Overview of NBFC Registration Process | Types of NBFC

1. ALL ABOUT NBFC OVERVIEW OF THIS DOC NBFCs - Definition Demand of NBFC Types of NBFCs RBI on NBFC Process Overview Documents Overview NBFC vs Bank NBFC Advisory

2. A NON-BANKING FINANCE COMPANY RBI ACT 1934 FUNCTIONS OVERVIEW NBFC (Non-Banking Financial Company) is engaged in financial activities as defined under section 45-IA of the RBI Act 1934 An NBFC can provide both secured and unsecured loans to the takers based on alternative lending models. The government has been promoting NBFC so that the unorganised money lenders and people willing to run financial services can organise their lending operations.

3. TYPES OF NBFCS RBI

4. ASSET FINANCE COMPANY Loans for operating heavy assets such as automobiles, excavators, generators (accounting for 13.7% of the total number of NBFCs)

5. LOAN COMPANY Operating loan business (36.2% of the total number of NBFCs)

6. INVESTMENT COMPANY Buying and selling securities (Accounting for 12.6% of the total number of NBFCs)

7. INFRASTRUCTURE FINANCE COMPANY Provide infrastructure loans (31.5% of the total number of NBFCs)

8. SYSTEMICALLY IMPORTANT CORE INVESTMENT COMPANY Equity Investment

9. INFRASTRUCTURE DEBT FUND Provide investment in infrastructure debt funds

10. MICRO FINANCE INSTITUTION (MICROFINANCE) Microfinance to SMEs (3.0% of the total number of NBFCs)

11. FACTOR (ACCOUNTS RECEIVABLE) Accounts Receivable financing

12. NON-OPERATIVE FINANCIAL HOLDING COMPANY Allow sponsor / sponsor groups to set up new banks

13. MORTGAGE GUARANTEE COMPANY Provide Mortgage Loan

14. AMOUNT AGGREGATOR Collect, organize and provide customers with financial asset information

15. P2P Provide P2P lending platform

16. INDIAN RBI ACT DEFINES NBFC AS 1. Companies registered under the Companies Act;

17. Companies engaged in the provision of credit facilities such as loans and advance payments, securities and debt, and other securities, leasing, installment, insurance and other businesses. A non-bank institution is a company registered under the "Company Law" whose main business is to accept deposits under any plan or arrangement in installments in a lump sum, installment or any other manner, which is also referred to in this law Non-bank financial company.

18. However, according to the RBI Act, the following categories are not part of the NBFC's competence: 1. Any institution whose main business includes agricultural activities; Any institution whose main business includes industrial activities; Any institution whose principal business includes the purchase or sale of any goods (other than securities); Any institution whose principal business includes providing any services and selling / buying / constructing real estate. 2. 3. 4.

19. FACTORS FOR NBFC DEVELOPMENT Burden of public sector Lack of traditional banks in rural areas Heavy credit demand Due to increased consumption

20. PROCESS OVERVIEW In order to establish any of these types of financial institutions, a registration number must be received from the Reserve Bank of India. To register for NBFC, applicants must submit the required form to the Reserve Bank of India for inspection, along with the required attachments. Once it is confirmed that the requirements of the RBI Act have been complied with, a registration certificate is issued to the agency.

21. The applicant must be a company registered under the latest Company Law The company has a minimum net capital of Rs 2 crore The company's CIBIL (Indian Credit Registration Agency) records no violations Board of directors should have member from finance background or banking experience.

22. REQUIREMENTS OVERVIEW For specific categories of NBFCs, there is a specific net ownership funding requirement A company registered under the Companies Act; Should have a minimum net ownership of Rs 2 crore;

23. NBFC IS DIFFERENT FROM BANKS NOT ACCEPT DEMAND DEPOSITS NOT A PART OF THE PAYMENT AND SETTLEMENT SYSTEM CANNOT ISSUE ITS OWN CHECK DEPOSITORS CANNOT ENJOY DEPOSIT INSURANCE

24. NBFC CAN OFFER SERVICES P2P HIRE-PURCHASE Presentations are communication tools. INSURANCE Presentations are communication tools. CURRENCY EXCHANGE Presentations are communication tools. Presentations are communication tools. LOANS AND CREDIT FACILITIES Presentations are communication tools. ASSETS FINANCING Presentations are communication tools. ACQUISITION OF SHARES Presentations are communication tools. STOCK, BONDS Presentations are communication tools.

25. MEET OUR ADVISERS MRS MONISHA CHAUDHARY MR ABHISHEK KUMAR MISS SUMAN JHA Senior NBFC Advisor Enterslice Additional Director - Swarit Advisory Head - NBFCs

26. CONTACT US youtube.com/c/enterslice fb@enterslice +91-9870310368 company/enterslice +91-9810688945 @enterslice Official_Enterslice www.enterslice.com info@enterslice.com https://enterslice.com/nbfc-registration