Nidhi Company Registration Online in India
Start a Nidhi company, a mutual benefit finance company where members save and borrow among themselves, without an RBI licence. We incorporate your "Nidhi Limited" company with the Ministry of Corporate Affairs (MCA), guide you to 200 members and ₹20 lakh Net Owned Funds, and file Form NDH-4 for the Central Government's declaration.
- 7 DSCs and 3 DINs included
- Nidhi-compliant MOA & AOA
- NDH-4 declaration filing
- Stamp duty shown state-wise
What is a Nidhi Company?
A Nidhi Company is a public limited company declared as a Nidhi under Section 406 of the Companies Act, 2013 and governed by the Nidhi Rules, 2014. Its only business is to encourage thrift and savings among its members, accept deposits from them and lend to them, for their mutual benefit. Its name ends with "Nidhi Limited".
Nidhi companies are sometimes called mutual benefit funds or permanent funds. They are a traditional form of community finance, popular in South India, where a group of people pool their savings and give each other secured loans, typically against gold, property or fixed deposits.
Although a Nidhi accepts deposits and gives loans, it is regulated by the Ministry of Corporate Affairs, not licensed by the RBI. The RBI has exempted notified Nidhis from the main NBFC registration requirements, which is why a Nidhi is far easier and cheaper to start than an NBFC. In exchange, it can only deal with its own members, and its deposits, loans and branches are tightly controlled.
Since the Nidhi (Amendment) Rules, 2022, a new Nidhi starts as a public company with at least ₹10 lakh paid-up capital, and must reach 200 members and ₹20 lakh Net Owned Funds and apply in Form NDH-4 within 120 days of incorporation. Only after the Central Government declares it a Nidhi can it start accepting deposits and giving loans.
Benefits of registering a Nidhi Company
No RBI licence needed
Run a deposit and lending business for members under MCA rules, without the NBFC licence or its ₹10 crore capital requirement.
Low starting capital
Start with ₹10 lakh paid-up capital, then build to ₹20 lakh Net Owned Funds as members join.
Community savings
Members earn interest on their savings and borrow at fair rates, and profits stay within the community.
Limited liability
As a company, a Nidhi is a separate legal entity. Members' liability is limited to their shares.
Trust and credibility
Central Government declaration, annual audits and MCA filings give members confidence in the Nidhi.
Secured lending
Loans are given against gold, silver, jewellery, property, fixed deposits and similar security, which keeps risk low.
Minimum requirements for Nidhi Company registration
A Nidhi is incorporated as a public limited company and must then meet these conditions under the Nidhi Rules, 2014 (as amended in 2022).
- 13 directors and 7 membersAt least 3 directors and 7 subscribers at incorporation. Members must be individuals; a Nidhi can't admit a company or trust as a member.
- 2₹10 lakh paid-up equity capitalMinimum paid-up equity share capital of ₹10 lakh. A Nidhi can't issue preference shares.
- 3200 members within 120 daysAt least 200 members within 120 days of incorporation, before applying for the declaration.
- 4₹20 lakh Net Owned FundsPaid-up equity capital plus free reserves, less accumulated losses and intangible assets, of ₹20 lakh or more within the same 120 days.
- 5Fit and proper promoters and directorsEach promoter and director gives a declaration, for example that they face no pending economic-offence charges, are not wilful defaulters and are not directors of 5 or more Nidhis.
- 6Name ending with "Nidhi Limited"A unique name ending with "Nidhi Limited", plus a registered office in India. Check a name free.
Plan your capital: ₹20 lakh Net Owned Funds usually means at least ₹20 lakh of paid-up capital in the early months. Choose an authorised capital that leaves room to issue shares to your first 200 members, and line up members before you incorporate.
Nidhi deposit and loan rules
A Nidhi deals only with its members. These are the main limits under the Nidhi Rules, 2014.
