Benefits & Process of Section 8 Registration

The Benefits & Process of Section 8 NGO Company Registration Online

Do you know what section 8 company is? Basically, a Section 8 Company includes the NPOs, i.e. Non-Profit Organizations or NGOs, i.e. Non-Government Organizations, that are established with the objective of promoting arts, commerce, education, science, & sport. Section 8 registration will be done with the aim of promoting research, religion, social welfare, environment conservation & charity. If you want to start a charitable institution, then sec 8 company is the best option for you.

Key Features of Section 8 Registration

Before going for the Section 8 registration, you should know about the different features of Sec 8 Company that have been mentioned below-

• There is a requirement of a minimum of 2 directors, and at least 1 director should be an Indian Resident.
• For this, no minimum capital will be required.
• You can register the company at the residential place also.
• The process of private limited registration is 100% online.
• For this, the age of the applicant must be 18 years & above
• It would be best if you chose a unique name for your company.
• To register the company, the number of directors can be 2 to 15.
• Number of shareholders can be up to 200.
• Sec 8 Company involves the Non-Profit Business
• For Section 8 Registration, the company’s objectives should be related to social welfare.
• Sec 8 Company will be licensed by the Central Government.

Benefits of Section 8 Registration

Section 8 Registration is very beneficial. Let’s discuss about the various benefits of Sec 8 Company.

• Legal Recognition

A Sec 8 Company has a separate legal identity, which makes it easy to receive donations for these companies.

• Tax Exemption

Sec 8 Company is eligible for various tax exemptions as per the Income Tax Act. Moreover donors of these companies can also enjoy the tax benefits for the contributions made by them.

• Foreign Funding

Sec 8 Company can receive foreign contributions after obtaining permission under the Foreign Contribution (Regulation) Act. It allows them to access funds from international donors.

• Eligible for Grants

Sec 8 Company is eligible for grants, subsidies, and schemes provided by the government to support social & charitable activities.

• Credibility

Sec 8 Company has higher credibility in comparison to trusts or societies as the central government has licensed these companies.

• Zero Stamp Duty Payable

There is no stamp duty imposed on the Sec 8 Company during the Section 8 Registration, unlike public & private limited companies.

• Continuous existence 

Sec 8 Company also exhibits the continuous existence just like private limited companies, event after the death or termination of the members.

• Limited Liability

In a Sec 8 Company, the liability of its members has been limited to the amount invested by them in the company. Their personal assets are completely protected in case of business debts.

• Members of the Company

In a Sec 8 Company, not only individuals but firms & corporate can also act as the members of the company.

• No need for a title

Unlike a Public or Private Limited Company, a Sec 8 Company is not required to use any suffix or title next to its name.

Process of Section 8 Registration

The process of Section 8 Company Registration Online includes a number of steps. You must have to follow all the steps properly to register a sec 8 company. The steps are-

Step 1: Identify Section 8 Company Objective

First of all, to register Section 8 Company in India you should have to decide the objectives of the company. However, as per the Companies Act 2013, the objectives of section 8 have been restricted to social welfare, to promote education, science, arts, sports and other related objects.

Step 2: Apply for DSC

As the registration process of sec 8 company is 100% online, hence all the directors of the company must need a DSC i.e. Digital Signature Certificate. It will be obtained within 24 hours & includes the 3 simple verifications, which are Document Verification, Video Verification and Phone Verification. 

Step 3: Name Approval

After that, you should apply for the name approval via SPICe RUN. You should remember that the name of your company must be unique and does not identical to any other existing name. You can check the availability of the name on the MCA portal.

Step 4: Section 8 Company License

Before going for the registration of Sec 8 Company, you need to obtain a license of section 8 company issued by the Central Government. To apply for the license, you should have to file the form INC 12 online on the official website of MCA, i.e. Ministry of Corporate Affairs, after which the Central Government will grant you the license in form INC 16.

