Section 8 Company/NGO Registration

What is Section 8 Company??

An NGO or Non-Profit Organisation is an entity that operates for the promotion of art, science, sports, education, research, social welfare, religion, charity, protection of the environment, or any other object. It is easy to register, run or manage a Section 8 Company in comparison to a Trust and a Society. .

comparison of a Trust and a Society. 2. What ?

a. The key characteristics of an NGO section 8 company are: b. Object: *It operates for the common welfare of masses at large, for promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of the environment, or any such other object. c. Profit Earning: *The objective is not to earn profit. If any profit is earned during the course of its operation, the same is not to be shared among owners/members rather utilized for attaining the objects for which NGO was formed. d. Utilisation of funds and earnings: *The profits, if any, or other income is used towards promoting specific objects of the NGO. Further, there is a restriction on the declaration of profits as dividends to members. .

What are the minimum requirements to start a section 8 company??

a. Minimum two shareholders; b. Minimum two Directors (Directors and shareholders can be the same person); c. At least one Director shall be resident in India; d. No Minimum capital required; e. Income-tax PAN is a mandatory requirement in the case of Indian nationals; f. Any one of the Identity Proof (Voter ID/Aadhar Card/Driving License/Passport); Passport is a mandatory requirement for proof of identity in case of foreign nationals; g. Any one Proof of Residence (Electricity Bill/Telephone Bill/Mobile Bill/Bank Statement); h. Registered Office address proof (rent agreement along with latest rent receipt and copy of latest utility bill in the name of the landlord and a no-objection certificate from the owner of the premises, in case the premises are rented); In case the premises are owned by a Director and Promoters, any documents establishing the ownership such as Sale Deed/House Tax receipt, etc along with the no-objection certificate. .

. Is Digital Signature mandatory for carrying out registration formalities??

a. Digital Signature is the only secure and authentic way that a document can be submitted electronically. All filings of e-forms on the MCA Portal are required to be filed with the use of Digital Signatures by the person authorized to sign the documents. b. Under the plan you can obtain 2 class III digital signatures along with E-token, having a validity of 2 years. .

I wish to start my NGO. The objective is to impart quality education and upliftment of unprivileged children. Should i form a trust, society or register as a section 8 company??

a. In India, NGOs can be registered as Section 8 Company, trust, or society. While Trusts and Societies are registered under State Government regulations, section 8 companies are registered under the Ministry of Corporate Affairs. b. Forming a section 8 company is preferred due to the following reasons: Improved recognition Better legal standing. Higher credibility amongst donors, Government departments, and other stakeholders. Relaxation from a number of companies act regulations .

Is it necessary to have 2 directors for Section 8 Company Registration??

. Yes, you need a minimum of two directors for a section 8 company registration..

Who can become a member in Section 8 Company??

Any individual/organization can become a member of Section 8 Company including foreigners/NRI’s..

For incorporation of Section 8 Company, do I have to be present in person??

The entire procedure is 100% online and you don’t have to be present at our office or any other office for incorporation. A scanned copy of documents has to upload to the document vault and our experts will carry out all registration formalities for you. .

How much time will the section 8 company registration take??

The incorporation process gets completed on obtaining the license and issue of incorporation certificate under section 8 of Companies Act 2013, (earlier section 25 of Companies act 1956). The whole process of company incorporation should be around 30 days. The time taken also depends on relevant documents provided by the applicant and the speed of approvals from the government. To ensure speedy registration, please pick a unique name for the proposed Company and make sure you have all the required documents prior to starting the registration process. .