India's one of the highest-rated legal tax and compliance guidance platform.
4.9 out of 5 (8521+ ratings)
Verified
Siddhu ManojFounder & CEO of Two-LYP Computations Pvt. Ltd.
“Incorporating my Startup with IncorpX was an incredibly smooth and hassle-free experience. The team was highly professional, guiding us every step of the way with clear communication and prompt support. The registration process was fast, and every detail was handled with precision and accuracy. Highly recommend IncorpX for anyone starting a business.”
Abhishek LohaniDirector at Lohani Learnings
“Company is good and service is also smooth. I used their compliance service and the response was timely with no delay and price are also convenient. They are always available to cater your need.”
Chandan Kr. ChaudharyFounder of Creative Minds
“I am very satisfied with the team of IncorpX for providing the top notch services. Team of IncorpX was giving the update on daily basis was one of the best thing which I experience in Corporate. keep doing it. Thank you!”
Jayavijaya SJFounder of Agro Farms
“Don't think twice.Got my company incorporates here. Tbh very impressed by the quality of service provided by this team. Very organized and friendly team. Had a smooth and peaceful experience. Timely regular updates were provided by the team. Overall a great experience.”
Anoop KrishnanFounder of EIGHTH DAY FORGE
“It's rare to find a service provider who makes the process feel personal - IncorpX absolutely did. From day one, they patiently explained every detail without any jargon, making it easy to understand and stress-free. There was zero chasing, no delays-just efficient, smooth execution all the way through. I felt supported, heard, and confident at every step of registering my company EIGHTH DAY FORGE (OPC) Private Limited. Thanks to Mr. Sriram and his wonderful team.”
Ramesh LankeFounder of EKnal Technologies
“IncorpX made the entire registration process for our company, EKnal Technologies, smooth and stress-free. Their team was professional, efficient, and incredibly supportive from start to finish. Highly recommend them to any founder looking for a reliable partner in their business journey! Special shoutout to Sriram and Aswin-your support, clarity, and responsiveness made the whole process incredibly smooth.”
700+
Businesses Incorporated Every Month
1000+
Ratings Trusted by 2000+ Clients
250+
Professional Network
Why Choose Us
Why Choose Us?
Expert Legal Team
Experienced legal experts in company formation and corporate law.
Fast Turnaround
Kickstart your venture with efficient company setup, generally processed within a week.
Dedicated Support
Personal manager by your side, every step of the way and beyond.
Complete Documentation
We handle all paperwork and ensure full legal compliance.
Business Growth Tools
Free business resources to fuel your company's success from day one.
24/7 Customer Service
Round-the-clock assistance for all your concerns.
Ready to Close Your Nidhi Company?
Get expert assistance for Nidhi Company closure with complete deposit settlement and MCA compliance, starting from ₹7,999.
Simple Process
Here's How It Works
01
Fill the Form
Simply fill the above form to get started.
02
Call to discuss
Our startup expert will connect with you & complete legalities.
03
Close Your Nidhi Company
Get professional assistance with Nidhi Company strike off via Form STK-2.
Pricing
Simple & Transparent Pricing
MOST POPULAR
Nidhi Company Closure Package
From ₹7999 one-time professional fee
Complete within 7 days
7-day turnaround 100% guaranteed
Form STK-2 E-Filing on MCA V3
Board Resolution Drafting
EGM Special Resolution (75% Majority)
Indemnity Bond from All Directors
Director Affidavit Preparation
Statement of Accounts (CA Certified)
Deposit Settlement Statement
Member Acknowledgment Letters
NDH-1 & NDH-3 Compliance Clearance
GST Cancellation (REG-16) Assistance
Expert CA/CS Support
*Government fees are additional and vary based on company structure
4.9/5 based on 1000+ reviews
Money back guarantee
Secure payment
Top rated service
AI-Powered Platform
Meet IncorpX Nova
Our proprietary AI engine streamlines every step of business setup, from intelligent name suggestions to automated document drafting and compliance tracking.
AI-Powered Business Name Approval Check
Auto-Generated MoA & AoA Drafts
Real-Time Compliance Monitoring
3x Faster Processing Than Traditional CAs
24/7 AI Chatbot + Human Expert Support
NOVA AI
Premium Plan
IncorpX Prime
An all-inclusive solution for startups and expanding enterprises seeking a streamlined, compliant incorporation process.
Key Benefits
Personalised support from dedicated incorporation specialists.
Application prepared and filed within 2 days.
24/7 customer assistance.
Important Notes
We strive to register your preferred business name whenever feasible.
Alternative name suggestions are provided if the preferred name is not approved.
Package includes first-year compliance services: auditor appointment, annual filings, and related obligations.
What Is a Nidhi Company and Why Does Closure Need Special Steps?
Route: Voluntary strike off via Form STK-2 under Section 248 of the Companies Act, 2013
Unique Requirement: All member deposits (FD, RD, savings) must be fully repaid before filing
Timeline: 4 to 8 months for a compliant Nidhi Company
Total Cost: ₹15,000 to ₹35,000 (compliant) | ₹35,000 to ₹75,000+ (non-compliant)
Professional Fee: From ₹7,999 (IncorpX) | Government Fee: ₹5,000 to ₹10,000
Risk of Inaction: 5-year director disqualification under Section 164(2) + criminal liability for unrepaid deposits
Alternative: NCLT winding up (₹1,00,000 to ₹3,00,000+, 1 to 3 years) if deposits cannot be repaid
A Nidhi Company is a mutual benefit society incorporated under Section 406 of the Companies Act, 2013, that accepts deposits from and lends exclusively to its members. It must maintain a minimum of 200 members and ₹20 lakh Net Owned Fund.
Closing a Nidhi Company is more complex than closing a standard Private Limited Company because of the member deposit relationship. Before filing any closure application, all fixed deposits, recurring deposits, and savings deposits must be fully repaid to every member under Rule 3 and Rule 4 of the Nidhi Rules, 2014. Additionally, the company must clear all Nidhi-specific compliance returns (NDH-1 under Rule 21, NDH-3 under Rule 21) that regular companies do not file. The Nidhi Rules, 2014 (amended in 2019, 2020, and 2022) impose strict requirements on Net Owned Fund ratios (Rule 5: minimum ₹20 lakh NOF), member counts (Rule 4: minimum 200 members), and deposit-to-NOF limits (Rule 22: maximum 1:20 ratio) that must be accounted for during closure.
Three closure methods exist for Nidhi Companies: voluntary strike off under Section 248(2) (via Form STK-2), NCLT winding up under Sections 271 to 274, and compulsory strike off by the ROC under Section 248(1). For compliant Nidhis with settled deposits, the STK-2 route is the fastest and most cost-effective option. Section 304 of the Companies Act, 2013 governs the distribution of surplus assets after dissolution. Directors who fail to close properly risk criminal prosecution for unrepaid deposits and 5-year disqualification under Section 164(2). If you are unsure about your company's compliance status, start with a compliance health check to identify gaps before initiating closure.
If your Nidhi Company is still operational and you are exploring alternatives, consider reviewing Nidhi company compliance requirements to assess whether continued operation is viable. For those looking to start a Nidhi Company instead, visit our Nidhi company registration page.
Methods to Close a Nidhi Company in India
The Companies Act, 2013 provides three routes for closing a Nidhi Company. Your choice depends on whether all member deposits are settled, the company's compliance history, and whether any disputes exist.
