To accept deposit from the members of the Company under saving, Deposits, Fixed deposits, and such other saving schemes that may from time to time be decided by the company . To encourage the members of the company to save money. The monies so received can be small or large sum, cab be periodical or otherwise, and repayable at the end of the specified period over a period, with interest calculated at such rates as may be decided by the company, on the amount standing to the credit of the depositors account either periodically or after a specified time.

The companies doing Nidhi Business, viz. borrowing from members and lending to members only, are known under different names such as Nidhi, Permanent Fund, Benefit Funds, Mutual Benefit Funds and Mutual Benefit Company.