The structure of Nidhi Enterprises is that of non-banking financial companies. By forming a Nidhi Company, a Nidhi is able to borrow from and lend to its members. Nidhi Companies, which are based in India, were established to encourage members to practice thrift and save money. The cash that a Nidhi Company receives comes solely from its members.

The primary goal of this type of company is to raise donations from the general population. This is another sort of NBFC that performs tasks including taking deposits from members. As a result, a Nidhi Company may readily raise cash. The Companies are built on the mutual benefit principle and are registered under section 406 of the Companies Act 2013.