A Non-Banking Financial Company carrying on lending or investment as its principal business must obtain a certificate of registration from the Reserve Bank of India under Section 45-IA of the RBI Act, 1934 before starting business.
The applicant must be a company and must meet the RBI’s minimum Net Owned Fund requirement. Under the scale-based regulation framework, the requirement for most NBFCs is being raised in stages, to ₹10 crore by March 2027. The RBI also examines the directors and shareholders, the business plan and the source of funds.
Key points
- Applies when financial activity is the principal business
- Application through the RBI’s online portal
- Minimum Net Owned Fund as prescribed by the RBI
- Ongoing returns, audits and governance rules apply after registration
- This guide is general information only
General information. This topic is explained for general knowledge only. It is not a description of services offered by the firm.
General information only, not professional advice. Section references are to the Income-tax Act, 1961; corresponding provisions of the Income-tax Act, 2025 apply from 1 April 2026. Thresholds and dates may change by notification.
