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NBFC Online

MUDS has been detrimental in the success story of 300 NBFCs by helping them through the entire process of incorporation/compliences. We add value to our services by developing and deploying the most effective solutions for our clients. Click to know the NBFC registration process.<br>

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NBFC Online

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  1. NBFC REGISTRATION PROCEDURE AND LICENSE WITH RBI IN INDIA

  2. DESIROUS OF EXPLORING THE NBFC SPACE ? NBFCs do not hold banking license but they offer almost every service that banks do Banking services are not capable of fulfilling the financial needs of all the citizens. Rapidly-growing Indian economy has provided an excellent opportunity to NBFCs NBFCs have grown at a remarkably because of their customer friendly approach, great flexibility and an attractive rate of returns. Services include - accepting deposits, offering loans, performing financial intermediation, offering cash advances, leasing, hire purchase, etc.

  3. WHO IS THE REGULATORY AUTHORITY OF NBFCS? Within the framework of the Reserve Bank of India Act, 1934. From time to time the RBI issues guidelines and directions to be followed by the NBFCs. Reserve Bank of India (RBI) Section 45-IA mandates that no NBFC shall begin or carry on the business of a Non-Banking Financial Institution without obtaining a Certificate of Registration (COR) from the RBI.

  4. AREAS OF BUSINESS OF NBFCS

  5. SERVICES THAT NBFCS CANNOT OFFER

  6. DIFFERENT CATEGORIES OF NBFCS REGISTERED WITH RBI

  7. ELIGIBILITY NORMS FOR REGISTRATION OF NBFCS Legal • Company should be registered under the Companies Act, 2013 or Companies Act, 1956 Financial • Company should have Minimum Net Owned Fund of INR 2 crore

  8. PROCEDURE OF REGISTRATION OF NBFCS First formality is an incorporation of the applicant company under the Companies Act, 1956 or 2013, with Minimum Thereafter the applicant company needs to open a Bank Account and keep the entire sum of INR 2 crores in the bank’s deposit account, which should be free from all liens. Post submission of the form, CARN (Company Application Reference Number) is generated that is helpful in future references. The Regional Office shall scrutinize the authenticity of the documents and on being satisfied, shall forward it to the Central Office. The Central Office of RBI grants the NBFC registration only after the fulfilment of all prescribed requirements by the company under section 45-IA, of its act of 1934 Net Owned Fund of INR 2 crore (Equity Share Capital & not Preference Share Capital). The applicant is then required to apply for registration online on RBI’s official COSMOS website. Hard copies of all the documents are required to be submitted to the concerned Regional Office of RBI.

  9. LIST OF IMPORTANT DOCUMENTS • Certificate of Incorporation (Certified Copy Issued by ROC) • Extract of Main Object Clause in MOA (Clearly depicting Financial Business) • Board of Resolution stating the following before getting registration from RBI: • Adherence to the “Fair Practices Code (as per RBI guidelines) • Non-carrying out any NBFC activity • Non-carrying out of acceptance of any public deposit • Audited Balance Sheet & Profit & Loss account along with directors and auditor’s report (for the entire period of the company’s existence or last 3 years, whichever is less) • Director’s Highest Educational & Professional Qualification (Copy of certificate) • Director’s experience in the Financial Services Sector, including the Banking Sector (Copy of certificate) • Details of deposits & loans balances as on the date of application & conduct of account (Bankers report)

  10. CONTACT MUDS AT THE EARLIEST FOR A BRIGHT FUTURE! “THE FUTURE OF NBFCS IN INDIA IS SECURE FOR MANY YEARS TO COME, THEREFORE, THE SOONER YOU CAPTURE THIS SPACE, THE BETTER IT WOULD BE!” -SHWETA GUPTA, FOUNDER, AND CEO, MUDS FOR MORE INFORMATION: HTTPS://WWW.MUDS.CO.IN/NBFC-REGISTRATION/

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