{"id":18804,"date":"2020-11-02T15:13:35","date_gmt":"2020-11-02T09:43:35","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=18804"},"modified":"2024-10-11T12:23:15","modified_gmt":"2024-10-11T06:53:15","slug":"what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/","title":{"rendered":"What are the Roles of Reserve Bank in Acquisition\/Transfer of Control in NBFC?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">A Non-Banking Financial Company, aka NBFC, is primarily a money lending entity that operates as per the guidelines of Reserve bank. These entities are registered under the Companies Act 2013. The primary business area of NBFCs is credit lending. In addition to that, they also engaged in the business of shares, securities, leasing, and hire purchase. However, there are some exceptions for NBFCs as far as their scope of business is concerned. They are not permitted to serve business areas like agriculture, industry, trading of goods, or construction. Apart from this, NBFC also focuses on the business of accepting deposits. In this write-up, we will talk about RBI\u2019s role in the Acquisition\/Transfer of Control in NBFC.&nbsp;<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#First_Step_towards_the_Incorporation_of_the_NBFC\" >First Step towards the Incorporation of the NBFC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#Circular_Released_by_RBI_for_Acquisition_Transfer_of_Control_in_NBFC_%E2%80%93_2014\" >Circular Released by RBI for Acquisition\/ Transfer of\nControl in NBFC &#8211; 2014<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#RBIs_Circular_released_on_2015-16_for_Acquisition_Transfer_of_Control_in_NBFC\" >RBI\u2019s\nCircular released on 2015-16 for Acquisition\/ Transfer of Control in NBFC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#Talk_To_Expert\" >Talk To Expert<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#Roles_of_Reserve_Bank_in_AcquisitionTransfer_of_Control_in_NBFC\" >Roles of Reserve Bank in Acquisition\/Transfer of Control in NBFC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#Procedure_for_Prior_Approval_from_the_Reserve_Bank_regarding_Acquisition_Transfer_of_Control_in_NFBC\" >Procedure\nfor Prior Approval from the Reserve Bank regarding Acquisition\/ Transfer of\nControl in NFBC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#Role_of_Public_Circular_related_to_Shares_Acquisition\" >Role\nof Public Circular related to Share\u2019s Acquisition&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/what-are-the-roles-of-reserve-bank-in-acquisition-and-transfer-of-control-in-nbfc\/#Conclusion_%E2%80%93_AcquisitionTransfer_of_Control_in_NFBC\" >Conclusion\n&#8211; Acquisition\/Transfer of Control in NFBC<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"First_Step_towards_the_Incorporation_of_the_NBFC\"><\/span>First Step towards the Incorporation of the NBFC<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Forming a company is the first step toward the incorporation\nof the NBFC. Some of the documentation which is needed for forming a company\nare as follow:-<\/p>\n\n\n\n<ol>\n<li>Article of association<\/li>\n\n\n\n<li>Memorandum of Association.&nbsp;<\/li>\n\n\n\n<li>Director\u2019s identification and address proof.&nbsp; <\/li>\n<\/ol>\n\n\n\n<h3 class=\"wp-block-heading\">Article of Association<\/h3>\n\n\n\n<p>The <a href=\"https:\/\/corpbiz.io\/learning\/alteration-in-article-of-association\/\"><strong>Articles of Association<\/strong><\/a> enclose rules and regulations that govern the company. Moreover, it also includes the percentage of ownership as well as ownership structure. Any change in the ownership of NBFCs seeks permission of ROC i.e. Registrar of Companies. It means that &#8211; if the company member seeks transfer of control within the company, then ROC\u2019s intervention is compulsory for the completion of the process. <\/p>\n\n\n\n<p>But before approaching ROC for approval, the shareholders\nmust convene a general meeting to take a collective decision on such a matter.\nIn the same scenario, NBFCs also require to obtain prior permission in the\nevent of a transfer of control within the company.&nbsp;<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/corpbiz.io\/rbi\">RBI<\/a><\/strong> is the regulatory authority of the NBFCs. The Reserve Bank on regular intervals rolled out various circulars regarding the activities of NBFCs in India.<em>&nbsp;<\/em>One such notification is the approval needed from the Reserve bank for Acquisition\/Transfer of Control in NBFC.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Circular_Released_by_RBI_for_Acquisition_Transfer_of_Control_in_NBFC_%E2%80%93_2014\"><\/span><strong>Circular Released by RBI for Acquisition\/ Transfer of\nControl in NBFC &#8211; 2014<\/strong><strong><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A few years back, the Reserve Bank rolled out a notification\n\u201cCC.No.376\/03.10.001\/2013-14\u201d regarding the acquisition\/transfer of control in\nNBFC. According to the notification, the members seeking alternation in the\ncompany\u2019s control are required to avail prior permission from Reserve\nBank.