Core Investment Company (CIC) Registration in India
RBI Registration for Group Holding Companies

A core investment company is a type of NBFC that carries on the business of acquiring shares and securities, but only of its own group companies. To qualify as a CIC, a company must hold at least 90% of its net assets as investments in the equity shares, preference shares, bonds, debentures, debt, or loans of its group companies. Of this, at least 60% of net assets must be in the equity shares of those group companies. In other words, a CIC is overwhelmingly invested in its own group.

Although a core investment company is technically an NBFC, it is quite different from the NBFCs most people think of. A regular NBFC lends to or invests in the public and a wide range of borrowers as its core business. A CIC, by contrast, invests almost entirely in its own group companies and exists to hold and manage those investments — it is not in the business of lending to outsiders.

This difference shapes everything. Because a CIC mainly holds group investments rather than taking public deposits or lending widely, the RBI applies a separate, holding-focused set of conditions to it, rather than the standard NBFC norms. So while a microfinance company or other NBFC registers under one framework, a core investment company is assessed against the CIC criteria and the CIC-ND-SI registration rules. Understanding which category a company falls into is the essential first step, and it is exactly where expert advice helps.

Not every core investment company has to register with the RBI — it depends on size and access to public funds. The key concept is the systemically important core investment company, or CIC-ND-SI. A core investment company must register with the RBI when both of these are true:

• Asset size — the CIC has a total asset size of ₹100 crore or more, individually or together with other CICs in the group.
• Public funds — the CIC raises or holds public funds, directly or indirectly.

A core investment company that meets both tests is a CIC-ND-SI and must obtain a Certificate of Registration from the RBI. A CIC with an asset size below ₹100 crore, or one that does not access public funds, is generally exempt from registration — though it must still satisfy the CIC conditions to be treated as a CIC. Because the asset size and public-funds tests can be finely balanced, we assess each group's position carefully before advising on whether CIC registration is required.

The documents required for CIC registration generally include: the certificate of incorporation and the Memorandum and Articles; the group structure and shareholding pattern; audited financial statements; the net owned fund and adjusted net worth certificate from a Chartered Accountant; KYC and fit-and-proper details of the directors; a business plan; and board resolutions, along with the RBI's prescribed application. Our team prepares and verifies the complete set so the core investment company registration is filed correctly the first time.

Once registered, a CIC-ND-SI must keep meeting the RBI's conditions on a continuing basis. Ongoing compliance is what keeps the registration in good standing, and the main requirements include:

• Adjusted net worth — maintaining adjusted net worth of at least 30% of risk-weighted assets at all times.
• Leverage ratio — keeping outside liabilities within 2.5 times the adjusted net worth.
• Asset composition — continuing to hold at least 90% of net assets in group companies, with 60% in equity.
• RBI returns — filing the periodic returns and disclosures required of a CIC-ND-SI.
• Audit and governance — statutory audit, sound corporate governance, and Companies Act filings.

We manage the full compliance calendar through our NBFC compliance support, and assist with the due diligence often needed for group transactions and restructuring, so your core investment company stays compliant as the group evolves.

Core investment company registration sits at the intersection of NBFC regulation and group structuring, where the CIC tests, the asset thresholds, and the adjusted net worth computation must all be handled correctly. That is exactly where experienced professional support pays off.

Clients choose us because we provide complete, reliable support for CIC registration: assessing CIC status and the registration trigger, reviewing the group structure, certifying net owned fund and adjusted net worth, preparing the documentation, filing the RBI application, and advising on ongoing compliance. As Chartered Accountants, we also handle the wider group company and subsidiary and business setup needs, so the whole group is structured soundly. We help groups establish a compliant, well-governed core investment company with confidence.