A Nidhi can
- Accept fixed deposits (6 to 60 months), recurring deposits (12 to 60 months) and savings deposits from members
- Pay deposit interest up to the maximum rate RBI allows deposit-taking NBFCs
- Give loans to members against gold, silver, jewellery, property, fixed deposits, NSCs, government securities and insurance policies
- Open up to 3 branches in its district after 3 consecutive years of net profit (more, or outside the district, with Regional Director approval)
- Pay dividends of up to 25% a year
A Nidhi can't
- Do chit fund, hire purchase, leasing or insurance business
- Accept deposits from, or lend to, anyone who is not a member
- Issue preference shares, debentures or other debt instruments
- Open current accounts for members, or buy securities of other companies
- Advertise for deposits, or pay brokerage or incentives to raise deposits or give loans
- Borrow from banks or financial institutions to lend to members
Key ratios
- Deposits can't exceed 20 times Net Owned Funds
- At least 10% of outstanding deposits kept in unencumbered term deposits with a scheduled bank or post office
- Loan interest at most 7.5% above the highest deposit rate, on a reducing balance
- Gold and jewellery loans repaid within 1 year; property loans within 7 years and up to 50% of the property's value
| Total deposits of the Nidhi | Maximum loan per member |
|---|---|
| Up to ₹2 crore | ₹2 lakh |
| ₹2 crore to ₹20 crore | ₹7.5 lakh |
| ₹20 crore to ₹50 crore | ₹12 lakh |
| Above ₹50 crore | ₹15 lakh |
Deposits are taken from the last audited financial statements. A Nidhi that hasn't made a net profit in each of the 3 preceding years can lend only up to half these limits.
Nidhi Company registration plans
Fixed professional fees. The MCA name fee and state stamp duty are extra and shown separately in the calculator below, with no hidden charges.
Starter
Incorporate your Nidhi as a public limited company.
₹14,999₹21,999+ GST, govt. fee & stamp duty
- 7 Class 3 DSCs (directors & subscribers)
- DIN for 3 directors
- Name approval with "Nidhi Limited"
- MOA & AOA drafted as per the Nidhi Rules
- SPICe+ filing with CA/CS certification
- Certificate of Incorporation with CIN
- Company PAN & TAN
- EPFO & ESIC registration
- Current account opening support
- NDH-4 declaration filing
- INC-20A commencement filing
Standard
Incorporation plus everything to get declared as a Nidhi.
₹29,999₹39,999+ GST, govt. fee & stamp duty
- Everything in Starter, plus:
- 120-day plan for 200 members and ₹20 lakh NOF
- Membership form, KYC and share allotment formats
- Fit and proper declarations for promoters & directors
- NDH-4 filing and follow-up until decision
- INC-20A commencement of business filing
- First auditor appointment (ADT-1) support
- Dedicated CA/CS expert on WhatsApp
Premium
Declared and ready to operate, with first-year compliance.
₹49,999₹64,999+ GST, govt. fee & stamp duty
- Everything in Standard, plus:
- Deposit, loan and gold-loan policy templates
- Registers of members, deposits and loans
- NDH-3 half-yearly returns for year 1
- 4 board meetings & first AGM support (year 1)
- 1-page website with .in domain
- Priority handling on every step
Prices are for 3 directors and 7 subscribers (7 DSCs in total) with up to ₹15 lakh authorised capital. GST at 18% applies to the professional fee. Government fees (including the NDH-4 filing fee) and stamp duty are paid at actuals.
State-wise Nidhi Company registration cost
Stamp duty on the MOA and AOA depends on the state of your registered office and, in many states, on authorised capital. Choose your state, capital, people and plan to see the incorporation cost.
Total estimated cost
₹0 to incorporate
Assumes directors are among the subscribers. Excludes the NDH-4 government fee. Stamp duty as per current state rates for SPICe+ (INC-32, e-MOA, e-AOA); your final quote confirms the exact amount before you pay.
