetings, the powers and duties of the directors, and the rights and obligations of the members.
• Proof of Identity: All the proposed directors and subscribers of the Nidhi Company must provide proof of identity, such as a copy of their PAN card, passport, voter ID card, or Aadhaar card.
• Proof of Address: All the proposed directors and subscribers must also provide proof of address, such as a copy of their passport, driving license, or utility bill.
• Registered Office Address: The Nidhi Company must have a registered office in Jodhpur, and the company must provide proof of ownership or lease of the premises.
• Digital Signature Certificate (DSC): The proposed directors must obtain a digital signature certificate, which is a secure digital key that is used to sign electronic documents.
• Director Identification Number (DIN): All proposed directors must obtain a DIN, which is a unique identification number assigned to them by the Ministry of Corporate Affairs.
• Certificate of Incorporation: Once all the documents are submitted and verified, the Registrar of Companies issues a Certificate of Incorporation, which signifies that the Nidhi Company is now a legal entity.

Process of Nidhi Company Registration in Jodhpur

To register a Nidhi company in Jodhpur, you will need to follow the steps outlined below:

• Step 1: Obtain a Digital Signature Certificate (DSC) and Director Identification Number (DIN): The first step in the registration process is to obtain a Digital Signature Certificate (DSC) and Director Identification Number (DIN) for the directors of the company.

• Step 2: Name Approval: The next step is to apply for the name of the company through the Ministry of Corporate Affairs (MCA) portal. The name of the company must include the word “Nidhi Limited” at the end.

• Step 3: Memorandum of Association (MOA) and Articles of Association (AOA): Once the name of the company is approved, the next step is to prepare the Memorandum of Association (MOA) and Articles of Association (AOA) of the company.

• Step 4: Company Registration: After the MOA and AOA have been prepared, the company can be registered with the Registrar of Companies (ROC) in Jodhpur. The application for registration must include the necessary documents, such as the MOA, AOA, and other required forms.

• Step 5: PAN and TAN: After the company is registered, the next step is to obtain a Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN) for the company.

Important considerations to be kept in mind while Nidhi Company Registration in Jodhpur

Nidhi companies operate on the principle of mutual benefit, where members contribute towards a common fund and receive loans and advances against that fund. In India, Nidhi companies are registered under the Companies Act, 2013, and are regulated by the Ministry of Corporate Affairs (MCA).

If you are looking to register a Nidhi company in Jodhpur, there are a few important considerations to keep in mind.

Key Considerations for Nidhi Company Registration in Jodhpur:

• Minimum Requirements: To register a Nidhi company in Jodhpur, you need to have a minimum of seven shareholders and three directors. The minimum paid-up capital required for a Nidhi company is Rs. 5 lakhs.
• Registered Office: You need to have a registered office in Jodhpur for your Nidhi company. The registered office can be a residential or commercial property, and you need to provide proof of ownership or permission to use the property.
• Compliance Requirements: Once your Nidhi company is registered, you need to comply with various legal and regulatory requirements. These include maintaining proper books of accounts, conducting regular board meetings, and filing annual returns with the ROC.
• Nidhi Rules and Regulations: Nidhi companies are governed by the Nidhi Rules, 2014, which specify the conditions for membership, borrowing, lending, and other activities of Nidhi companies. You need to ensure that you comply with these rules and regulations to avoid any legal issues.
• Professional Help: Registering a Nidhi company can be a complex process, and it is recommended that you seek professional help to ensure that all the requirements are met. You can consult a Company Secretary or a Chartered Accountant who specializes in company registration to guide you through the process.

Legal Window has a team of experts providing you with the best assistance, and timely delivery and guarantees the highest customer satisfaction with respect to the Company formation process. You may get in touch with our team at 072407-51000 or email admin@legalwindow.in  for Nidhi Company Registration and Compliance services.

Takeaway

In conclusion, starting a Nidhi company in Jodhpur requires following the procedures laid down by the Ministry of Corporate Affairs. You must obtain a DSC, and DIN, choose a unique company name, draft MOA and AOA, file Form SPICE+ for incorporation, obtain a certificate of incorporation, and apply for PAN and TAN. With proper planning and execution, you can establish a successful Nidhi company in Jodhpur.