NBFC Registration and Compliance Services in India
A Non-Banking Financial Company (NBFC) is a financial institution incorporated under the Companies Act, 2013 and regulated by the Reserve Bank of India in accordance with the RBI Act, 1934. NBFCs are permitted to provide financial services such as loans, advances, investments, leasing, and hire-purchase, while they are not authorized to accept demand deposits like banks.
NBFCs play a significant role in expanding credit access and supporting financial inclusion by serving individuals, small businesses, and sectors that may not be fully covered by traditional banking institutions.
Eligibility Criteria for NBFC Registration
To apply for NBFC registration in India, the following conditions must be satisfied:
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The applicant entity must be incorporated as a company under the Companies Act, 2013
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The company must maintain the prescribed minimum Net Owned Fund
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Directors must meet the fit and proper criteria, demonstrating financial integrity and professional competence
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A viable business plan and adequate operational infrastructure must be established
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The company must have a registered office located in India
Types of NBFCs as per Regulatory Guidelines
NBFCs are classified based on their principal financial activities.
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Asset Finance Companies engaged in financing physical assets such as vehicles, machinery, and equipment
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Loan Companies providing personal, commercial, or business loans
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Investment Companies involved in investment and securities-related activities
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Microfinance NBFCs offering small-value loans to low-income individuals
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Infrastructure Finance Companies supporting long-term infrastructure projects
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Core Investment Companies holding investments in group companies
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Other NBFC categories including deposit-taking and non-deposit-taking entities
Our NBFC Registration Services Include
We provide comprehensive assistance throughout the NBFC registration and setup process.
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Preparation and submission of the NBFC registration application
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Drafting of business plans, financial projections, and regulatory documentation
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Support with director eligibility assessments and governance requirements
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Development of internal compliance frameworks and risk management policies
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Assistance with statutory registrations required for NBFC operations
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Advisory support for selecting the appropriate NBFC category and structure
Advantages of NBFC Registration
Registering as an NBFC offers several operational and business benefits:
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Legal recognition under a regulated financial framework
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Access to multiple funding and capital-raising opportunities
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Enhanced credibility with investors, lenders, and customers
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Ability to expand financial products and service offerings
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Structured compliance systems to manage regulatory risks
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Contribution to broader financial inclusion and credit availability
Documents Required for NBFC Registration
The NBFC registration process requires submission of the following documents:
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Certificate of incorporation reflecting financial business objectives
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Memorandum and Articles of Association
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Net Owned Fund certification and financial statements
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Identity, background, and qualification details of promoters and directors
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Board resolutions approving the NBFC registration proposal
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Details of office infrastructure and operational readiness
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Internal policies related to compliance, accounting, and governance
Why Partner With i Tax GST Filing
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In-depth understanding of NBFC regulatory and compliance requirements
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End-to-end support from registration through operational readiness
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Assistance with documentation, approvals, and compliance systems
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Transparent processes with timely progress updates
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Ongoing advisory support for post-registration compliance and reporting
Our Commitment
i Tax GST Filing ensures that NBFC registration and compliance processes are managed with accuracy and regulatory alignment. From documentation and application filing to compliance framework setup and advisory support, the focus remains on establishing legally compliant and operationally sound NBFC structures.
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Set up a compliant NBFC structure and expand your financial services with structured professional support.
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What is NBFC registration?
NBFC registration refers to the process of obtaining a license from the Reserve Bank of India (RBI) to operate as a Non-Banking Financial Company. These companies can provide loans, advances, or financial services without being a bank. Moreover, NBFCs must comply with RBI regulations, capital requirements, and reporting standards. Additionally, proper documentation and company structure are essential for approval. Consequently, NBFC registration ensures legal compliance, builds credibility, and allows businesses to operate in India’s financial sector responsibly and securely.
How to register an NBFC in India?
To register an NBFC in India, first incorporate a company under the Companies Act, 2013 with a minimum net owned fund of ₹2 crore. Then prepare and submit the application to the RBI along with required documents such as board resolutions, KYC, and business plan. Moreover, ensure compliance with RBI guidelines, including capital adequacy and statutory filings. Additionally, maintain proper internal controls and audited financials. Consequently, timely approval enables the NBFC to operate legally while building credibility and trust in the financial market.