&nbsp;<\/p>\n\n\n\n<p><strong>Section 45 IA (4)(c<\/strong>) of the<strong> RBI Act<\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Reserve_Bank_of_India_Act,_1934\"><strong>[1]<\/strong><\/a><\/sup> states the <a href=\"https:\/\/corpbiz.io\/nbfc-registration\"><strong>NBFC registration<\/strong><\/a> certificate cannot be granted to the company if the character of the new promoter hinders the interest of the depositors or public status in any sense. Before the release of this notification, the Reserve Bank rolled out a circular in 2009 that addressed the same area of interest. But it only addressed the deposit-taking NBFCs operating across the country.&nbsp;<\/p>\n\n\n\n<p>In the purview of the above notification, RBI in 2013-14 released another circular that stressed the same area of concern.&nbsp; According to the notification, the prior approval of RBI shall be needed in case of-&nbsp;<\/p>\n\n\n\n<ol>\n<li>Acquisition of shares of an NBFC in the event of\nthe takeover<\/li>\n\n\n\n<li>Merger\/amalgamation with another entity serving\nthe same business area.&nbsp;<\/li>\n\n\n\n<li>Any merger\/amalgamation that results in the\nacquisition of shares over ten percent of the paid up capital.&nbsp;<\/li>\n\n\n\n<li>Addressing the tribunal u\/s 391-394 of the\nCompanies Act, 1956 or under Section 230-233 of Companies Act, 2013 to avail\norder for the merger.&nbsp;<\/li>\n<\/ol>\n\n\n\n<p>The circular further gave the reference of previous notification (released by RBI on May 26, 2014) that directs that NBFCs follow the guidelines under Section 45K and 45K. Any transfer of shares in contravention of the respective sections shall attract severe penalties.&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter\"><img decoding=\"async\" width=\"660\" height=\"356\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/11\/image-2.png\" alt=\"Roles of Reserve Bank in Acquisition\" class=\"wp-image-18805\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/11\/image-2.png 660w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/11\/image-2-300x162.png 300w\" sizes=\"(max-width: 660px) 100vw, 660px\" \/><\/figure><\/div>\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"RBIs_Circular_released_on_2015-16_for_Acquisition_Transfer_of_Control_in_NBFC\"><\/span>RBI\u2019s\nCircular released on 2015-16 for Acquisition\/ Transfer of Control in NBFC<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Reserve bank brought\nout a new update regarding the acquisition and transfer of control for an NBFC\nin the year 2015. The circular seeks to replace the previous notification that\nwas promulgated in 2014. The Reserve Bank examined the previous guidelines on\nacquisition\/transfer of control for NBFC released in the year 2014. <\/p>\n\n\n\n<p>During the assessment, the\nReserve Bank laid down the process of acquisition\/transfer of control in NBFC\nin the purview of the notification released in March 2015. While certain recommendations\nwere identical to the past notification, the Reserve Bank made several changes.\nThe given list exhibits the series of recommendations made by the Reserve\nBank:-<\/p>\n\n\n\n<ul>\n<li>The\nReserve Bank emphasized the requirement of writ approval from the NBFCs in case\nof acquisition\/transfer of control in NBFC.<\/li>\n\n\n\n<li>Writ\napproval is needed for any acquisition, alteration, or transfer of control in\nthe Non-Banking Financial Companies. The RBI\u2019s permission is mandatory\nregardless of whether there is an alteration or not in the NBFC\u2019s management.<\/li>\n\n\n\n<li>Any\nchange in control of the company must reflect in the shareholding pattern as\nwell. If the shareholding pattern alters over time, then writ permission is\nneeded from the Reserve Bank.&nbsp;<\/li>\n\n\n\n<li>Writ\npermission from Reserve Bank is vital in case if the shareholding pattern\nchanged in the excess of 26%. However, this rule would dissolve in the event of\nthe change of shareholding occurs due to buyback of&nbsp;<strong><em>share or in the\nsituation where there is a legitimate capital reduction procedure<\/em><\/strong>.&nbsp;<\/li>\n\n\n\n<li>Directors\ncannot be replaced without Reserve Bank\u2019s approval. If a significant change\noccurred in the management by replacing more than thirty percent of members\n(excluding independent director) then RBI\u2019s approval becomes mandatory in such\nan event. However, RBI does not intervene in the matter of re-election or\nretirement of the directors.