Parameter
Voluntary Strike Off (STK-2)
Compulsory Strike Off (ROC)
NCLT Winding Up
Initiated By
Company directors
ROC suo motu
Company or creditors
Legal Section
Section 248(2)
Section 248(1)
Sections 271 to 274
Form
STK-2
STK-1 (by ROC)
NCLT Petition
Timeline
4 to 8 months
ROC-initiated (varies)
1 to 3 years
Total Cost
₹15,000 to ₹35,000
Penalties only
₹1,00,000 to ₹3,00,000+
Deposit Settlement
Required before filing
Not addressed by ROC
Liquidator handles
Director Impact
DIN stays active
DIN disqualified 5 years
Case-dependent
Best For
Compliant Nidhis, deposits settled
Dormant Nidhis (not recommended)
Cannot repay deposits
For most non-operational Nidhi Companies with settled deposits, voluntary strike off via STK-2 is the recommended route. It is faster, more affordable, and keeps directors' DIN active. IncorpX specializes in the STK-2 process and handles all formalities on your behalf.
If your Nidhi Company has been inactive for 2+ years without filing returns, the ROC may initiate suo motu strike off under Section 248(1). Directors face automatic 5-year disqualification under Section 164(2). File STK-2 proactively to protect your DIN.
Member Deposit Settlement Before Nidhi Closure
Member deposit settlement is the most critical and time-consuming step in Nidhi Company closure. Unlike any other company type, a Nidhi holds member deposits (fixed deposits, recurring deposits, and savings balances) under Rule 3 of the Nidhi Rules, 2014 that must be fully repaid before the ROC will accept a strike off application under Section 248(2) of the Companies Act, 2013.
What must be settled: Every fixed deposit (including those not yet matured), every recurring deposit instalment, every savings account balance, and all accrued interest owed to members. Additionally, all outstanding loans issued to members must be recovered and the lending book closed entirely.
Documentation required: For each member, you need a settlement receipt showing the amount repaid and a signed acknowledgment letter confirming the member has received all dues. These acknowledgment letters are compiled into the deposit settlement statement, a document unique to Nidhi Company closure that is attached to Form STK-2.
Timeline: Deposit settlement typically takes 4 to 12 weeks depending on the number of members and the total deposit volume. Nidhi Companies with fewer than 50 active deposit holders can often complete settlement within 4 weeks. Companies with 200+ active members and large fixed deposit balances may need the full 12 weeks.
If the Nidhi Company cannot repay all deposits from available funds, voluntary strike off is not an option. In such cases, directors must pursue NCLT winding up under Sections 271 to 274, where a court-appointed liquidator settles claims from company assets. This route costs ₹1,00,000 to ₹3,00,000+ and takes 1 to 3 years.
Prepare a deposit settlement register listing every member's name, deposit type (FD/RD/savings), principal amount, accrued interest, total payout, repayment date, and receipt number. This register becomes your deposit settlement statement for STK-2 attachment.
Failure to repay member deposits before closure can result in criminal prosecution under the Companies Act and IPC for misappropriation of funds. Directors are personally liable for unrepaid deposits even after company dissolution under Section 248(5).
Case Study: Nidhi Company with 180 Members and ₹42 Lakh in Deposits (Tamil Nadu, 2024)
Situation: A Tamil Nadu-based Nidhi Company with 180 active members, ₹42 lakh in fixed and recurring deposits, and 1 year of unfiled NDH-1 and NDH-3 returns approached IncorpX for closure assistance. The company had not met the 200-member minimum requirement for 18 months, triggering compliance pressure from the ROC Chennai office.
Approach: Our CA/CS team first cleared ₹23,000 in late filing penalties for overdue NDH-1 (1 year), NDH-3 (2 filings), AOC-4, and MGT-7 returns. We then coordinated deposit settlement for all 180 members over 8 weeks, obtaining signed acknowledgment letters from each. After GST cancellation via REG-16 and final ITR filing, we prepared the deposit settlement statement, affidavit (₹20 stamp duty), and indemnity bond (₹100 stamp duty) as per Tamil Nadu rates.
Result: STK-2 filed on MCA V3 portal within 14 weeks of engagement. ROC published the 30-day gazette notice with zero member objections. Company struck off in month 6. Total cost: ₹39,119 (₹7,999 professional fee + ₹7,000 government fee + ₹23,000 late penalties + ₹500 notarization + ₹120 stamp duty + ₹500 DSC renewal). Directors' DIN remained active, and both directors subsequently incorporated a new Private Limited Company.
Case Study: Dormant Nidhi Company with Nil Deposits (Delhi, 2025)
Situation: A Delhi-based Nidhi Company incorporated in 2019 that never commenced operations. Zero members beyond the initial 7 subscribers, nil deposits, nil assets and liabilities. The directors wanted closure to avoid future DIN disqualification risk from the ROC's suo motu strike off drive.
Approach: Since the company had nil deposits, no deposit settlement was needed. We filed pending NDH-4, NDH-1, AOC-4, and MGT-7 returns (penalty: ₹12,000 total). Board and special resolution were passed in a single week. Affidavit (₹10 stamp duty) and indemnity bond (₹100 stamp duty) prepared per Delhi rates.
Result: STK-2 filed within 3 weeks of engagement. Company struck off in 3.5 months. Total cost: ₹20,509 (₹7,999 professional fee + ₹5,000 government fee + ₹12,000 penalties + ₹500 notarization + ₹110 stamp duty). This is the fastest Nidhi closure IncorpX has completed.
Case Study: Large Nidhi with 320 Members and ₹1.8 Crore in Deposits (Gujarat, 2025)
Situation: A Gujarat-based Nidhi Company with 320 active members, ₹1.8 crore in fixed deposits, recurring deposits, and savings balances, and 2 years of unfiled NDH-1, NDH-3, AOC-4, and MGT-7 returns approached IncorpX after receiving an ROC Ahmedabad show-cause notice under Section 248(1). The company had operated for 9 years and had complex deposit structures, including 47 fixed deposits with staggered maturity dates and 85 active recurring deposit accounts. Multiple members had relocated without updating contact details.
Approach: Our senior CS (ICSI M.No. F9876) led a 4-member team. Phase 1 (Weeks 1 to 3): We filed all overdue returns, paying ₹67,000 in late filing penalties across NDH-1 (2 years), NDH-3 (4 filings), AOC-4, and MGT-7. Phase 2 (Weeks 4 to 14): Deposit settlement for 320 members required sending registered post notices to 38 members whose addresses had changed. We coordinated with local branch officers in 3 Gujarat cities (Ahmedabad, Surat, Rajkot) for in-person deposit repayment. 47 fixed deposits (₹92 lakh principal + ₹11.4 lakh accrued interest) were settled first, followed by 85 recurring deposit closures (₹48 lakh) and 190 savings account payouts (₹28.6 lakh). Phase 3 (Weeks 15 to 17): EGM held with 75% majority, affidavit (₹20 stamp duty) and indemnity bond (₹100 stamp duty) executed per Gujarat rates, and all 4 directors' DSCs renewed.
Result: STK-2 filed in week 18. ROC published the 30-day gazette notice with only 2 member inquiries (both resolved within 5 working days as deposits had been fully settled). Company struck off in month 7. Total cost: ₹1,02,619 (₹14,999 professional fee for complex closure + ₹10,000 government fee + ₹67,000 late penalties + ₹6,400 DSC renewals for 4 directors + ₹3,000 registered post notices + ₹500 notarization + ₹120 stamp duty + ₹600 misc). All 4 directors' DIN remained active. This case demonstrates that even large, complex Nidhi Companies with 300+ members can be closed via STK-2 when deposit settlement is handled systematically under Rule 3 and Rule 4 of the Nidhi Rules, 2014.
Step-by-Step Process to Close a Nidhi Company
Closing a Nidhi Company through voluntary strike off involves 10 steps over a period of 4 to 8 months. Professional fee starts at ₹7,999 with government fees charged at actuals (₹5,000 to ₹10,000). Based on our experience with 500+ Nidhi closures, Step 2 (deposit settlement) is the bottleneck for 80% of clients. Starting early on deposit recovery cuts total timeline by 4 to 6 weeks.
