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Nidhi Company

A Nidhi company Registration is a financial institution that does not rely on traditional banking methods. The bank was created with the goal of borrowing and lending money to its members. The organisation promotes savings among its members by providing mutual benefits. Nidhi Company does not need a licence from the RBI (Reserve Bank of India), making it easy to establish.It is a public business with 'Nidhi Limited' as its official name.<br>Know more: https://enterslice.com/nidhi-company-registration<br>

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Nidhi Company

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  1. Nidhi Company vs. Chit Funds: Differences In this post, it is stated how Nidhi Company and Chit Funds vary fundamentally. Let's begin by gaining a basic understanding of what a Nidhi Company and a Chit Fund are- What a Nidhi Company Is A Nidhi Company registration in accordance with Section 406 of the Companies Act 2013 and is notified as such by the relevant government in accordance with Section 620A of the Companies Act. It is a non-bank financial organisation (NBFO) that borrows and lends money from its shareholders and members. "Nidhi" means "funds" or "finance" in Hindi. Nidhi is the name of a company that was established to foster a culture of saving and thrift among its members as well as to collect deposits and lend to them solely for mutual gain. The benefits of registering a Nidhi Company The following are just a few of the many advantages of registering a Nidhi Company in India: - The management of the company is completely internal.

  2. It is easy to raise capital, lend money to group members, or borrow money from them. easily controlled low capital expenditure a decrease in the quantity of compliances that are necessary. Low-cost registration. The Companies Act of 2013 offers a number of benefits and exemptions. The RBI plays a very small part. a low-interest investment that is secure. There is little risk involved. a better means of saving. An improved substitute for a Credit Co-operative Society. is acknowledged as a separate legal entity. An example of a savings plan is a chit shop in India. Chit support companies are businesses that oversee, manage, or supervise chits. The Chits Funds Act of 1982[1] specifies chits as foreman, agent, or in any other position. A Chit Fund is a fantastic financial tool for borrowing and saving. Both as a tool for saving and as a method of borrowing, it offers a respectable return on investment. In addition to other circumstances, it might be a reliable source of funds. Nidhi Company vs. Chit Funds: Differences The main distinction between a Nidhi Company and a Chit Fund is that the former is an NBFC that can only lend or accept deposits, whereas the latter, or Chit Fund, is also a committee like a Nidhi Company but only accepts instalment payments made by its members over a set period of time rather than the full amount.

  3. a brief comparison between Nidhi Company and Chit Funds According to the 1982 NBFC and Chit Funds Act, the Chit Funds are registered. While Nidhi Company is registered under the Companies Act and RBI guidelines, it is one of the unique types of businesses that needs additional permits to operate. An outsider designated for oversight may run the Chit Fund. In contrast, there are no outsiders in a Nidhi Company. The members run it totally. Conclusion- The Nidhi Companies are Non-Banking Financial Companies (NBFCs) that can lend money to their clients and take deposits. The Nidhi Company Registration process can be completed totally online. Commissions on deposits and other forms of marketing are prohibited for Nidhi Companies. Members of a Chit Fund Company, also referred to as the committee, make a fixed contribution over a predetermined period of time as part of an Indian savings system. Since the Chit Fund Act of 1982 regulates them, registered chit funds are secure.

  4. Thank You! Contact Us- Website: www.enterslice.com Email: info@enterslice.com Call Now: 9870310368 Address: B 78 Sector 60 Noida U.P. 201301 Uttar Pradesh

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