He becomes the club's 10th signing ahead of the 2020/21 season.
Manager Scott Dundas said: "I have had Dan with me for several years, I first took him to Norton, then he came to Newcastle Town with me, then to Chasetown and now to Kidsgrove.
“He has played for Kidsgrove before, so he is coming back. I was delighted when I eventually got him.
"It did take some prizing because he lives in Leicester, so it is a bit of a trawl for him. However, I know what he has got and I know what he can produce for us.
“I do not see many people at this level go past players how he does, and he gets assists, so I am pleased that Danny has decided to join us for the new season.”
Keep up-to-date with our exclusive email newsletters.
Subscribe