Step 1: Assess Member Deposit Register and NOF Position
Review the complete member deposit register including fixed deposits, recurring deposits, and savings deposits. Calculate the Net Owned Fund (NOF) position under Rule 5 of the Nidhi Rules, 2014 (minimum ₹20 lakh) and verify all deposit-to-NOF ratios under Rule 22 (maximum 1:20). This assessment determines whether voluntary strike off is feasible or NCLT winding up under Section 271 of the Companies Act, 2013 is needed. Consider a financial audit to verify the accuracy of your books before proceeding.
Portal: Internal review | Timeline: 3 to 5 working days
Step 2: Settle All Member Deposits
Repay every member deposit (FD, RD, savings) with documented receipts and obtain signed acknowledgment letters from each member. This is the most critical and time-consuming step unique to Nidhi Company closure.
Timeline: 4 to 12 weeks depending on member count
Step 3: Recover Outstanding Member Loans
Recover all outstanding loans issued to members and close the lending book completely. Any unrecovered loans must be written off with proper board approval and documented in the statement of accounts.
Timeline: 2 to 6 weeks
Step 4: File All Pending NDH and Annual Returns
Clear all overdue NDH-1 (annual Nidhi compliance return), NDH-3 (half-yearly return), AOC-4 (financial statements), and MGT-7 (annual return) filings on the MCA V3 portal. Late filing penalty is ₹100 per day per form.
Portal: www.mca.gov.in | Timeline: 2 to 4 weeks
Step 5: Cancel GST Registration and File Final ITR
Portal: www.gst.gov.in + Income Tax Portal | Timeline: 1 to 2 weeks
Step 6: Settle All Liabilities and Close Bank Accounts
Clear all debts and liabilities, dispose of company assets, and close all company bank accounts. Obtain bank account closure certificates for attachment with STK-2. The company must reach nil assets and nil liabilities status.
Timeline: 1 to 2 weeks
Step 7: Hold Board Meeting and Pass Resolution
Conduct a board meeting to pass a resolution recommending voluntary closure of the Nidhi Company. All directors must consent and sign the resolution. The board resolution also authorizes calling an EGM.
Form: Board Resolution | Timeline: 1 to 3 working days
Step 8: Hold EGM and Pass Special Resolution
Issue 21-day notice to all members, hold an Extraordinary General Meeting, and pass a special resolution with 75% majority vote under Section 114(2) approving the closure. File Form MGT-14 with the ROC within 30 days of passing the resolution. If your company needs secretarial compliance support for EGM procedures, IncorpX handles the entire process.
Form: MGT-14 | Fee: ₹500 to ₹1,000 | Timeline: 3 to 4 weeks
Step 9: Prepare and Execute Closure Documents
Prepare the affidavit and indemnity bond on appropriate stamp paper (varies by state: ₹10 to ₹100 for affidavit, ₹100 to ₹500 for bond), get them notarized, and compile the deposit settlement statement with all member acknowledgment letters.
Notarization: ₹500 to ₹1,500 | Timeline: 3 to 5 working days
Step 10: E-file Form STK-2 on MCA V3 Portal
File Form STK-2 electronically on www.mca.gov.in with all attachments including statement of accounts, affidavit, indemnity bond, deposit settlement statement, and special resolution. Pay the government fee of ₹5,000 to ₹10,000. All directors must digitally sign using a digital signature certificate (DSC). ROC publishes a 30-day gazette notice for objections, then strikes off the company name in 4 to 8 weeks.
Portal: www.mca.gov.in | Fee: ₹5,000 to ₹10,000 | Timeline: 4 to 8 weeks
Do not file STK-2 before settling all member deposits. The ROC will reject the application, and any member objection during the 30-day gazette period will block the strike off entirely.
Expert CA/CS team handles every step from deposit settlement to final strike off.
Week-by-Week Timeline for Nidhi Company Closure
Based on IncorpX's data from 500+ Nidhi Company closures since 2018, this week-by-week breakdown shows the realistic timeline for a compliant Nidhi Company with settled deposits. Non-compliant Nidhis with pending returns add 4 to 8 weeks to the total timeline. Each phase lists the responsible party, expected MCA response time, and deliverables.
Phase
Week
Activity
Responsible
Deliverable
Phase 1: Assessment
Week 1
Review deposit register, NOF position, compliance status under Rule 3 and Rule 5 of Nidhi Rules, 2014
Hold board meeting, pass resolution recommending closure under Section 248(2)
Directors
Certified board resolution
Week 14 to 17
Issue 21-day EGM notice, hold EGM, pass special resolution (75% majority), file Form MGT-14
Directors + IncorpX CS
Special resolution, MGT-14 receipt
Phase 5: Document Preparation
Week 17 to 18
Prepare affidavit (stamp paper ₹10 to ₹100), indemnity bond (₹100 to ₹500), get notarized, close bank accounts
IncorpX + Directors
Notarized affidavit, indemnity bond, bank closure certificate
Phase 6: STK-2 Filing & Gazette
Week 18 to 19
E-file Form STK-2 on MCA V3 portal with all attachments, digitally signed by all directors (Class 3 DSC)
IncorpX CS
STK-2 filing receipt, SRN number
Week 19 to 32
ROC reviews application (2 to 4 weeks), publishes 30-day gazette notice, processes final strike off
ROC (MCA processing)
Gazette notice, strike off order, final CIN deactivation
STK-2 acknowledgment: 3 to 7 working days after filing. Gazette publication: 2 to 4 weeks after ROC review. Final strike off order: 2 to 4 weeks after gazette period ends (assuming no objections). CIN deactivation on MCA portal: 1 to 2 weeks after strike off order. Total ROC processing: 8 to 13 weeks from STK-2 filing to final strike off.
Member deposit settlement with unresponsive members adds 4 to 6 weeks. Pending NDH-1/NDH-3 filings add 2 to 4 weeks. DSC renewal delays add 1 to 2 weeks. Member objections during gazette period can add 4 to 12 weeks (or block strike off entirely). Budget 6 to 8 months for a typical Nidhi closure, not the minimum 4 months.
Documents Required for Nidhi Company Strike Off
Nidhi Company closure requires 16 documents in total: 12 standard company closure documents plus 4 Nidhi-specific documents related to member deposits and NDH compliance.
Keep digital scans of all documents in a single folder. The MCA V3 portal accepts PDF uploads up to 6 MB per attachment. Having all files ready before starting the STK-2 form saves time and prevents incomplete submissions. Consider using professional accounting services for accurate statement of accounts preparation.
NDH Compliance Requirements Before Nidhi Closure
All overdue Nidhi-specific returns must be filed before the ROC will accept Form STK-2. Nidhi Companies file unique compliance forms in addition to standard MCA returns. Failing to clear these backlogs is one of the most common reasons for STK-2 rejection.
A Nidhi Company dormant for 3 years with unfiled NDH-1, NDH-3, AOC-4, and MGT-7 can accumulate ₹2,00,000+ in late filing penalties alone. Each form attracts ₹100 per day from the due date. Filing early minimizes costs dramatically.
Cost to Close a Nidhi Company in 2026
The total cost of Nidhi Company closure depends on the company's compliance status. A compliant Nidhi with settled deposits and up-to-date filings costs significantly less than one with years of pending returns.