State-wise stamp duty table for company registration (₹10 lakh authorised capital)
| State / UT | SPICe+ form | e-MOA | e-AOA | Total stamp duty | How AOA duty changes with capital |
|---|---|---|---|---|---|
| Andaman & Nicobar Islands | ₹20 | ₹200 | ₹300 | ₹520 | Fixed |
| Andhra Pradesh | ₹20 | ₹500 | ₹1,500 | ₹2,020 | 0.15% of capital, min ₹1,000, max ₹500,000 |
| Arunachal Pradesh | ₹10 | ₹200 | ₹500 | ₹710 | Fixed |
| Assam | ₹15 | ₹200 | ₹310 | ₹525 | Fixed |
| Bihar | ₹20 | ₹500 | ₹1,500 | ₹2,020 | 0.15% of capital, min ₹1,000, max ₹500,000 |
| Chandigarh | ₹3 | ₹500 | ₹1,000 | ₹1,503 | Fixed |
| Chhattisgarh | ₹10 | ₹500 | ₹1,500 | ₹2,010 | 0.15% of capital, min ₹1,000, max ₹500,000 |
| Dadra & Nagar Haveli and Daman & Diu | ₹20 | ₹150 | ₹2,000 | ₹2,170 | ₹1,000 per ₹5 lakh or part |
| Delhi | ₹10 | ₹200 | ₹1,500 | ₹1,710 | 0.15% of capital, max ₹2,500,000 |
| Goa | ₹50 | ₹150 | ₹2,000 | ₹2,200 | ₹1,000 per ₹5 lakh or part |
| Gujarat | ₹20 | ₹100 | ₹5,000 | ₹5,120 | 0.5% of capital, max ₹1,500,000 |
| Haryana | ₹15 | ₹60 | ₹120 | ₹195 | ₹120 above ₹1 lakh |
| Himachal Pradesh | ₹3 | ₹60 | ₹120 | ₹183 | ₹120 above ₹1 lakh |
| Jammu & Kashmir | ₹10 | ₹150 | ₹300 | ₹460 | ₹300 above ₹1 lakh |
| Jharkhand | ₹5 | ₹63 | ₹105 | ₹173 | Fixed |
| Karnataka | ₹20 | ₹1,000 | ₹5,000 | ₹6,020 | ₹5,000 per ₹10 lakh or part, max ₹10,000,000 |
| Kerala | ₹25 | ₹1,000 | ₹2,000 | ₹3,025 | ₹2,000 up to ₹10L; ₹5,000 up to ₹25L; 0.5% above |
| Ladakh | ₹10 | ₹150 | ₹300 | ₹460 | ₹300 above ₹1 lakh |
| Lakshadweep | ₹25 | ₹500 | ₹1,000 | ₹1,525 | Fixed |
| Madhya Pradesh | ₹50 | ₹2,500 | ₹5,000 | ₹7,550 | 0.15% of capital, min ₹5,000, max ₹2,500,000 |
| Maharashtra | ₹100 | ₹1,000 | ₹3,000 | ₹4,100 | 0.3% of capital, max ₹10,000,000 |
| Manipur | ₹10 | ₹100 | ₹150 | ₹260 | Fixed |
| Meghalaya | ₹10 | ₹100 | ₹300 | ₹410 | Fixed |
| Mizoram | ₹10 | ₹100 | ₹150 | ₹260 | Fixed |
| Nagaland | ₹10 | ₹100 | ₹150 | ₹260 | Fixed |
| Odisha | ₹10 | ₹300 | ₹300 | ₹610 | Fixed |
| Puducherry | ₹10 | ₹200 | ₹300 | ₹510 | Fixed |
| Punjab | ₹25 | ₹5,000 | ₹10,000 | ₹15,025 | ₹10,000 above ₹1 lakh |
| Rajasthan | ₹10 | ₹500 | ₹5,000 | ₹5,510 | 0.5% of capital |
| Sikkim | ₹0 | ₹0 | ₹0 | ₹0 | Fixed |
| Tamil Nadu | ₹20 | ₹200 | ₹500 | ₹720 | ₹500 per ₹10 lakh or part, max ₹500,000 |
| Telangana | ₹20 | ₹500 | ₹1,500 | ₹2,020 | 0.15% of capital, min ₹1,000, max ₹500,000 |
| Tripura | ₹10 | ₹100 | ₹150 | ₹260 | Fixed |
| Uttar Pradesh | ₹10 | ₹500 | ₹500 | ₹1,010 | Fixed |
| Uttarakhand | ₹10 | ₹500 | ₹500 | ₹1,010 | Fixed |
| West Bengal | ₹10 | ₹60 | ₹300 | ₹370 | Fixed |
MCA registration fee is ₹0 for authorised capital up to ₹15 lakh. Name reservation (SPICe+ Part A) fee is ₹1,000. Figures are indicative; confirm your state's current rate before filing.
