Section 8 Company Registration
A Section 8 Company is a non-profit organization registered under the Companies Act, 2013, formed to promote charitable objectives such as education, social welfare, research, environment protection, arts, religion, or other public welfare activities. Unlike other companies, profits earned by a Section 8 Company are reinvested to achieve its objectives and cannot be distributed to members.
What is a Section 8 Company
A Section 8 Company is a type of non-profit organization registered under the Companies Act, 2013 in India for promoting charitable and social objectives. It is formed to work in areas such as education, healthcare, social welfare, environmental protection, research, arts, culture, religion, and other public benefit activities. The primary purpose of this company structure is to serve society rather than earn profit.
Unlike regular companies, a Section 8 Company cannot distribute profits to its members. Any income or surplus generated must be reinvested to achieve the organization’s objectives. It operates under the supervision of the Ministry of Corporate Affairs (MCA) and enjoys a separate legal identity along with limited liability protection for its members. Due to its structured governance and legal recognition, a Section 8 Company is considered one of the most credible forms of NGO registration in India.
Section 8 Company Registration Process
Choose the Company Name
Select a unique name that reflects the charitable objectives of the organization.
Obtain DSC and DIN
Apply for Digital Signature Certificates (DSC) and Director Identification Numbers (DIN) for the proposed directors.
Draft MOA & AOA
Prepare the Memorandum of Association (MOA) and Articles of Association (AOA) stating the charitable objectives and operational rules.
Prepare Required Documents
Collect identity proofs, address proofs, photographs of directors and members, and registered office address proof.
Apply for Name Approval
Submit the name application through the MCA portal for approval.
File Incorporation Forms
Submit incorporation documents along with the Section 8 license application to the Registrar of Companies (ROC).
Verification by MCA
The Ministry of Corporate Affairs reviews the application and verifies the documents.
Issuance of License & Incorporation Certificate
Upon approval, the Section 8 License and Certificate of Incorporation are issued, legally establishing the company