NBFC Registration

Step-by-Step Process of NBFC Registration in India

  • 05-Mar-2026
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Step-by-Step Process of NBFC Registration in India

Non-Banking Financial Companies (NBFCs) play a crucial role in strengthening the financial system by providing loans, credit facilities, and investment services to individuals and businesses. If you're planning to start an NBFC, understanding the registration process is essential. This guide explains the step-by-step process in a simple and clear way.

What is NBFC Registration?

NBFC registration is the process of obtaining a license from the Reserve Bank of India (RBI) to legally operate as a non-banking financial company in India.

Step-by-Step Process of NBFC Registration

1. Company Incorporation

Before applying for NBFC registration, you must first register your company under the Companies Act, 2013.

  • Register as a Private Limited Company or Public Limited Company
  • Obtain:
    • Certificate of Incorporation
    • PAN and TAN

2. Meet Minimum Capital Requirement

The company must have a minimum Net Owned Fund (NOF) of ₹2 crore.

  • Funds must be in the company’s bank account
  • Get a Net Worth Certificate from a Chartered Accountant

3. Open a Bank Account

Open a current account in the company’s name and deposit the required capital amount.

4. Prepare Required Documents

You need to prepare and collect the following documents:

  • Certificate of Incorporation
  • Memorandum & Articles of Association (MOA & AOA)
  • Board Resolution
  • Bank statements
  • Net worth certificate
  • Directors’ KYC documents
  • Business plan (for next 3–5 years)

5. Apply Online on RBI Portal

Visit the RBI official website and fill out the NBFC application form online.

  • Upload all required documents
  • Submit the application
  • Note down the CARN (Company Application Reference Number)

6. Submit Physical Documents

After online submission:

  • Take a printout of the application
  • Send it along with documents to the RBI regional office

7. RBI Verification Process

The Reserve Bank of India will:

  • Verify documents
  • Check financial stability
  • Assess management background
  • Evaluate business plan

8. Grant of Certificate of Registration (CoR)

If RBI is satisfied:

  • It issues a Certificate of Registration (CoR)
  • Your company can now legally operate as an NBFC

Important Points to Remember

  • Directors must have a clean financial and legal background
  • Proper compliance and documentation are essential
  • The process may take 3 to 6 months

Conclusion

Starting an NBFC can be a great business opportunity, but it requires careful planning and compliance with regulatory norms. By following the above step-by-step process and meeting all requirements set by the Reserve Bank of India, you can successfully register your NBFC and begin operations smoothly.