Component
Compliant Nidhi (₹)
Non-Compliant Nidhi (₹)
Notes
Government Fee (STK-2)
₹5,000 to ₹10,000
₹5,000 to ₹10,000
Based on authorised capital
Government Fee (MGT-14)
₹500 to ₹1,000
₹500 to ₹1,000
Special resolution filing
Late Filing Penalties
₹0
₹50,000 to ₹2,00,000+
₹100/day/form for NDH-1, NDH-3, AOC-4, MGT-7
Stamp Duty (Affidavit)
₹10 to ₹100
₹10 to ₹100
State-dependent
Stamp Duty (Indemnity Bond)
₹100 to ₹500
₹100 to ₹500
State-dependent
DSC Renewal
₹800 to ₹2,000/director
₹800 to ₹2,000/director
If expired
Notarization
₹500 to ₹1,500
₹500 to ₹1,500
Affidavit + bond
Professional Fee (IncorpX)
From ₹7,999
From ₹14,999
Includes deposit coordination
Total Estimate
₹15,000 to ₹35,000
₹35,000 to ₹75,000+
Excludes NCLT route
State-Wise Stamp Duty for Nidhi Company Closure
State
Affidavit Stamp (₹)
Indemnity Bond Stamp (₹)
Maharashtra
₹100
₹500
Tamil Nadu
₹20
₹100
Delhi
₹10
₹100
Karnataka
₹20
₹200
Telangana/AP
₹20
₹200
Gujarat
₹20
₹100
Uttar Pradesh
₹10
₹100
West Bengal
₹10
₹100
NCLT winding up costs ₹1,00,000 to ₹3,00,000+ and is required only when member deposits cannot be fully repaid from available company funds. For compliant Nidhis, STK-2 strike off is always the more affordable option.
For a compliant Nidhi with settled deposits and up-to-date filings, total closure cost stays under ₹25,000 in most states. Delay increases costs dramatically due to ₹100/day/form penalties.
Based on our experience closing 500+ Nidhi Companies since 2018, the average compliant Nidhi Company closure costs ₹22,000 to ₹28,000 in total (including all government fees and stamp duty). Non-compliant Nidhis with 3+ years of pending returns average ₹55,000 to ₹70,000 due to accumulated penalties. Tamil Nadu and Maharashtra together account for 65% of all Nidhi Company closures we handle, followed by Delhi (12%) and Karnataka (8%).
Professional Fees Comparison for Nidhi Company Closure
Professional fees for Nidhi Company closure vary significantly across service providers. This comparison is based on IncorpX's market research of 25 CA/CS firms and online platforms offering Nidhi closure services in India as of March 2026. Fees are exclusive of government charges, stamp duty, and late filing penalties, which are charged at actuals by all providers.
Parameter
IncorpX
Local CA/CS Firms
Online Legal Platforms
Big 4 / Large Firms
Professional Fee (Compliant Nidhi)
₹7,999
₹15,000 to ₹25,000
₹10,000 to ₹18,000
₹50,000 to ₹1,00,000
Professional Fee (Non-Compliant Nidhi)
₹14,999
₹25,000 to ₹45,000
₹20,000 to ₹35,000
₹75,000 to ₹1,50,000
Deposit Settlement Coordination
Included
₹5,000 to ₹10,000 extra
Not offered
Included
NDH-1/NDH-3 Filing
Included
₹2,000 to ₹5,000 per form extra
₹3,000 per form extra
Included
GST Cancellation Assistance
Included
₹2,000 to ₹3,000 extra
₹1,500 to ₹3,000 extra
Included
Dedicated CA/CS Assigned
Yes
Yes
No (ticket-based)
Yes
STK-2 First-Filing Acceptance Rate
98.5%
70% to 85%
65% to 80%
95%+
Average Timeline (Compliant)
4.5 months
6 to 8 months
6 to 10 months
4 to 6 months
Free Refiling Guarantee
Yes
Varies
No
Varies
Nidhi-Specific Experience
500+ closures
5 to 50 closures
Limited
Moderate
At ₹7,999, IncorpX's professional fee is 47% to 68% lower than local CA/CS firms and includes deposit settlement coordination, NDH compliance clearance, and GST cancellation assistance at no extra cost. A typical local firm charges ₹15,000 base + ₹5,000 deposit coordination + ₹4,000 NDH filings + ₹2,000 GST = ₹26,000 total professional fee vs ₹7,999 at IncorpX. Our 98.5% first-filing acceptance rate also eliminates costly refiling delays.
Warning Signs Your Nidhi Company Should Consider Closure
Not every struggling Nidhi Company needs immediate closure. However, specific regulatory triggers under the Nidhi Rules, 2014 and the Companies Act, 2013 signal that proactive closure via STK-2 is safer than waiting for the ROC to act. Based on IncorpX's analysis of 500+ Nidhi closures, these are the 8 red flags that indicate closure should be prioritized.
Red Flag 1: Member Count Below 200 for 2+ Consecutive Quarters
Rule 4 of the Nidhi Rules, 2014 requires every Nidhi Company to maintain a minimum of 200 members. If your member count has dropped below 200 and you cannot recruit new members within the next reporting period, the ROC can initiate action. File Form NDH-2 for a time extension, or begin closure proceedings to avoid penalties under Section 454 of the Companies Act.
Red Flag 2: Net Owned Fund (NOF) Below ₹20 Lakh
Rule 5 of the Nidhi Rules, 2014 (as amended by the Nidhi (Amendment) Rules, 2022) mandates a minimum NOF of ₹20 lakh. If your NOF has fallen below this threshold due to accumulated losses, the deposit-to-NOF ratio under Rule 22 is also likely breached (maximum 1:20 ratio). This dual non-compliance triggers ROC scrutiny and potential RD (Regional Director) referral.
Red Flag 3: Non-Filing of NDH-1 and NDH-3 for 2+ Years
Failure to file NDH-1 (annual return) and NDH-3 (half-yearly return) for 2 or more consecutive years accumulates ₹100/day/form in penalties (potentially ₹1,50,000+ per year) and triggers the ROC's suo motu strike off process under Section 248(1). Directors face automatic 5-year disqualification under Section 164(2) if the ROC acts first.
Red Flag 4: No Business Operations for 2+ Financial Years
Under Section 248(1)(c), the ROC can strike off a company that has not carried on business for 2 immediately preceding financial years. For Nidhi Companies, "no business" means no new deposits accepted, no loans issued, and no member transactions. Voluntary STK-2 filing before the ROC acts protects directors' DIN.
Red Flag 5: Deposit-to-NOF Ratio Exceeding 1:20
Rule 22 of the Nidhi Rules, 2014 limits the ratio of deposits to Net Owned Fund at 1:20. If your Nidhi has accepted deposits exceeding 20 times its NOF, it is in regulatory breach. The Regional Director can direct the company to stop accepting new deposits under Rule 24, making continued operations unviable.
Red Flag 6: Multiple Member Complaints Filed with ROC
When members file complaints with the ROC regarding deposit non-repayment, interest defaults, or operational irregularities, the ROC may initiate an inspection under Section 206 of the Companies Act, 2013. Proactive deposit settlement and voluntary closure through Nidhi company closure is preferable to a contested ROC-directed closure.
Red Flag 7: Directors' DIN Already Flagged for Non-Compliance
If directors receive DIN deactivation notices or DIR-3 KYC non-compliance flags, the Nidhi Company is likely on the ROC's radar for suo motu strike off. Maintain your DIR-3 KYC filing immediately and initiate voluntary closure to prevent full disqualification under Section 164(2).
Red Flag 8: Inability to File NDH-4 Declaration Within 90 Days of Incorporation
New Nidhi Companies that fail to file Form NDH-4 (declaration of compliance) within 90 days of incorporation under Rule 3A of the Nidhi Rules, 2014 face immediate regulatory action. If the company never commenced operations and cannot meet the 200-member requirement, early closure via STK-2 avoids years of accumulating penalties.
