Company Registration
Section-8 Company
Limited Liability
Lesser Compliance
12A Exemption
80G Benefit
Suitable for Charitable/Religious Work
Eligibility
- • Two directors
- • Two shareholders
Popular
Basic Package
₹5,499 one-time professional fees*
- 2 DIN + 2 DSC
- MOA + AOA
- 1 RUN Name Approval
- Professional Tax Registration + PAN + TAN
- Bank account opening documentation support
- Commencement of Business Certificate
- Certificate of Incorporation
A Section 8 Company, or non-profit company, functions to promote social objects and public welfare — arts, science, sports, education, research, social welfare, religion, charity, and environmental protection. It is not profit-oriented; any profit earned cannot be distributed to members or owners and must be applied only to the company's objects. While NGOs can also register as Trusts or Societies, Section 8 Company is the most popular route in India due to its ease of registration and management.
It requires a minimum of 2 directors (at least one a resident Indian) and 2 shareholders — directors and shareholders can be the same people. No minimum capital requirement applies.
Conversion
A Section 8 Company can be converted into a Private Company, provided it passes a Special Resolution in its general meeting, furnishes an explanatory statement, and obtains a No Objection Certificate from any authority that had granted it special status, privilege, benefit, exemption, or grant.
Taxation of Section 8 Company
This form of company can register under Section 12A of the Income Tax Act, exempting income remaining after expenses from tax up to 15%. It can also register under Section 80G, so donors receive a tax deduction on their contributions.
Registration Process
- 1
Apply for Name
The proposed name should include a word like Foundation, Forum, Association, Federation, Chambers, Confederation, Council, or Electoral Trust.
- 2
Obtain DSC
All proposed directors need a Digital Signature Certificate (DSC); the DIN is created automatically once DSC is obtained.
- 3
File MoA and AoA
Once the name is approved and DSC obtained, the MoA and AoA are prepared and filed to begin incorporation.
- 4
Apply for Certificate of Incorporation
After payment and verification, the Registrar of Companies issues the Certificate of Incorporation along with a unique Company Identification Number.
Documents Required
- PAN Card (mandatory for Indian residents)
- ID proof — Passport, Driving License, or Voter ID
- Address proof — mobile/telephone bill, recent utility bill, or bank statement
- No Objection Letter and utility bill in owner's name, for consented premises
- Registered title document or company-name utility bill, for owned premises
- Lease/rent agreement, rent receipt, and owner's utility bill, for rented premises
- Passport-size photographs of directors and shareholders
Frequently Asked Questions
How many directors are required to form a Section 8 Company?
A minimum of 2 directors and 2 shareholders.
Do all directors need to be resident Indians?
At least one of the proposed directors must be a resident Indian.
Should a Section 8 Company furnish its assets and liabilities during registration?
Yes, a statement of assets and liabilities must be furnished along with the application.
Is it required to specify the source of income during registration?
Yes — an estimate of future annual income and expenditure, specifying source of income and object of expenditure, must be furnished.
Is it mandatory to register NGOs as Section 8 Companies?
No, NGOs can also register as Trusts or Societies, but Section 8 is preferred for its ease of registration and management.
Register Section-8 Company
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