Step 5: Filing the SPICe Form

After that, you should have to fill out the SPICe Form for company registration. This form mainly includes the following details-

• Details of the company
• Details of the members & subscribers
• Application of the DIN, i.e. Director Identification Number
• Application for PAN & TAN of the company
• Declaration by the directors & subscribers
• Declaration & certification by the professionals. 

Step 6: Filing of MoA & AoA

Then, you should file the SPICe e-MoA & e-AoA forms at the time of registration. In MoA, you should have to define the goals & objectives of your company. In AoA, you should have to define the rules & regulations related to the management & internal structure of your company.

Step 7: Issuance of PAN, TAN, & Certificate of Incorporation (COI)

PAN, TAN, & COI, i.e. Certificate of Incorporation of your company, will be issued by MCA (Ministry of Corporate Affairs) after the approval of all the documents mentioned above. 

Step 8: Bank Account Opening

At last, you must have to open a current bank account with the name of your company using the above-provided documents.

The steps mentioned above will be included in the Section 8 Company Registration Online process. You must have to follow all the steps properly to register Section 8 Company India.

Documents required for Section 8 Registration

For Directors

• Copy of Aadhaar Card of all the directors
• Copy of PAN card of all the directors
• Email address & contact number of all the addresses
• Passport size photo of all the directors
• Updated bank statement of saving account of all the directors (not older than 2 months)
• Copy of passport of directors (in case of foreign national or NRI)

For office address

• Electricity bill of office address (not older than 2 months)
• Rent agreement of office (if available)
• NOC given by the Office Owner

Why should you choose LegalPillers for Section 8 Registration?

LegalPillers is the best partner for the registration of the sec 8 company. With our expertise & personalized solutions, we will make the journey of section 8 company registration smooth & stress-free. We will establish your sec 8 company with ease & efficiency. Here are the reasons why you should choose LegalPillers:

• Team of experts

At LegalPillers, we have professionals with the expertise in section 8 company registration. We understand the legal complexities involved in the formation of sec 8 company registration. Our team of experts have great experience in the field of sec 8 registration. We will make sure that your registration journey of sec 8 company will be smooth & efficient.

• Personalized guidance

The team of LegalPillers works with the commitment to providing personalized guidance throughout the process of registration of the sec 8 company. As we know, every business is unique, so we provide tailored solutions for your unique needs. From the initial consultation related to document preparation & filing, our dedicated team works with you so that your needs can be fulfilled & you can achieve your goals.

• Simplify the process

The process of section 8 company registration is very complex as it includes the various legal formalities & documentation. LegalPillers simplifies this complex process and provides you with a hassle-free experience. Our efficient work & systematic approach make sure that your sec 8 company registration will be completed accurately & timely.

• Transparent pricing

At LegalPillers, we believe in transparency, including pricing transparency. Our fee structure for section 8 company registration is clear & straightforward, with no hidden costs. LegalPillers allows you to budget effectively & avoids any unexpected expenses. You can trust us that you will get a fair & competitive price without any compromise on quality or service.

• Continuous Support

Our commitment to client satisfaction does not end at the registration of the sec 8 company. LegalPillers will provide the continuous support & assistance and make sure that your company will remain compliant with the relevant regulations & requirements. Whether it is about the annual filings, changes to company structure, or any other legal/financial-related matters, our knowledgeable team is here to help you. With the help of LegalPillers, you can navigate the complexities of corporate governance with confidence & peace of mind.

Here are the reasons why you should choose LegalPillers as your ultimate partner for the registration of Section 8 Company. Trust us to establish your section 8 company with ease & efficiency and make your registration journey smooth and stress-free.

Conclusion

Sec 8 Company basically includes the NGOs or Non-Profitable Organizations and has a number of benefits as discussed above. So, if you want to do something for social welfare, then you can start a Section 8 Company. The Section 8 Registration might be a little stressful but don’t worry, we will do the hassle-free registration of your sec 8 company. LegalPillers is here to help you in fulfilling your dream without any stress.

So, if you want to register a Section 8 Company in India, contact us and choose LegalPillers as your trusted partner.

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