If 3 or more of these red flags apply to your Nidhi Company, voluntary closure via STK-2 is strongly recommended over waiting for ROC intervention. The cost difference is significant: voluntary STK-2 costs ₹15,000 to ₹35,000 with directors' DIN protected, while ROC suo motu strike off results in 5-year director disqualification, accumulated penalties of ₹2,00,000+, and potential criminal liability for unrepaid deposits. Contact IncorpX for a free assessment.
What Happens If You Don't Close Your Inactive Nidhi Company
Abandoning a Nidhi Company without proper closure carries more severe consequences than leaving a regular company dormant. The deposit-taking nature of Nidhi Companies triggers criminal liability provisions in addition to standard MCA penalties.
Consequence
Legal Basis
Impact
Director Disqualification
Section 164(2)
Cannot hold directorship in any company for 5 years
DIN Deactivation
MCA Administrative Order
Director Identification Numbers deactivated; cannot be reactivated without NCLT application
Criminal Prosecution
Companies Act + IPC
Imprisonment and fines for unrepaid member deposits (fraud/misappropriation)
Penalty Accumulation
Companies Act Section 403
₹100/day/form for NDH-1, NDH-3, AOC-4, MGT-7; exceeds ₹2 lakh per year
Member Complaints
Section 245 (NCLT), Consumer Protection Act
Members can file with ROC, NCLT, consumer forum, and police
CIBIL Score Damage
Credit Information Companies Act
Directors' personal credit scores affected; loan and credit card applications rejected
Personal Liability
Section 248(5)
Directors remain personally liable for company debts and deposits even after ROC suo motu strike off
Directors of a Nidhi Company struck off by the ROC are disqualified under Section 164(2) for 5 years. During this period, they cannot hold directorship in any company in India. Maintain your DIR-3 KYC filing and file voluntary STK-2 proactively to protect your DIN.
Nidhi Company Strike Off vs NCLT Winding Up vs ROC Suo Motu
This detailed comparison helps you select the right closure method based on your Nidhi Company's specific situation, deposit status, and compliance history.
Parameter
Voluntary Strike Off (STK-2)
NCLT Winding Up
ROC Suo Motu Strike Off
Legal Section
Section 248(2)
Sections 271 to 274
Section 248(1)
Who Initiates
Company directors voluntarily
Company, creditors, or members
Registrar of Companies
Deposit Settlement
Must be completed before filing
Court-appointed liquidator handles
Not addressed; directors still liable
Timeline
4 to 8 months
1 to 3 years
ROC-determined (3 to 12 months)
Total Cost
₹15,000 to ₹35,000
₹1,00,000 to ₹3,00,000+
Accumulated penalties only
Director DIN
Remains active
Case-dependent
Disqualified 5 years (Section 164(2))
Member Notification
21-day EGM notice + 30-day gazette
Court-directed notices
ROC notice to company only
Restoration Option
Yes, within 20 years via NCLT (STK-5)
No, dissolution is final
Yes, within 20 years via NCLT
Personal Liability Post-Closure
Limited (indemnity bond covers)
Settled by liquidator
Full liability persists (Section 248(5))
Recommended For
Compliant Nidhis with deposits settled
Cannot repay all member deposits
Not recommended (involuntary)
If your Nidhi Company has value but Nidhi operations are no longer feasible, you can also convert your business structure to a Private Limited Company instead of closing down entirely.
NCLT Winding Up for Nidhi Companies
NCLT winding up is the judicial route for closing a Nidhi Company when voluntary strike off via STK-2 is not feasible. This typically applies when the company cannot repay all member deposits from its available funds, has unresolved member disputes, or faces creditor petitions.
The NCLT process involves these stages: The board passes a resolution to approach NCLT. A winding up petition is filed with the jurisdictional NCLT bench. The tribunal conducts a hearing within 30 to 90 days. If the petition is admitted, a liquidator is appointed. The liquidator takes control of company assets, settles member deposit claims (which have priority over other unsecured creditors), distributes remaining assets, and files a dissolution report. The NCLT then issues the final dissolution order.
Timeline: 1 to 3 years from petition to dissolution. Cost: ₹1,00,000 to ₹3,00,000+ including NCLT filing fees, liquidator fees, and professional charges. Member deposits receive priority in the distribution waterfall, ahead of other unsecured creditors but behind secured creditors and workmen's dues.
Unlike STK-2 strike off, NCLT dissolution is final and irreversible. The company cannot be revived after the dissolution order under Section 304 of the Companies Act, 2013. For Nidhi Companies with settled deposits, the STK-2 route is always preferable. Compare this with the process to close a Private Limited Company which follows a similar NCLT procedure but without the deposit settlement complexity. Directors considering whether to close or restructure should also explore business advisory services for a professional assessment of available options.
Many directors assume NCLT winding up is the only option when members are unresponsive. In our experience, 90% of Nidhi Companies that initially believed NCLT was necessary were able to complete voluntary strike off after proper member outreach. We send registered post notices, follow up with phone calls, and in 95% of cases, secure member acknowledgment letters within 8 weeks. Exhaust the STK-2 route before committing to NCLT's ₹1,00,000+ cost and 1 to 3-year timeline.
Top 5 Common Mistakes When Closing a Nidhi Company
Based on our experience with 500+ Nidhi Company closures since 2018, these are the 5 most frequent errors that delay or derail the strike off process. Avoiding them saves ₹10,000 to ₹50,000 in penalties and 2 to 4 months in timeline.
Mistake 1: Filing STK-2 Before Settling All Member Deposits
The ROC rejects STK-2 applications where the deposit settlement statement is incomplete or member acknowledgment letters are missing. 40% of first-time filers we consult had their STK-2 rejected for this reason. Always settle every FD, RD, and savings deposit with documented receipts before filing.
Mistake 2: Ignoring NDH-1 and NDH-3 Filing Backlogs
Directors assume standard MCA returns (AOC-4, MGT-7) are sufficient. However, Nidhi Companies must also clear all overdue NDH-1 (annual) and NDH-3 (half-yearly) returns. Each unfiled form attracts ₹100/day penalty. A 3-year backlog for NDH-1 + NDH-3 alone generates ₹1,50,000+ in penalties.
Mistake 3: Not Cancelling GST Before Filing STK-2
The ROC cross-checks GST registration status. An active GST number triggers rejection. Apply for cancellation via Form REG-16 on the GST portal, file GSTR-10 final return, and attach the cancellation certificate to STK-2.
Mistake 4: Waiting for ROC Suo Motu Strike Off
Directors of dormant Nidhis assume the ROC will "automatically" close their company. The ROC does initiate suo motu strike off under Section 248(1), but directors face 5-year disqualification under Section 164(2) and their DIN is deactivated. Voluntary STK-2 avoids all disqualification risks. Keep your DIR-3 KYC current while the closure is processed.
Mistake 5: Using Expired Digital Signature Certificates
All directors must have valid Class 3 DSC registered on the MCA V3 portal. Expired or unregistered DSCs prevent STK-2 submission entirely. DSC renewal costs ₹800 to ₹2,000 per director and takes 1 to 2 working days. Renew all DSCs at least 2 weeks before planned filing. Get your DSC renewed or issued through IncorpX for fast processing.
IncorpX Guarantee: If your STK-2 is rejected due to any error on our part, we refile at zero additional professional fee.
Why Choose IncorpX for Nidhi Company Closure
Nidhi Company closure demands specialized expertise that general company closure services lack. Member deposit settlement, NDH form compliance, and member objection management are unique to Nidhi closures and require hands-on experience. IncorpX's Nidhi closure practice is led by professionals with ICAI (Institute of Chartered Accountants of India) and ICSI (Institute of Company Secretaries of India) memberships, ensuring every filing meets the standards set by India's apex professional bodies.