What is the NBFC registration process?
The NBFC registration process begins with incorporating a company under the Companies Act, 2013, ensuring a minimum net owned fund of ₹2 crore. Then, prepare the application with required documents, including board resolutions, KYC details, business plan, and audited financials. Moreover, submit the application to the RBI for scrutiny and adhere to their guidelines. Additionally, maintain proper internal controls and statutory compliance. Consequently, following this process carefully ensures timely approval and allows the NBFC to operate legally and credibly in India’s financial sector.
What are the NBFC registration fees / cost?
The NBFC registration fees in India primarily include the RBI application fee, professional consultancy charges, and company incorporation costs. Moreover, the minimum net owned fund requirement is ₹2 crore, which is a financial prerequisite for approval. Additionally, expenses may arise for legal documentation, board resolutions, KYC submissions, and compliance audits. Consequently, the total cost varies depending on company structure and professional assistance. Therefore, careful planning and budgeting help ensure smooth registration while maintaining compliance and operational readiness.
What is the minimum capital required for NBFC registration?
The minimum capital required for NBFC registration in India is ₹2 crore as Net Owned Fund (NOF). Moreover, this fund acts as a financial buffer to ensure stability and compliance with RBI regulations. Additionally, NBFCs must maintain this capital throughout operations, along with proper documentation and audits. Consequently, having adequate capital not only meets legal requirements but also builds credibility with clients, investors, and financial institutions, enabling smooth business operations and fostering trust in the financial market.
Which documents are required for NBFC registration?
To register an NBFC in India, several key documents are required. Firstly, incorporate the company under the Companies Act, 2013 and provide Certificate of Incorporation, Memorandum of Association (MOA), and Articles of Association (AOA). Moreover, submit board resolutions, KYC details of directors, business plan, financial statements, and Net Owned Fund proof. Additionally, include audited accounts, address proof, and professional certifications if applicable. Consequently, having complete and accurate documentation ensures timely RBI approval and enables the NBFC to operate legally and credibly.
How much time does NBFC registration take?
NBFC registration in India typically takes 3 to 6 months, depending on the completeness of documents and RBI scrutiny. Moreover, timely submission of incorporation certificates, board resolutions, KYC details, and audited financials can expedite the process. Additionally, adherence to RBI guidelines and prompt responses to queries play a crucial role. Consequently, careful preparation and professional assistance not only reduce delays but also ensure smooth approval. Therefore, planning ahead helps businesses start operations legally and confidently.
Who is eligible for NBFC registration?
To be eligible for NBFC registration in India, a company must be incorporated under the Companies Act, 2013 with a minimum Net Owned Fund of ₹2 crore. Moreover, directors and promoters should have a clean track record without any criminal or financial defaults. Additionally, the company must have proper internal systems, audited accounts, and a clear business plan. Consequently, meeting these criteria ensures smooth RBI approval, legal compliance, and establishes credibility in India’s financial sector.
What is the difference between an NBFC and a bank?
An NBFC (Non-Banking Financial Company) provides loans, advances, and financial services but cannot accept demand deposits like a bank. Moreover, banks are highly regulated by the RBI and offer a full range of banking services, including savings and current accounts. Additionally, NBFCs have comparatively relaxed regulations but must maintain minimum Net Owned Funds and comply with RBI guidelines. Consequently, while both facilitate credit, banks handle deposits and payment systems, whereas NBFCs focus on lending, investments, and niche financial services.
What are the RBI guidelines for NBFC registration?
The RBI guidelines for NBFC registration include incorporating a company under the Companies Act, 2013 with a minimum Net Owned Fund of ₹2 crore. Moreover, NBFCs must maintain proper accounting standards, internal controls, and audited financial statements. Additionally, compliance with KYC norms, periodic reporting, and adherence to capital adequacy requirements is mandatory. Consequently, following these guidelines ensures legal approval, smooth operations, and credibility in the financial market. Therefore, professional assistance is recommended to navigate the RBI registration process efficiently.