Documents required for Nidhi Company registration
Scanned copies are enough for incorporation. For the NDH-4 stage, you also need records of your first 200 members.
Directors & subscribers
- PAN card (mandatory, name as per PAN)
- Aadhaar card (for e-KYC and DSC)
- Passport-size photograph
- Address proof: bank statement, electricity, mobile or telephone bill not older than 2 months
- Email ID and mobile number of each person
- Fit and proper declaration from each promoter and director
Registered office
- Latest electricity, water, gas or telephone bill, or property tax receipt (not older than 2 months)
- No Objection Certificate (NOC) from the property owner
- Rent or lease agreement if the premises are rented
- A proper office is recommended, as members will visit to deposit and borrow
For NDH-4 (within 120 days)
- Register of members showing at least 200 members
- Membership forms and KYC of every member
- Share allotment records and bank statements for capital received
- Statement of Net Owned Funds (₹20 lakh or more), certified by a professional
- Board resolution approving the application
How to register a Nidhi Company: incorporation to NDH-4
Registration happens in two stages: incorporating a public limited company through SPICe+, then getting the Central Government's declaration through Form NDH-4.
Consultation & planningDay 1–2
We check that a Nidhi fits your plan, set the capital structure, plan how you'll reach 200 members and ₹20 lakh NOF, and collect documents.
DSCs and name approvalDay 2–6
Class 3 DSCs for all 7 subscribers, then SPICe+ Part A with up to two names ending in "Nidhi Limited".
MOA, AOA & SPICe+ filingDay 6–10
We draft the Memorandum with the Nidhi object (encouraging thrift and savings among members) and Articles in line with the Nidhi Rules, then file SPICe+ Part B with DIN for 3 directors, PAN, TAN, EPFO, ESIC and a bank account.
Certificate of IncorporationDay 12–20
The Registrar issues the Certificate of Incorporation with CIN, PAN and TAN. The 120-day window for NDH-4 starts now.
200 members & ₹20 lakh NOFWithin 120 days
Enrol members with KYC, allot shares and receive capital into the company's bank account. We also file INC-20A for commencement of business.
NDH-4 declarationDecision in 45 days
We file NDH-4 with the fit and proper declarations. The Central Government decides within 45 days (otherwise it is deemed approved). After approval, file it with the Registrar and start accepting deposits and giving loans.
Working days for incorporation. The NDH-4 stage depends mainly on how quickly you enrol members and raise capital. A Nidhi can't accept deposits or give loans before it is declared.
Documents you receive
- Certificate of IncorporationIssued by MCA with your company's CIN
- Company PAN & TANAllotted with the incorporation
- Nidhi MOA & AOADrafted in line with the Nidhi Rules
- DSCs & DINsDSC for every subscriber, DIN for directors
- EPFO & ESIC registrationThrough AGILE-PRO-S
- Current bank accountApplication with partner banks
- NDH-4 declaration filingIn Standard and Premium plans
- Member, deposit & loan formatsIn Standard and Premium plans
Nidhi Company vs NBFC vs Credit Co-operative Society
All three can lend money, but they differ widely in capital, regulator and who they can serve.