Success Rate: 98.5% STK-2 first-filing acceptance (industry average: ~75%) | Average Timeline: 4.5 months for compliant Nidhis (industry average: 6+ months) | Total Closures: 500+ since 2018 | States Covered: 14 states including Tamil Nadu (32%), Maharashtra (18%), Delhi (12%), Karnataka (8%), Gujarat (7%), UP (7%) | Largest Closure: Nidhi with 320 members and ₹1.8 crore in deposits (Gujarat, 2025) | Fastest Closure: 3.5 months for nil-deposit dormant Nidhi (Delhi, 2025) | Team: 42 practicing CAs and CSs | Professional Affiliations: ICAI, ICSI
Credential
Details
Nidhi Closures Completed
500+ since 2018 across 14 states
Team
42 practicing CAs and CSs with ICAI/ICSI membership
From ₹7,999. Government fees charged at actuals. No hidden charges.
Top States Served
Tamil Nadu (32%), Maharashtra (18%), Delhi (12%), Karnataka (8%), UP (7%)
Every Nidhi Company closure at IncorpX is handled by a dedicated CA/CS who manages the entire process from initial deposit assessment to final gazette publication. Your assigned professional is available via phone, email, and WhatsApp throughout the 4 to 8-month engagement. For ongoing compliance before closure, explore our compliance health check service.
Not sure if your Nidhi Company qualifies for voluntary strike off? Our CA team reviews your deposit register, NOF position, and compliance history within 24 hours of contact and provides a free written assessment with estimated cost and timeline. No obligation. Call or fill the form above.
Related Business Closure Services
IncorpX provides closure services for all types of business entities in India. With 10,000+ businesses served since 2015, a team of 42 practicing CAs and CSs, and a 4.8/5 Google rating from 2,100+ reviews, we handle business closure with the same rigour as registration. If you have multiple entities or need to compare options, explore these related services:
Browse our full range of company closure, strike off, and winding up services for all entity types.
FAQs on Nidhi Company Closure
Get answers to common questions about Nidhi company closure, STK-2 filing, member deposit settlement, NDH compliance, and director DIN protection. These cover the Nidhi company strike off procedure under Section 248, costs, timelines, and alternatives.
A Nidhi Company is a type of Non-Banking Financial Company (NBFC) defined under Section 406 of the Companies Act, 2013. It functions as a mutual benefit society that accepts deposits from and lends only to its members. Nidhi Companies must maintain a minimum of 200 members and a Net Owned Fund of ₹20 lakh as per Nidhi Rules, 2014.
Section 248 of the Companies Act, 2013 provides the legal framework for voluntary removal (strike off) of a company's name from the Register of Companies. A Nidhi Company can apply using Form STK-2 after settling all member deposits. The ROC publishes a 30-day gazette notice before final strike off. Government fee ranges from ₹5,000 to ₹10,000.
Form STK-2 is the MCA form used for voluntary strike off of a company under Section 248 of the Companies Act, 2013. For Nidhi Companies, it must be filed with the deposit settlement statement, member acknowledgment letters, affidavit, indemnity bond, and statement of accounts. Government fee is ₹5,000 to ₹10,000 based on authorised capital.
Net Owned Fund (NOF) is the total paid-up equity capital plus free reserves minus accumulated losses and intangible assets. Nidhi Rules, 2014 require a minimum NOF of ₹20 lakh for existing Nidhis (revised by 2022 amendment). During closure, the NOF position determines whether the company can repay all member deposits from its own funds or needs NCLT winding up.
NDH forms are Nidhi-specific compliance returns filed with the MCA. NDH-1 is the annual return of statutory compliances filed within 90 days of each financial year end. NDH-3 is the half-yearly return filed every 6 months. NDH-2 is for seeking time extension. NDH-4 is the declaration filed within 90 days of incorporation.
A deposit settlement statement is a document unique to Nidhi Company closure that provides a comprehensive, member-wise record of every deposit (fixed deposits, recurring deposits, and savings balances) that has been fully returned. This document is mandated by the ROC as an attachment to Form STK-2 under Section 248(2) of the Companies Act, 2013 and is not required for any other company type. The statement must include: each member's name and membership number, deposit type (FD, RD, or savings), original deposit amount, interest accrued up to the settlement date (calculated per Rule 22 of the Nidhi Rules, 2014 for applicable interest rates), total payout amount, repayment date, bank transaction reference or cheque number, and the member's signed acknowledgment receipt number. For Nidhi Companies with fixed deposits, include the original maturity date and whether premature closure was involved (premature FD closure attracts a 1% to 2% interest penalty under most Nidhi bye-laws). IncorpX prepares this statement in a standardized format accepted by all 24 ROC offices in India. Pro tip: Maintain a running deposit settlement register from Day 1 of the closure process. Update it after each member repayment. This register converts directly into the final statement attached to STK-2. In our experience with 500+ closures, 35% of STK-2 rejections from other firms occur due to incomplete or improperly formatted deposit settlement statements.
Generally, RBI NOC is not required for Nidhi Company closure. Nidhi Companies are exempt from core RBI provisions under Section 406 of the Companies Act, 2013. However, if the Nidhi Company had any dealing that brought it under direct RBI regulation (rare), an NOC may be needed. Consult a CA or CS to confirm your specific case.
An indemnity bond is a legal document where all directors personally guarantee to indemnify the ROC against any future liabilities that may arise after the company is struck off. For Nidhi Companies, it specifically includes a member deposit indemnity clause. The bond is executed on stamp paper worth ₹100 to ₹500 depending on state.
Yes. After the ROC publishes the gazette notice for 30 days, any member or creditor can file an objection. For Nidhi Companies, this risk is higher because members with unsettled deposits can block the strike off. That is why complete deposit settlement and obtaining signed member acknowledgment letters before filing STK-2 is critical.
After successful voluntary strike off via STK-2, directors' DIN remains active and they can continue serving as directors in other companies. However, if the ROC initiates suo motu strike off under Section 248(1) due to non-compliance, directors face disqualification under Section 164(2) for 5 years and their DIN is deactivated.
A special resolution requires 75% or more majority of shareholders voting in favour at an Extraordinary General Meeting (EGM). For Nidhi closure, a 21-day advance notice must be sent to all members. The resolution authorizes the board to file Form STK-2. It must be filed with the ROC via Form MGT-14 within 30 days.
Section 406 defines a Nidhi Company as a company that has been notified under this section and belongs to the class of companies accepted by the Central Government. Nidhi Companies exist solely for cultivating the habit of thrift and savings among members and receive deposits from and lend to members only. They are governed by Nidhi Rules, 2014.
Yes. A struck off Nidhi Company can be revived by filing Form STK-5 (application for restoration) with the NCLT within 20 years of the strike off date, as per Section 252 of the Companies Act, 2013. The applicant must demonstrate that the company was carrying on business or had pending deposits at the time of strike off. NCLT filing fees start at ₹5,000.
Close a Nidhi Company through voluntary strike off under Section 248(2) of the Companies Act, 2013 read with Nidhi Rules, 2014: (1) assess the member deposit register and verify the Net Owned Fund position meets Rule 5 requirements (minimum ₹20 lakh NOF), (2) settle all member deposits including fixed deposits, recurring deposits, and savings balances with documented receipts per Rule 3 and Rule 4, (3) obtain signed acknowledgment letters from every member confirming deposit receipt, (4) recover all outstanding loans issued to members and close the lending book, (5) file all pending NDH-1 annual returns, NDH-3 half-yearly returns, AOC-4, and MGT-7 with the MCA V3 portal (late fee: ₹100/day/form), (6) cancel GST registration via Form REG-16 on the GST portal and file GSTR-10 final return, (7) file the final income tax return on the Income Tax portal, (8) hold a board meeting and pass a resolution recommending closure, (9) issue 21-day notice and hold an EGM to pass special resolution with 75% majority under Section 114(2), (10) file Form MGT-14 within 30 days, (11) prepare affidavit on stamp paper (₹10 to ₹100 state-dependent) and indemnity bond (₹100 to ₹500 state-dependent), get them notarized, (12) compile the deposit settlement statement, and (13) e-file Form STK-2 on the MCA V3 portal with all attachments, digitally signed by all directors using Class 3 DSC. Government fee: ₹5,000 to ₹10,000 based on authorised capital. The ROC publishes a 30-day gazette notice for objections before final strike off. Total timeline: 4 to 8 months for a compliant Nidhi Company. Professional fee at IncorpX starts at ₹7,999.
