Non-Banking Financial Companies are financial institutions that provide banking services without meeting the legal definition of a bank. In this blog, we will discuss the meaning of NBFC, it's functions and all other aspects of Non-Banking Financial Companies.

What is Non-Banking Financial Company all about? 
        
Non-Banking Financial Company is incorporated under the Companies Act, 1956 or the Companies Act.2013 which is engaged in financial activities comparable to that of a bank. Non-Banking Financial Companies are financial institutions that provide banking services without meeting the legal definition of a bank.  Non-Banking Financial Companies can raise funds from the public directly or indirectly or can freely lend them to spenders. Non-Banking Financial Company is very popular due to attractive interest rates on the deposits of investors.

Functions of NBFC

Non-Banking Financial Company has a great financial impact on the Indian economy. Non-Banking Financial Company focuses on business related to loans and advances, acquisition of shares, stock, bonds etc issued by Government or any local authority. Non-Banking Financial Company aims for economic development of our country.

Circumstances where the one person need help in the matter of Non-banking financial companies?

Following are the circumstances under which people may need help in the matter of Non-banking financial companies:

1.  Approval of Reserve Bank of India - Reserve bank of India has revised its earlier directions on the requirement for obtaining prior approval of the Reserve bank of India in case of acquisition/transfer of control of Non-banking financial companies. To clear all your doubt in respect of RBI approval for Non-banking financial companies kindly contact any expert person of Enterslice.

2.   Submission of Documents -  A number of documents required for registration of Non-banking financial companies. Anyone can get in trouble while submitting documents. So where you get confused with regard to details of documents you can freely contact Enterslice or any expert who is appointed in this regard.

3.   Avoidance of Rejection - Sometimes applications filed for registration of Non-banking financial companies are rejected. It will be inconvenient on part of an applicant seeking Non-banking financial company registration to tolerate the rejection of his/her registration application. In this scenario, the applicant or the person who wants to take registration of Non-banking financial company can contact Enterslice to avoid rejection level and to get a quick solution in a matter of registration.

4. Changes in notification and regulations - RBI very often changes notifications and regulations of NBFC. The persons working in Non-banking financial companies and having no idea about regulations as well as notifications suffered a lot due to changes in notifications and regulations. All those persons need professional and expert help to avoid loss in their business. Those persons are free to contact enterslice to get a clear cut about notification and regulations.

5.   The reversal in liquidity - Reserve Bank of India makes tough guidelines for Non-banking financial companies, bringing them on a similar line like of commercial banks. Due to changes in guidelines, a reversal effect found in liquidity. To know more about RBI guidelines, a person can contact Enterslice. 


Enterslice provides excellent professional services relating to Non-Banking Financial Companies, kindly contact any of its expert people to get better services in a matter of Non-Banking Financial Companies.