Sticking to the Compliances that have been put up by the government is very important to adhere to. The Annual Compliance for Startups helps to ensure that
Annual Compliance for Startups – A business that operates as a private limited company must adhere to all the variety of regulations set forth by
Annual Compliances for Private Limited Company – A private company is a legal entity with its own identity that must keep its active status by
Want to start a Non-Profit organization? Alonika.in is here to guide you through every step of the Section 8 Company Registration in Mumbai. A company can be formed for charitable purposes with the intention of producing no profits. We refer to these firms as Section 8 or NGO companies.
This is subject to the provisions of Section 8 of the Companies Act of 2013. They are established to promote commerce, science, art, religion, charity, or other socially beneficial goals. They are private limited corporations that require a minimum of 2 Directors, a minimum of 2 to 200 Shareholders. As a Public Limited Company, it requires a minimum of 3 Directors. While a Section 8 company cannot distribute dividends to its members, it can utilize the excess revenue to further its objectives.
The following documents are required to complete the registration process for a Section 8 company in India:
If you have these documents ready, then we can proceed with the Section 8 company registration process and help you get your company up and running smoothly.
The first step in registering your NGO is obtaining approval for your company name. To begin, you will need to:
Minimum Requirements: Provide details for at least two Directors and Shareholders.
Digital Signatures & Director Identification Number (DIN): Directors must obtain Digital Signatures and Director Identification Numbers (DIN).
Documents Required: PAN, Aadhaar, and Address proof of the Directors to apply for Digital Signatures and DIN.
Company Name Application: Submit an application to the Ministry of Corporate Affairs (MCA) for approval of your proposed company name.
Once your company name is approved, the next step is to apply for a licence under Section 8. This involves submitting the following documents:
Promoter’s Profile & Background: A detailed profile of the company’s promoters and their background.
Application Grounds: A clear statement outlining the objectives and grounds of the application.
Projected Financials: Income and expenditure projections, as well as assets and liabilities, for the next three years.
Memorandum and Articles of Association (MOA & AOA): Draft and submit the MOA and AOA for your company.
Once the licence is approved, you can proceed with the final company registration process. For this, you will need to submit the following documents:
Copy of Section 8 Licence: The approved licence issued by the Registrar of Companies.
Declarations/Affidavits: As per the Companies Act, declarations and affidavits must be filed.
Memorandum and Articles of Association: Ensure these documents are in line with the company’s social objectives.
Registered Address Proof: A company must have a registered office within 30 days from the date of incorporation. When submitting the details of the registered office, the following documents are required for approval:
A copy of the Electricity Bill or Gas Bill. Proof of Ownership for the registered office address.
After submitting the necessary documentation, the Registrar of Companies will review your application. Upon approval, a Certificate of Incorporation will be issued, officially completing your Section 8 company registration.
Registering a Section 8 company offers numerous advantages for individuals or organizations aiming to make a social impact. Here are some key benefits of registering it:
A Section 8 company is a recognized legal entity under the Companies Act, 2013, which adds credibility to your non-profit organization. This recognition helps build trust among donors, partners, and the public, enhancing your organization’s reputation and making it more likely to receive support.
It is eligible for tax exemptions. As a non-profit entity, your organization can avail of exemptions under various sections of the Income Tax Act, including 12A and 80G, making you eligible to receive tax-deductible donations. This can attract more donors and investors.
A Section 8 company is a separate legal entity that provides limited liability protection to its members and directors. This safeguards personal assets from any legal or financial issues, thereby reducing personal risk for those involved in the organization.
Registered Section 8 companies have easier access to funding, grants, and donations. Many government and private institutions prefer or require a legal, registered entity for financing and assistance. This opens up a broader range of opportunities for securing financial support.
It enjoys flexibility in operations while still adhering to legal compliance. The Memorandum and Articles of Association (MOA & AOA) allow the company to define its objectives and operational strategies, giving it the autonomy to manage its activities according to its social goals.
Being a registered Section 8 company enables you to accept donations from both local and international sources legally. It also lets you issue donation receipts, which are vital for attracting donors who want tax benefits.
Section 8 companies have perpetual succession, meaning the organization continues to exist even if the members leave or pass away. This ensures that your social initiatives can continue in the long term without disruption.
At Alonika.in, we simplify the process of Section 8 company registration online. Our online registration services are designed to make your experience quick, easy, and hassle-free. We help you register your business swiftly and efficiently from the comfort of your own home or office. Here’s why our online services stand out:
Say goodbye to long queues and endless paperwork! With our online registration platform, you can submit your application and documents anytime, anywhere.
Once your documents are submitted, our system processes them quickly, reducing the time it takes to get your company officially registered.
It eliminates the need for physical paperwork and visits to government offices, reducing costs associated with traditional registration processes.
We offer real-time tracking of your application status, so you can know precisely where your registration stands and avoid unnecessary delays.
We offer built-in error checks during the registration process. This means fewer mistakes and faster approval times, ensuring you provide all the necessary details correctly.
Our experts offer guidance throughout the process and ensure that your registration is fully compliant with all legal requirements.
Starting a non-profit can feel like a big step, but with us by your side, it’s a lot easier than you might think. We are a well-established provider of Section 8 company registration in Mumbai. We simplify the registration process for our clients. Our team takes care of the paperwork and all the legal requirements. With our assistance, you won’t have to worry about the complexities of government regulations or compliance issues.
| S. No. | Basis | Section-8 | Trust | Society |
|---|---|---|---|---|
| 1. | Governed by | Companies Act, 2013 | Indian Trust Act, 1882 | Societies Registration Act, 1860 or State Act’s |
| 2. | Registration Document | Incorporation Certificate and MOA / AOA | Trust Deed Registered by Registrar | Registration Certificate issued by Registrar of Societies and Memorandum of Society. |
| 3. | Minimum Requirement | Section-8 Company requires at least two people. | At least two trustees are required. | At least seven members are required to form a society. |
| 4. | Dissolution | It can be dissolved in accordance with the provisions of the Companies Act, 2013 and rules made there under | Public Trust are generally irrevocable | Society can be dissolved which shall be approved by at least 3/4 of the Members of the society. |
| 5. | Control | It is managed by the Board of Directors | Mostly by Managing Trustee | There is no control of anyone in societies decision is taken by majority. |
| 6. | Area of operation | It can operate all over India | It can operate all over India if not bounded by trust deed. | Generally societies can operate in the specific state only. |
| 7. | Bank Account Operations | A person authorized by Board Resolution | Mostly by managing trustee | Generally By the President and Treasurer. |
| 8. | Compliance | Similar Compliances as a Private / Public Company to be fulfilled. | Basic Annual Compliances like ITR filing and Getting books audited if required. | Mandatory filing of accounts with registrar of Societies and other basic compliances like ITR filing and Auditing if required. |