Register a Section 8 Company in
3 simple steps
- DIN for 2 Directors
- DSC for 2 Directors
- MOA + AOA
- Company Document Proof
- Licence for Section 8 Company
- Company TAN/TDS
- Incorporation Master File
We're ready to help start your Section 8 Company today!
Introduction
A Section 8 Company is a non-profit organization that aims to promote Charitable Activities, Art, Science, Commerce, Education, Research, Religion, Protection Of Environment, Social Welfare and Sports. The name “Section 8” is derived from Section 8 of the Companies Act, which governs the formation and operation of such companies.
The formation of a Section 8 Company requires obtaining a license from the Central Government. This is to ensure that the company genuinely intends to work for charitable purposes. The profits of a Section 8 company is used for promoting these objectives and are not distributed among the company’s members. These companies are generally opened for the welfare of the public, society and the world. Due to its non-profit nature, Section 8 Companies are subject to stringent regulatory compliance to prevent any misuse of funds. Section 8 Companies may enjoy certain tax exemptions based on their charitable activities.
The procedure for incorporation of a Section 8 Company involves slightly more steps than incorporation of a Private Limited Company. Bright Advis, is experienced and ensures a smooth process from the pre-application stage to the incorporation stage.
Documents Checklist
Bright Advis has compiled a detailed list of documents that are required to register a Section 8 Company. Speak to our experts for any queries.
Identity Proof
- Document Proof of Partners
- Notarized Documents (for Foreign Nationals)
- Utility Bill or Bank Statement
Address Proof
- Utility Bill or Bank Statement
Proof of Registered Office
- Ownership of Property- Any utility bill like an electricity bill or corporation tax receipt not later than 30 days.
- Right to use the Property - Rental Agreement or No Objection Certificate (NOC) from the owner.
Other Documents
- Passport Size Photographs
- MOA & AOA
- Projected Financial Statement
process
Registration Process
in 3 Simple Steps
At Bright Advis, we have simplified the entire registration process of a Section 8 Company into 3 simple steps. This makes your journey smooth, structured and easy.
- Pre-application
- We collect basic information
- Gather required documents
- Obtain Digital Signature Certificate
- Check availability of name
- Drafting & Application
- Obtain Directors Identification Number (DIN)
- File Application for Licence of Incorporation
- Drafting MOA & AOA
- File Application for PAN and TAN
- Payment of fees
- Approval
- Obtain Incorporation Licence
Following the successful verification of documents, Bright Advis ensures a seamless process for the issuance of Certificate of Incorporation from the Ministry of Corporate Affairs (MCA). The COI includes essential details such as the Company Identification Number, PAN and TAN.
benefits
What's Good
about a Section 8 Company
No Minimum Capital Required
Incorporating a Section 8 company does not require any minimum capital. The capital structure of a Section 8 company is flexible and can be adjusted at any time as per company's growth needs. The funds required for business operations can be introduced later, using donations and subscriptions from members and the general public.
Tax Benefits
A Section 8 company enjoys tax benefits under 80G of the Income Tax Act, 1961. The Company Auditor’s Report Order (CARO) also does not apply to a Section 8 company.
Credibility
Section 8 companies are preferred for their credibility and reliability, in comparison to charitable organisations because Section 8 companies have to undergo mandatory audits ensuring transparent accountability. Additionally, the charitable objectives stated in the Memorandum of Association cannot be modified for profits.
Exemption to the donors
People who donate to a Section 8 company can claim tax exemption under the Income Tax Act, 1961.
No Stamp Duty
No stamp duty is levied on the incorporation of a Section 8 company in India unlike private or public limited companies. This exemption simplifies the incorporation process and reduces the financial burden on the organization.
No Title Required
Section 8 companies enjoy the freedom to choose a name without having to include the term 'Section 8' in the name. Unlike a One Person Company, where the name of the incorporated one person company must include ‘OPC’ in its name.
What do you get
when you register with our help
Ready to Register your Company?
When you register your business with the help of Bright Advis, you not only get the items mentioned on the side, you also get a friend who advices, guides and helps you grow into a great business.
- DPIN for 2 Directors
- Digital Signature Certificate for 2 Directors
- Name Approval
- Company PAN
- MOA & AOA
- Company TAN/TDS
- Licence of Incorporation
- Customized Incorporation Masterfile
- Projected Financial Statements
- Incorporation Certificate
- Expert advice you can count on
- Our bright support on every thing needed to complete the registration.
testimonials
What our clients say
Checklist for Registration
This checklist includes everything that you would need to open a Section 8 Company. These are mandatory requirements.
- At least 2 Directors
- Digital Signature Certificate (DSC) for all Directors
- Directors Identification Number (DIN) for all Directors
- Name of the Section 8 Company , which is not similar to any existing Section 8 Company or trademark.
- MOA & AOA
- Projected Financial Statements for 3 Years
- Proof of registered office of the Section 8 Company
Timeline
After consultation and review of required documents by a Bright Advis expert, the incorporation process takes between 7 to 10 working days.
Need help registering a Section 8 Company? Speak with an expert.
Why Bright Advis
There are many reasons why clients choose Bright Advis, but from our experience we have listed the four main reason why you should go with us.
Bright & Knowledgeable
Bright Advis delivers high quality financial services by a team of bright and knowledgeable experts.
Always happy to help
Bright Advis commit to provide dedicated support and assistance to our clients.
Professional & Approachable
We maintain a high level of professionalism while being easily approachable for our clients.
Easy & Quick
We focus on streamlining and simplifying the complex processes for our clients.
Frequently Asked Questions
Yes, a Section 8 Company can convert into any other type of company, such as a private limited company or a public limited company, subject to compliance with the applicable provisions of the Companies Act, 2013 and approval from the ROC.
No, a Section 8 Company cannot distribute profits among its members. Any surplus generated by the company must be reinvested towards achieving its charitable objectives. However, reasonable remuneration may be paid to the company’s directors or employees for their services.
Any person or group of individuals desiring to promote charitable activities or other objectives specified under the Companies Act, 2013 can form a Section 8 Company. This includes individuals, associations, or trusts with a genuine intention to work for the betterment of society.
Yes, Section 8 Companies are required to comply with various regulatory and reporting obligations under the Companies Act, 2013. This includes filing annual returns, conducting regular meetings, maintaining proper accounts, and adhering to accounting standards prescribed by law.
- Other alternatives for starting an NGO include forming a trust under the Indian Trusts Act, 1882, or establishing a society governed by the Societies Registration Act, 1860. Each option has its own legal framework and requirements, so it’s important to choose the structure that best aligns with your organization’s goals and objectives.
- To check if a Section 8 company is registered or not, you can visit the Ministry of Corporate Affairs (MCA) website and use the ‘Company/LLP Master Data’ search feature. Enter the name or Corporate Identification Number (CIN) of the company to retrieve its registration details and status.