| Feature | Nidhi Company | NBFC | Credit Co-operative Society |
|---|---|---|---|
| Law | Companies Act, 2013 & Nidhi Rules, 2014 | Companies Act & RBI Act, 1934 | State or Multi-State Co-operative Societies Act |
| Regulator | MCA (Central Government) | Reserve Bank of India | Registrar of Co-operative Societies |
| RBI licence | Not needed | Certificate of Registration needed | Not needed for credit societies |
| Entry capital | ₹10 lakh paid-up, ₹20 lakh NOF | ₹10 crore NOF for new NBFCs | Varies by state law |
| Who it serves | Members only | Public | Members only |
| Accepting deposits | From members | Only with specific RBI approval | From members |
| Lending | Secured loans to members | Any customer, secured or unsecured | Loans to members |
| Time to start | About 4–6 months including NDH-4 | Often a year or more | Varies by state |
| Best for | Community savings and secured lending | Large-scale lending to the public | Co-operative members in a region |
Compliance checklist for a Nidhi Company
A Nidhi follows public company rules plus Nidhi-specific returns. Missing them can stop the Nidhi from taking deposits or giving loans.
- Within 30 daysFirst board meeting & auditorHold the first board meeting and appoint the first statutory auditor (ADT-1).
- Within 120 daysNDH-4 declarationApply once you have 200 members and ₹20 lakh NOF. Without it, the company can't take deposits or give loans and can't file SH-7 or PAS-3.
- Within 180 daysINC-20A: commencement of businessDeclaration that subscribers have paid for their shares.
- Half-yearlyNDH-3 returnHalf-yearly return within 30 days of the end of each half-year (September and March).
- As neededNDH-2 and branch approvalsRegional Director approval for more than 3 branches in the district or any branch outside it, and for closing a branch.
- At least 4 a yearBoard meetingsOne every quarter, with no more than 120 days between meetings.
- YearlyAGM, AOC-4 and MGT-7AGM within 6 months of the year end; financial statements within 30 days and annual return within 60 days of the AGM.
- Yearly · by 31 OctAudit and ITR-6Statutory audit by a Chartered Accountant, then the income tax return.
- OngoingRatios, KYC and registersKeep NOF to deposits within 1:20, 10% of deposits in unencumbered term deposits, member KYC, and registers of members, deposits and loans.
More than registration: Start, Build and Grow with one team
Most firms stop at the certificate. We help you through NDH-4 and set up compliance, then help members find and trust you.
Register & stay compliant
CA/CS experts for incorporation, NDH-4, NDH-3, board meetings and yearly ROC filings, all at fixed prices.
ROC annual filingGet your Nidhi online
Professional website, .in domain, business email and Google Business Profile, so members can find and trust you.
Website plansStay close to members
WhatsApp Business API, bulk SMS and cloud telephony for deposit reminders, EMI alerts and member updates.
WhatsApp APINidhi Company registration: frequently asked questions
What is a Nidhi company?+
A Nidhi company is a public limited company declared as a Nidhi under Section 406 of the Companies Act, 2013. Its only business is encouraging thrift and savings among its members, accepting deposits from them and lending to them for their mutual benefit. It is governed by the Nidhi Rules, 2014 and regulated by the Ministry of Corporate Affairs.
What are the requirements to register a Nidhi company?+
At incorporation: at least 3 directors, 7 members (individuals only), paid-up equity share capital of at least ₹10 lakh, a name ending with Nidhi Limited and a registered office. Within 120 days of incorporation it must have at least 200 members and Net Owned Funds of ₹20 lakh or more, and apply for declaration in Form NDH-4.
What is the minimum capital for a Nidhi company?+
The minimum paid-up equity share capital is ₹10 lakh, raised from ₹5 lakh by the Nidhi (Amendment) Rules, 2022. The company also needs Net Owned Funds of ₹20 lakh or more within 120 days of incorporation, so plan for at least ₹20 lakh of capital in the early months.
What is Form NDH-4?+
NDH-4 is the application to the Central Government to be declared a Nidhi company. A company incorporated as a Nidhi must file it within 120 days of incorporation, once it has 200 members and ₹20 lakh Net Owned Funds, along with fit and proper declarations from its promoters and directors.
How long does the Central Government take to decide on NDH-4?+
The Nidhi Rules require a decision within 45 days of receiving the application. If no decision is given within 45 days, the approval is treated as granted. In practice, applications with weak member records or capital proof are often queried or rejected, so careful preparation matters.
