A section-8 company is which spends all its money promoting what they believe in. the company could promote religion, education, sports, social welfare, charity, etc. The company also does not pay any kind of income to its members. These companies are limited companies under the Companies Act. The only difference is that they do not need to use “limited company” at the end of their names. They can either be registered as a “private limited company” or “public limited company”. Section-8 companies are a legal form of NGOs and NPOs. These companies can work in any state of the country; there are no restrictions for them.
Benefits of Section 8 Company Registration Online in India, Delhi, Bangalore, Lucknow
- No minimum capital: For the incorporation of section-8 companies there is no minimum capital required. It can be formed with any minimum capital but yes investors and promoters can be brought in to support the organization.
- Name: Section-8 does not require to put private limited or limited at the end of its name. It can be named as a charity, foundation, club, council, institution, etc.
- Tax benefits: Section-8 companies do not pay tax the same as other companies, they have many tax benefits.
- Membership: Section-8 company can be obtained by a registered partnership firm.
Eligibility criteria for Section-8 company formation
- The company should be registered under the Companies Act, 2013.
- The company needs to get a license from MCA.
- The maximum number of directors can be 15. If a company want to add more director than a request can be made in a general meeting.
- At least one director should be a member of India.
- Whatever initial amount has been proposed for the company, it should be invested in it within 2 months.
Online NGO Registration Online In India, Delhi, Mumbai, Bangalore, Lucknow.
- First, you need to fill in your details online. You will be required to fill in your name, email address, contact number and state.
- Then you will need to fill for DIN and DSC.
- After that the company needs to go through the name approval process. 2 names could be proposed and name availability needs to be checked under “reserve unique name”.
- It is compulsory to attach form INC-12. It is also advisable that you put a note with the forms about what work the company will undertake after its incorporation.
- When you have gained the approval of the central government one can fill SPICe 32 form.
- After all the formalities have been done company will be issues a certificate of incorporation. Which means it has been legally formed.
All the documents needed to register the Section-8 company.
- PAN card copies of all the directors of the company.
- Address proof of directors.
- Contact number, email ID, and passport size photograph of directors.
- Address proof of the company’s registered address.
After all the formalities have been done the company will be formed and it can start working as soon as it wants to.