Author name: KnowGro

Nidhi companies are incorporated with the object of cultivating the habit of thrift and savings amongst its members. Nidhi company receives deposits from, and lends to, its members only, for their mutual benefit. A Nidhi Company needs to comply with such rules as are prescribed by the Central Government for regulation of such class of companies.

While registering a company brings many benefits, it’s also important to consider the potential downsides. This article explores the disadvantages associated of registering a company and the factors entrepreneurs should weigh before making this significant decision.

“Company” means a company incorporated under Companies Act, 2013 or under any previous companies act. A company is a separate legal entity formed to carry out business activities. Being a separate legal entity, it can own properties in its own name. A company can enter into transactions in its own name, can sue and also be sued in its name.