- +91-9311795484
- info@taxhint.in
- NIT 5E-1 Kotak Mahindra Bank First Floor, Neelam Chowk, Faridabad, Haryana 121001, IND
Establish your non-profit microfinance institution to serve underserved communities with expert guidance from TaxHint Advisors.
A non-profit financial institution serving underserved communities with small loans and financial services
Provides banking services to low-income individuals excluded from traditional financial systems.
Empowers underserved communities through small loans without collateral requirements.
Promotes entrepreneurship and self-employment in rural and urban low-income areas.
Special regulatory framework designed for financial inclusion
Step-by-step procedure to establish your microfinance institution
Secure Digital Signature Certificates (DSC) for proposed directors and Director Identification Numbers (DIN) for official identification.
Submit Form INC-1 with proposed names containing terms like 'Sanstha' or 'Foundation' along with the industrial activity code and object clause.
Prepare Memorandum of Association (MoA) and Articles of Association (AoA) outlining company objectives and governance structure.
File all required documents including PAN cards, address proofs, photographs, registered office proof, and NOC from property owner.
Upon MCA approval, receive your Certificate of Incorporation officially establishing your Section 8 Microfinance Company.
Essential paperwork needed to establish your microfinance institution
Updated regulatory framework for microfinance operations
| Loan Scope | Collateral-free lending to households with annual income ≤ ₹3,00,000 |
|---|---|
| Repayment Cap | Monthly repayments ≤ 50% of household's monthly income |
| Loan Amounts | Can extend loans up to ₹2,40,000 to qualified clients |
| Interest Rates | Must be reasonable with supervisory audits for compliance |
| Loan Card | Mandatory issuance detailing loan amount, interest, fees, and penalties |
| Conversion Requirement | If assets exceed ₹100 crore, must transition to NBFC-MFI within 3 months |
Advantages for both the institution and the communities it serves
Bridges financial gaps for underserved communities with small, accessible loans.
Encourages self-employment and small business creation in low-income areas.
Consistently demonstrates better repayment performance than traditional banks.
Let TaxHint Advisors guide you through the Section 8 Microfinance Company registration process with expert compliance support.
Welcome To Taxhint Advisors Private Limited
