NBFC Services in India
Non-Banking Financial Companies (NBFCs) are a critical pillar of India’s financial system — providing credit, investments, and financial services to segments that banks often cannot reach. From consumer loans and vehicle finance to SME lending, microfinance, and infrastructure funding, NBFCs drive financial inclusion and economic growth.
Setting up and running an NBFC in India is a highly regulated affair. It requires prior approval from the Reserve Bank of India (RBI), minimum Net Owned Funds (NOF) of ₹10 crore (recently revised), and strict ongoing compliance under RBI Master Directions, the Companies Act, and the Scale-Based Regulatory (SBR) Framework introduced by RBI.
We offer end-to-end advisory for NBFC registration, conversion, compliance, and restructuring — covering CoR application with RBI, capital structuring, FEMA compliance, NBFC audits, returns, and ongoing regulatory support — helping promoters, fintechs, and NBFC boards operate with full regulatory confidence.
Our NBFC Services
NBFC Registration
End-to-end support for Certificate of Registration (CoR) with RBI, from structuring to approval.
NBFC Conversion
Conversion of existing companies into NBFCs and transition between NBFC categories.
Takeover & M&A
Acquisition, takeover, and restructuring of existing NBFCs with RBI approval and due diligence.
Regulatory Compliance
Ongoing compliance under RBI Master Directions, SBR framework, and Fair Practices Code.
RBI Returns & Filings
Periodic returns like NBS-1, NBS-2, NBS-7, ALM, FC-GPR, and annual supervisory returns.
NBFC Audit
Statutory audit, concurrent audit, and regulatory compliance audit as per RBI requirements.
Policies & Framework
Drafting of credit policy, risk management, KYC/AML, fair practices code, and IT/IS policies.
Digital Lending Advisory
Compliance support under RBI’s Digital Lending Guidelines, LSP tie-ups, and data governance.
Types of NBFCs We Help Register
NBFC-ICC
Investment and Credit Company — financial institutions engaged in lending, investments, and financing activities.
NBFC-MFI
Microfinance institution focused on small-ticket loans to low-income borrowers and self-employed individuals.
NBFC-Factor
Engaged in factoring and assignment of trade receivables to improve business working capital.
NBFC-IFC
Infrastructure Finance Company providing funding for infrastructure projects and long-term lending.
HFC
Housing Finance Company — specialized NBFC providing home loans, regulated jointly by RBI and NHB.
NBFC-P2P
Peer-to-peer lending platform that matches lenders with borrowers under RBI’s P2P framework.
NBFC-AA
Account Aggregator enabling secure, consent-based sharing of financial data between institutions.
CIC / CIC-ND-SI
Core Investment Company holding investments in group companies — used widely in large corporate groups.
Key Eligibility Requirements
Company Structure
Must be a company incorporated under the Companies Act, 2013 (private or public limited).
Net Owned Funds
Minimum NOF of ₹10 crore (revised by RBI), higher thresholds for specialized NBFC categories.
Clean Directors & Promoters
Directors and promoters must have clean track records — no defaults, frauds, or regulatory actions.
Fit & Proper Criteria
Directors must meet RBI’s Fit and Proper Criteria, including integrity and financial experience.
Financial Business Plan
Detailed 5-year business plan, projections, target customers, and risk framework.
Banker’s Report
No-objection certificate and banker’s report confirming source and genuineness of NOF.
Documents Required
Company & Corporate
- Certificate of Incorporation
- MOA & AOA with NBFC objects
- Board resolution for NBFC registration
- Shareholding pattern
- Latest audited financials
- Net Owned Funds certificate
Directors & Promoters
- KYC of directors and promoters
- PAN, Aadhaar, address proof
- Educational & professional qualifications
- Net worth certificate
- Experience in financial services
- Fit & Proper declaration
Business & Policy
- Detailed business plan (5 years)
- Financial projections
- Credit & risk management policy
- KYC / AML / Fair Practices Code
- IT & IS policy framework
- Banker’s report on NOF
NBFC Registration Process
Structuring
Select the appropriate NBFC category, structure capital, and plan the shareholding pattern.
Incorporation
Incorporate the company (or restructure existing) with NBFC-compliant objects and NOF.
Application
File online application with RBI through COSMOS portal along with physical submission.
Scrutiny
Respond to RBI queries, supervisory review, Fit & Proper evaluation, and compliance checks.
CoR Grant
Receive Certificate of Registration from RBI and commence regulated NBFC operations.
Why Set Up an NBFC
Ongoing NBFC Compliances
Statutory Audit
Annual statutory audit by qualified auditors with NBFC-specific disclosures.
RBI Returns
NBS-1, NBS-2, NBS-7, ALM, CRILC, and other periodic returns to RBI.
Capital Adequacy (CRAR)
Maintain prescribed Capital to Risk-Weighted Assets Ratio at all times.
Asset Classification
Income recognition, asset classification, and provisioning as per RBI norms.
Fair Practices Code
Implementation of FPC, grievance redressal, and customer protection measures.
KYC & AML
Customer due diligence, PMLA reporting, STR and CTR to FIU-IND.
Corporate Governance
Board composition, audit committee, risk committee, and SBR framework compliance.
Digital Lending Norms
Compliance with RBI Digital Lending Guidelines, LSP disclosures, and data protection.
FAQs on NBFC Registration & Compliance
Build a Compliant, Scalable NBFC with Expert Guidance
Partner with our team for end-to-end NBFC advisory — from structuring and RBI registration to audits, returns, and ongoing regulatory compliance.
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