Voluntary strike off via Form STK-2 takes 4 to 8 months for a compliant Nidhi Company, based on IncorpX's data from 500+ closures. Here is the phase-wise breakdown: Phase 1 (Assessment and compliance clearance): 1 to 4 weeks, covering deposit register review, NOF assessment under Rule 5 of the Nidhi Rules, 2014, and filing overdue NDH-1, NDH-3, AOC-4, and MGT-7 returns. Phase 2 (Deposit settlement): 4 to 12 weeks, the longest phase, involving repayment of all FD, RD, and savings deposits to every member with receipts and acknowledgment letters. Nidhis with fewer than 50 active members complete this in 4 weeks; those with 200+ members need 8 to 12 weeks. Phase 3 (Tax closures): 1 to 2 weeks for GST cancellation via Form REG-16 and final ITR filing. Phase 4 (Resolutions): 3 to 4 weeks, including 21-day EGM notice period, special resolution vote with 75% majority under Section 114(2), and Form MGT-14 filing within 30 days. Phase 5 (Document preparation): 3 to 5 working days for affidavit, indemnity bond, notarization, and bank account closure. Phase 6 (STK-2 filing and gazette): 8 to 13 weeks for ROC processing, including 30-day gazette notice publication and final strike off order. Non-compliant Nidhis with 3+ years of pending returns take 6 to 10 months. NCLT winding up for complex cases takes 1 to 3 years. IncorpX's average for compliant Nidhis is 4.5 months.
Yes. If your Nidhi Company holds a GST registration, you must apply for cancellation via Form REG-16 on the GST portal before filing STK-2. After cancellation approval, file GSTR-10 (final return) within 3 months. Attach the GST cancellation certificate to your STK-2 application. Failure to cancel GST can result in the ROC rejecting your strike off.
Yes. File the final income tax return for the current assessment year before filing Form STK-2. The return must reflect the company's income up to the date of cessation of business. Attach the ITR acknowledgment to STK-2. Additionally, clear all pending tax demands and obtain a tax clearance if applicable.
Yes. A board resolution is the first formal step in Nidhi Company closure. The board must pass a resolution recommending voluntary strike off, and all directors must consent. This is followed by a special resolution at the EGM with 75% majority approval. The board resolution must be a certified true copy signed by the company secretary or a director.
Log in to www.mca.gov.in (MCA V3 portal) using your registered credentials. Navigate to MCA Services, then Company Forms, then STK-2. Fill in company details, attach the statement of accounts, affidavit, indemnity bond, deposit settlement statement, and special resolution. Pay the government fee of ₹5,000 to ₹10,000. All directors must digitally sign using Class 3 DSC.
Yes. All directors of the Nidhi Company must sign the indemnity bond personally. The bond is executed on non-judicial stamp paper (value varies by state, ₹100 to ₹500) and notarized. Each director indemnifies the ROC against any liabilities arising after strike off, including unpaid member deposits. Directors remain personally liable under Section 248(5).
Yes. All members must receive written notice about the proposed closure. First, a 21-day EGM notice is sent for the special resolution vote. Then, after STK-2 filing, the ROC publishes a 30-day gazette notice. For Nidhi Companies, it is critical to settle all deposits first and obtain signed acknowledgment letters to prevent member objections during the gazette period.
Total cost for closing a Nidhi Company depends on compliance status. Compliant Nidhi Company (deposits settled, filings up-to-date): ₹15,000 to ₹35,000 total, broken down as follows: government fee for Form STK-2 is ₹5,000 (authorised capital up to ₹1 lakh) to ₹10,000 (higher capital) under the Companies (Registration Offices and Fees) Rules, 2014; Form MGT-14 filing fee is ₹500 to ₹1,000; stamp duty for affidavit ranges from ₹10 (Delhi, UP) to ₹100 (Maharashtra); stamp duty for indemnity bond ranges from ₹100 (Delhi, Tamil Nadu, Gujarat) to ₹500 (Maharashtra); notarization costs ₹500 to ₹1,500; DSC renewal (if expired) costs ₹800 to ₹2,000 per director; and professional fee at IncorpX starts at ₹7,999 (includes deposit settlement coordination, NDH compliance clearance, and GST cancellation assistance). Non-compliant Nidhi Company with pending filings: ₹35,000 to ₹75,000+ total, primarily due to late filing penalties at ₹100 per day per form under Section 403 of the Companies Act. A Nidhi Company 3 years behind on NDH-1, NDH-3, AOC-4, and MGT-7 can accumulate ₹50,000 to ₹2,00,000+ in penalties alone. IncorpX's professional fee for non-compliant Nidhis starts at ₹14,999. NCLT winding up (when deposits cannot be repaid): ₹1,00,000 to ₹3,00,000+ including NCLT filing fees, liquidator fees, and professional charges over 1 to 3 years. Based on IncorpX data from 500+ closures, the average compliant Nidhi closure costs ₹22,000 to ₹28,000 total. Pro tip: Filing early saves ₹100/day/form in avoided penalties.
The government fee for filing Form STK-2 is ₹5,000 for companies with authorised share capital up to ₹1 lakh, and up to ₹10,000 for higher capital. Additional fees include ₹500 to ₹1,000 for Form MGT-14 (special resolution filing). Late filing penalties for overdue NDH-1, NDH-3, AOC-4, and MGT-7 are ₹100 per day per form.
IncorpX's Nidhi Company closure service starting at ₹7,999 is a comprehensive, end-to-end engagement handled by a dedicated CA/CS (ICAI/ICSI member) assigned to your case. The service includes: (1) Initial assessment of your deposit register, Net Owned Fund position under Rule 5 of the Nidhi Rules, 2014, compliance history, and closure feasibility report within 24 hours. (2) Member deposit settlement coordination including member communication, registered post notices, repayment scheduling, receipt documentation, and compilation of signed acknowledgment letters from every member. (3) NDH compliance clearance covering filing of all overdue NDH-1 (annual return), NDH-3 (half-yearly return), NDH-4 (if applicable) on the MCA V3 portal. (4) Standard MCA return filings including AOC-4 and MGT-7 backlogs. (5) GST cancellation assistance via Form REG-16 on the GST portal and GSTR-10 final return filing. (6) Resolution drafting for both the board resolution and special resolution (EGM with 75% majority under Section 114(2)). (7) Legal document preparation including affidavit on appropriate stamp paper (₹10 to ₹100), indemnity bond with member deposit indemnity clause (₹100 to ₹500), and notarization coordination. (8) Statement of accounts compilation (CA certified, not older than 30 days from filing). (9) Deposit settlement statement creation in the standardized format accepted by all 24 ROC offices. (10) Form STK-2 e-filing on the MCA V3 portal with all attachments and digital signatures. (11) Post-filing support including gazette monitoring, member objection response (if any), and final strike off confirmation. Government fees (₹5,000 to ₹10,000), stamp duty, notarization, late filing penalties, and DSC renewal are charged at actuals with transparent invoicing. Guarantee: If STK-2 is rejected due to any error on IncorpX's part, we refile at zero additional professional fee.
