Should it be registered as nbfc ?

Ranvijay (Executive) (23 Points)

11 December 2016  
A company is offering short-term, short-amount credit to users to buy daily essentials i.e. Groceries, Medicine, Staples etc. through its tied up merchants or vendors. The buyer has the facility to pay directly to the merchant/vendor or the company within 14 days of the transaction. If the buyer is directly paying to the company after or within 14 days of the transaction, still the credit arranging company will transfer the funds to the merchants or vendors from where the buyer had bought the goods & services. Here the revenue model of the company is based on the sales volume of the tied-up merchants or vendors. Will it be mandatory to register such type of company under NBFC. Thanks Ranvijay