Can a Nidhi company accept deposits before NDH-4 approval?+
No. A newly incorporated Nidhi can't accept deposits from or give loans to members until the Central Government declares it a Nidhi. If it fails to comply or its NDH-4 is rejected, it also can't file SH-7 or PAS-3.
How much does Nidhi company registration cost?+
Our professional fee starts at ₹14,999 + GST for incorporation with 7 DSCs and 3 DINs, and ₹29,999 + GST including NDH-4. Add the MCA name fee of ₹1,000, state stamp duty, the MCA registration fee (nil up to ₹15 lakh authorised capital) and the NDH-4 filing fee. Use the calculator on this page for your state.
How long does it take to register a Nidhi company?+
Incorporation usually takes 12 to 20 working days. After that you have up to 120 days to reach 200 members and ₹20 lakh NOF and file NDH-4, and the government has 45 days to decide. Overall, most Nidhis are ready to operate in about 4 to 6 months.
Does a Nidhi company need an RBI licence?+
No. Nidhi companies are regulated by the Ministry of Corporate Affairs. The RBI has exempted notified Nidhi companies from the core NBFC registration provisions of the RBI Act, though it can issue directions on matters like deposit interest rates.
Who can become a member of a Nidhi company?+
Only individuals. A Nidhi can't admit a company, LLP, trust or other body corporate as a member. Deposits can be accepted from, and loans given to, members only.
What loans can a Nidhi company give?+
Only secured loans to members, against gold, silver and jewellery, immovable property, fixed deposits, NSCs, government securities and insurance policies. Gold loans must be repaid within 1 year and property loans within 7 years.
What is the maximum loan a Nidhi can give one member?+
It depends on the Nidhi's total deposits: ₹2 lakh if deposits are up to ₹2 crore, ₹7.5 lakh up to ₹20 crore, ₹12 lakh up to ₹50 crore and ₹15 lakh above ₹50 crore. A Nidhi that hasn't made a net profit in each of the last 3 years can lend only half these amounts.
What interest rates can a Nidhi charge and pay?+
Deposit interest can't exceed the maximum rate the RBI allows deposit-taking NBFCs. Loan interest can't be more than 7.5% above the highest deposit rate offered, calculated on a reducing balance.
What can't a Nidhi company do?+
It can't do chit fund, hire purchase, leasing or insurance business, deal with non-members, issue preference shares or debentures, open current accounts, buy securities of other companies, advertise for deposits, pay brokerage for deposits or loans, or borrow from banks to lend to members.
Can a Nidhi company open branches?+
Yes, after earning a net profit for 3 consecutive financial years, a Nidhi can open up to 3 branches within the district of its registered office. More branches, or branches outside the district, need prior approval from the Regional Director in Form NDH-2.
What returns does a Nidhi company file?+
Along with normal public company filings (AOC-4, MGT-7, ITR-6, DIR-3 KYC, ADT-1), a Nidhi files NDH-4 for declaration, NDH-3 every half year within 30 days of the half-year end, and NDH-2 for branch approvals.
Do Nidhi company shares have to be in demat form?+
No. Rule 9A of the Companies (Prospectus and Allotment of Securities) Rules exempts Nidhi companies from the demat requirement that applies to other unlisted public companies.
Can a Nidhi company pay dividends?+
Yes, but not more than 25% in a financial year. A Nidhi also can't let a member transfer more than half their shares while they have a loan or deposit outstanding.
Ready to start your Nidhi Company?
Talk to a CA/CS expert today. Get your exact cost and a 120-day plan on WhatsApp, with no obligation.
Disclaimer: IBACT Digital (IBACT Innovations Pvt Ltd) is a private consultancy, not a government body. Declaration as a Nidhi is granted by the Central Government and depends on meeting the Nidhi Rules. Government fees and stamp duty are paid to the authorities at actuals. Information on this page is for general guidance and is based on the Companies Act, 2013 and the Nidhi Rules, 2014 as amended, as of October 2026.