Focused on Social Impact: Perfect for promoting charity, education, and social welfare.A Section 8 Company is a special type of organization set up to promote charitable, educational, and social activities. If you want to start a non-profit in India, registering as a Section 8 Company can give you credibility, legal protection, and access to various benefits. Here’s a detailed yet easy-to-follow guide.
Key Highlights and Benefits
- Purpose-Driven Entity: Perfect for activities like charity, education, and social welfare.
- Tax Benefits: Eligible for exemptions under Income Tax laws.
- No Minimum Capital: Start your non-profit without a huge initial investment.
- Legal Recognition: Builds trust among donors and stakeholders.
- Independent Identity: The company exists separately from its members, ensuring stability.
Steps to Register a Section 8 Company
- Plan Your Objective: Clearly define your mission, whether it’s education, healthcare, or environmental protection.
- Obtain Digital Signatures (DSC): Directors need a DSC for online document submission.
- Apply for DIN: Get a Director Identification Number for all directors.
- Reserve a Unique Name: Ensure your company name reflects your mission and complies with naming rules.
- Prepare Documents: Draft your Memorandum of Association (MoA) and Articles of Association (AoA).
- File Incorporation Application: Submit all documents through the SPICe+ portal.
- Get Approval: Upon verification, the Registrar of Companies will issue your Certificate of Incorporation.
Why Choose a Section 8 Company?
- Trust and Transparency: Being registered under the Companies Act makes your non-profit credible.
- Attracts Donations: Donors and organizations prefer supporting legally recognized entities.
- Structured Governance: Well-defined rules ensure smooth operations.
- Access to Grants: Eligible for government and international funding opportunities.