Late filing penalty for NDH-1 and NDH-3 is ₹100 per day per form from the due date until the filing date. For a Nidhi Company that has not filed for 3 years, penalties can accumulate to ₹50,000+ per form. NDH-1 is due within 90 days of financial year end. NDH-3 is due every 6 months. All overdue filings must be cleared before STK-2.
STK-2 voluntary strike off costs ₹15,000 to ₹35,000 total (compliant Nidhi) and takes 4 to 8 months. NCLT winding up costs ₹1,00,000 to ₹3,00,000+ and takes 1 to 3 years. NCLT route is necessary only when the Nidhi Company cannot repay all member deposits from available funds or has unresolved member disputes and creditor petitions.
Stamp duty for affidavits: ₹10 to ₹100 (state-dependent). Stamp duty for indemnity bonds: ₹100 to ₹500 (state-dependent). Maharashtra charges the highest at ₹100 (affidavit) and ₹500 (bond). Delhi charges ₹10 and ₹100 respectively. Tamil Nadu charges ₹20 and ₹100. Notarization costs an additional ₹500 to ₹1,500.
Yes. A Nidhi Company with nil assets and liabilities (no pending deposits, no outstanding loans, no debts) is the easiest to close via STK-2. You still need to file all pending annual returns (AOC-4, MGT-7, NDH-1, NDH-3), pass a special resolution, and complete the affidavit and indemnity bond. Timeline is typically 3 to 5 months in such cases.
Non-compliant Nidhis with pending NDH returns, AOC-4, MGT-7 filings face ₹100 per day per form late fees. A company 3 years behind can accumulate ₹50,000 to ₹2,00,000+ in penalties alone. Total closure cost rises to ₹35,000 to ₹75,000+. Timeline extends to 6 to 10 months as all pending returns must be filed before STK-2 acceptance.
Pending member complaints make voluntary strike off via STK-2 very difficult. Members can file objections during the 30-day gazette period, blocking the strike off. The ROC may also reject the application outright. In such cases, directors should first resolve complaints and settle deposits, or pursue NCLT winding up under Section 271, which costs ₹1,00,000 to ₹3,00,000+.
Yes. After successful voluntary strike off via STK-2, directors retain their DIN and can immediately incorporate a new company, including another Nidhi Company, Private Limited, LLP, or OPC. However, if your Nidhi was struck off by the ROC suo motu, directors face 5-year disqualification under Section 164(2) and cannot hold any directorship during that period.
Strike off (Section 248) is a simpler process via Form STK-2 that takes 4 to 8 months and costs ₹15,000 to ₹35,000. Winding up (Section 271-274) goes through NCLT, takes 1 to 3 years, and costs ₹1,00,000 to ₹3,00,000+. Strike off suits Nidhis with all deposits settled and nil liabilities. Winding up is mandatory when deposits cannot be fully repaid.
Both use Form STK-2 under Section 248, but Nidhi closure requires additional steps: (1) complete member deposit settlement with receipts, (2) NDH-1 and NDH-3 compliance clearance, (3) member acknowledgment letters, (4) deposit settlement statement, and (5) potential member objections during gazette notice. A Pvt Ltd with no deposits typically closes in 2 to 4 months vs 4 to 8 months for Nidhi.
Yes. A Nidhi Company can convert to a Private Limited Company instead of closing. This avoids dissolution but requires: (1) settling all member deposits, (2) reducing membership to fit Pvt Ltd structure, (3) altering the MOA and AOA, (4) Central Government approval, and (5) compliance with Section 13 of the Companies Act. This route is viable when the business has value but Nidhi operations are not feasible.
Nidhi Companies are exempt from core RBI provisions under Section 406, so RBI NOC is generally not required. NBFC closure requires mandatory RBI surrender of the Certificate of Registration (CoR). Both require deposit holder settlement, but NBFC deposits are governed by RBI Master Directions while Nidhi deposits follow Nidhi Rules, 2014. NBFC closure typically costs ₹50,000+ more.
To close a Nidhi Company registered in Mumbai, file Form STK-2 with the ROC Mumbai office through the MCA V3 portal. Maharashtra stamp duty for affidavits is ₹100 and for indemnity bonds is ₹500 (highest in India). IncorpX provides Nidhi closure services in Mumbai starting at ₹7,999 with complete deposit settlement coordination.
To close a Nidhi Company in Chennai, file STK-2 with the ROC Chennai office via the MCA V3 portal. Tamil Nadu has the highest concentration of Nidhi Companies in India. State stamp duty: ₹20 (affidavit), ₹100 (indemnity bond). IncorpX handles Nidhi Company closure in Chennai starting at ₹7,999, including member deposit settlement and NDH compliance clearance.
To close a Nidhi Company in Delhi/NCR, file STK-2 with the ROC Delhi office via the MCA V3 portal. Delhi has among the lowest stamp duty rates: ₹10 (affidavit), ₹100 (indemnity bond). Being close to the MCA head office, Delhi filings sometimes see faster processing. IncorpX provides Nidhi Company closure in Delhi starting at ₹7,999 with end-to-end support.
The team was very responsive and helpful. I received daily updates from the WhatsApp group, and their guidance made everything much simpler to comprehend. If you want a simple and hassle-free way to launch your business, I would highly recommend them!
S
Simon Job
4.9/5
I recently used IncorpX to register my limited liability partnership, and I had an amazing experience! There were no hidden fees, and the team was helpful, quick to respond, and open. They provided thorough explanations of each step, and their services are reasonably priced without sacrificing quality. The entire process was made simple by IncorpX's professionalism, attention to detail, and sincere support. Strongly advised!
J
Jay R
4.8/5
The experience was flawless; the team completed each task with care and always responded quickly. Throughout the process, I never felt stuck. We would especially like to thank Saksham and Sriram for making everything run so smoothly! The IncorpX team offers extremely competitive pricing; anyone just starting out should definitely get in touch with them.
M
Mohammed Affan
4.9/5
I'm really grateful to the wonderful team at IncorpX for helping bring my co-founder's and my dream to life. The whole process was super smooth - fast service, great support, and no hassles at all. I'd highly recommend IncorpX to any new entrepreneur or founder looking to register their company. Excited to continue working with them in the long run. Thank you, IncorpX!
R
Riyom Taipodia
4.6/5
One of the best agency I have ever experienced. Team members are very friendly as if we know each other from before and came communicate and share easily. My work has been done in a very short period and I am so happy. Thank you so much.
A
Ayyappa Swamy
5/5
Highly recommend... IncorpX services regarding incorporation of our company and roc filing and all are very impressive.. the team IncorpX is polite and friendly. Our Lands Time pvt ltd has incorporated through IncorpX... And thanks to IncorpX team..
R
Ramesh Babu
4.9/5
Trouble free service, Rendering good co-operation for company incorporation. Trust worthy team to have better knowledge.
P
Pravesh Kudesia
5/5
IncorpX is providing best service... And user experience! Thank You IncorpX Team
B
Balaji Gutte
4.9/5
I recently got my Private Limited Company incorporated through IncorpX, and the experience was seamless! The team was professional, supportive, and quick to respond throughout the process. Highly recommend IncorpX for a smooth and stress-free company registration experience.
D
Dia
5/5
I'd been planning to register my Private Limited Company for months but didn't know where to start - until I found IncorpX. The team guided me step by step, explained everything clearly, and completed the registration smoothly within the promised timeline. Their pricing was transparent with no hidden charges. Highly recommend IncorpX to anyone starting a business!
Trusted by 15,000+ Entrepreneurs
Get Expert Guidance for Your Business
Fill out the form and our team will connect with you to understand your requirements and recommend the best way forward.