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Alteration on the\nManagement<\/h3>\n\n\n\n<p>Apart from the aforesaid\nguidelines, the NBFC has to consistently intimate the Reserve Bank in case of\nany alteration on the management and shareholders in the company. This would\nalso be compulsory under NBFCs acceptance of Public Deposits Direction,\n1998.&nbsp;<\/p>\n\n\n\n<p>Apart from that, the regulations like Systemically Important Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2015 and Non-Systemically Important Non-Banking Financial (Non-Deposit Accepting Holding) Companies Prudential Norms (Reserve Bank) Directions, 2015 directs NBFCs to reveal the change of ownership.\u00a0<\/p>\n\n\n\n<h2><span class=\"ez-toc-section\" id=\"Talk_To_Expert\"><\/span>Talk To Expert<span class=\"ez-toc-section-end\"><\/span><\/h2><div class=\"calling-person blog_cta my-4\"> \n\n  \n\n    <div class=\"row\"> \n\n        <div class=\"col-xs-12 col-sm-12 col-md-12 col-lg-12\"> \n\n            <div class=\"d-flex flex-nowrap\"> \n\n                <div class=\"user-online\"> <img decoding=\"async\" src=\"https:\/\/corpbiz.io\/img\/user.jpg\" alt=\"corpbiz\"> <\/div> \n\n                <div class=\"user-online-details ms-3 align-self-center\"> \n\n                    <h2 class=\"text-white mt-0\"><span class=\"ez-toc-section\" id=\"Roles_of_Reserve_Bank_in_AcquisitionTransfer_of_Control_in_NBFC\"><\/span> Roles of Reserve Bank in Acquisition\/Transfer of Control in NBFC <span class=\"ez-toc-section-end\"><\/span><\/h2> \n\n                    <p class=\"mt-3\"><i class=\"fa fa-star\"><\/i><i class=\"fa fa-star\"><\/i><i class=\"fa fa-star\"><\/i><i \n\n                            class=\"fa fa-star\"><\/i><i class=\"fa fa-star-half-full\"><\/i><span \n\n                            class=\"ms-2 text-white\">(4.8)<\/span><\/p> \n\n                <\/div> \n\n            <\/div> \n\n          \n\n        <\/div> \n\n     \n\n        <div class=\"col-xs-12 col-sm-12 col-md-12 col-lg-8 mx-auto\"> \n\n            <div class=\"d-flex justify-content-between call-chat\"> <a href=\"tel:919121230280\"> <span>Call Now \n\n            <\/span><img decoding=\"async\" class=\"ms-2\" src=\"https:\/\/corpbiz.io\/admin\/style\/images\/userfiles\/image\/new_call_icon.png\" \n\n                alt=\"Call With \" width=\"32px\"> \n\n        <\/a> <a href=\"https:\/\/api.whatsapp.com\/send?phone=919289379709&amp;text=Hi, I am Looking For FSSAI Basic.\" target=\"_blank\" rel=\"noopener\"> <span>Chat With Us<\/span><img decoding=\"async\" class=\"ms-2\" \n\n                src=\"https:\/\/corpbiz.io\/img\/chat-with-expert.png\" alt=\"Chat With \" width=\"32px\"> <\/a> <\/div> \n\n        <\/div> \n\n    <\/div> \n\n<\/div> \n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Procedure_for_Prior_Approval_from_the_Reserve_Bank_regarding_Acquisition_Transfer_of_Control_in_NFBC\"><\/span>Procedure\nfor Prior Approval from the Reserve Bank regarding Acquisition\/ Transfer of\nControl in NFBC<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>NBFCs are required to follow the given procedure for filing an application related to change in control:-<\/strong><\/p>\n\n\n\n<ul>\n<li>The NBFC should make a writ application on the company\u2019s letterhead for availing permission from Reserve Bank for <strong><a href=\"https:\/\/corpbiz.io\/nbfc-takeover\">NBFC takeover<\/a><\/strong>. While applying, the NBFC must add the aforesaid changes of control in the NBFC.<\/li>\n\n\n\n<li>The given\ndocumentations have to furnished by the applicant along with an application<\/li>\n\n\n\n<li>Detail\ninfo regarding the proposed directors or shareholders. This will enclose\ninformation related to key management executives serving the company.&nbsp;<\/li>\n\n\n\n<li>Information\nregarding the source of funds in the Non-banking finance companies.&nbsp;<\/li>\n\n\n\n<li>A written\ndeclaration is prepared by the shareholders regarding their non-association\nwith companies that accept the public deposit.&nbsp;<\/li>\n\n\n\n<li>A\ndeclaration prepared by shareholders and director regarding their\nnon-association with any form of companies<\/li>\n\n\n\n<li>The\nwritten declaration from the director regarding their non-involvement with any\nnature of offense and bankruptcy.&nbsp;<\/li>\n\n\n\n<li>The\ndeclaration from directors showing that they have no pending cases u\/s section\n138 of the negotiable instruments act.<\/li>\n\n\n\n<li>A banker\nreport&nbsp;<\/li>\n\n\n\n<li>The\napplication needs to be submitted at the RBI\u2019s regional office where the NBFC\nis carrying out its operation.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Role_of_Public_Circular_related_to_Shares_Acquisition\"><\/span>Role\nof Public Circular related to Share\u2019s Acquisition&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If the NBFC has made some\nalternation in the management or transfers their shared to other entities, an\napplication has to file with the RBI regarding the same. But before applying,\nthe NBFC must share the matter with the general public through a notification.<\/p>\n\n\n\n<p><strong>The NBFCs are required to follow the given guideline regarding the promulgation of the public notice.&nbsp;<\/strong><\/p>\n\n\n\n<ul>\n<li>The\nissuance of the public notice must be done only in the event of a transfer of\nownership or sale of a share in the NBFC. Internal trading of shares does not\nplay a pivotal role in the transfer of control. Parties involved with the\ntransactions are also accountable for sharing the matter publicly via\nnotification. But before the promulgation of such a notice, the parties must\navail permission from the Reserve Bank.&nbsp;<\/li>\n\n\n\n<li>The\npublic should reflect the seller\u2019s intention. In addition to that, the public\nnotice must enclose the nature of the transaction, market strategies that help\nthe management in decision\u2013making, and the factors that influence the\nmanagement for changing the ownership. The notice must be promulgated\nconventionally i.e. via the national and local newspaper.&nbsp;&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>The 2015 directions came up with significant changes when contrasted with previous directions. These provisions would only come into effect in the following events:-<\/p>\n\n\n\n<ul>\n<li>Transfer of control<\/li>\n\n\n\n<li>Alteration in ownership and shareholding pattern of NBFC.&nbsp;<\/li>\n\n\n\n<li>Selling of shares <\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Post-Public\nNotice Procedure<\/h3>\n\n\n\n<p>After the expiration of the\nnotice period, the company has to hold a board meeting to draft a resolution.\nThe resolution must enclose the agenda related to the appointment of new\nshareholders and Directors for the NBFC.&nbsp;<\/p>\n\n\n\n<p>After drafting the\nresolution, the company has to apply Form &#8211; DIR 12 (2) with the ROC within\nthirty days of the resolution. The company must also adhere to the compliances\nrelated to the transfer of shares. After this, the external advisor would\nconduct a valuation procedure for a change in the share value. Respective stamp\nduties apply to the shares that have to be paid with an exception.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">RBI\nNotification<\/h3>\n\n\n\n<p>After the successful completion of the procedure, the NBFC would have to formally inform the Reserve Bank with documentations like the ROC form, DIR 12 Form, resolution passed in the board meeting regarding the share transfer of the company.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion_%E2%80%93_AcquisitionTransfer_of_Control_in_NFBC\"><\/span>Conclusion\n&#8211; Acquisition\/Transfer of Control in NFBC<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Companies Act requires\ncompanies to avail prior approval from the ROC in the event of a transfer of\ncontrol in the company. After availing of the mandatory approval, the company\nis permitted to deploy these changes. Likewise, prior approval is needed from\nthe Reserve Bank to complete the aforesaid tasks. <\/p>\n\n\n\n<p>The NBFC must adhere to the compliances and bylaws regarding the shareholding status and change in the top management, directors, and shareholder in particular. After availing RBI\u2019s approval, the NBFC is liable for sharing the matter via notification with the general public. Overlooking such a requirement would land the NBFC in the vicinity of the legal penalties that also includes the revocation of Certificate of Registration.&nbsp;<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/nbfc-p2p-lenders-in-2020-amid-nbfcs-crisis\/\">\nGrowth Prospects for NBFC P2P Lenders in 2020 amid NBFCs Crisis\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A Non-Banking Financial Company, aka NBFC, is primarily a money lending entity that operates as per the guidelines of Reserve bank. These entities are registered under the Companies Act 2013. The primary business area of NBFCs is credit lending. In addition to that, they also engaged in the business of shares, securities, leasing, and hire [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":18808,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[91],"tags":[1170],"acf":{"service_id":"8"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":5369,"readingTime":6,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/18804"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=18804"}],"version-history":[{"count":18,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/18804\/revisions"}],"predecessor-version":[{"id":66812,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/18804\/revisions\/66812"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/18808"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=18804"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=18804"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=18804"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}