Strengthen Your Company by Company Registration in Ghaziabad
Posted: Jul 06, 2020
The section 8 is dedicated to the registration for charitable purposes. It is similar to Trusts and Associations.
A Non-profit Company or Section 8 Company is a Company has the following features:
- The object of the company should be promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other object.
- It should have intentions of using its profits, if any, or other income in promoting its objects; and
- It should prohibit the payment of any dividend to the members of the company.
the eligibility for incorporation of a section 8 company is that, it should have a minimum of two persons having ages more than 18 years. It is essential for atleast one of the constitutors of the company is a citizen of India.
Section 8 Company Registration
A non-profit organization in India registration is done as a Trust. the execution is done as a Trust Deed or society under the Registrar of Societies. it can also be done as a non-profit organization under section 8 of the Companies Act, 2013. Under the new Company Act, 2013, the section 25 has now become section 8.
Procedure of section 8 company
The process of section 8 company registration is very similar to private limited company registration. there should be minimum 2 directors for starting a section 8 company. Among them one of the directors should be Indian citizen as well as resident. the company should also have a registered office address in the Indian geographical area.
Procedure for Incorporation of Section 8 Company under Companies Act, 2013
1. Application for name availability in form RUN
The section 8 company has to file an application for reserving a name of the company. it has to file aReserve Unique Name (RUN) for the government. The name of the company should include the words likeFoundation, Forum, Association, Federation, Chambers, Confederation, Council, Electoral Trust, etc. A minimum of two names can be proposed and once resubmission is allowed in the RUN facility. The charges for run is Rs. 1000.
2. Preparation of Memorandum of Association and Articles of Association
The Memorandum of association and Memorandum of Association has to be filed by the section 8 company by filling the form INC-13. There is no prescribed format for Article of Association for section 8 company hence, they can adopt table F provision.
For the online registration of section 8 company, both the Memorandum and articles of association of the company will be signed by each subscriber of memorandum. It is only for those who shall mention his name, address, description and occupation, in the presence of at least one witness. The witness also shall attest the signature and sign and add his name, address, description and occupation.
3. Application in Form INC-12
After the approval of name of CRC, attain the license under the sub-section (1) of section 8. for apply using Form INC-12 to the registrar. the fees is Rs. 2000.
- MoA and AoA
- declaration in Form INC-14 by CS/CA/CWA in practice.
- Declaration by each memberapplying in Form INC-15
- Declaration by each of the persons making the application in Form INC-15.
- An estimate of the future annual income and expenditure of the company for next three consecutive years.
- Name Approval Letter received from CRC
- Attachment of form INC-12.
4. Filing of SPICe 32 Form
once the central government approves the form INC-12, the section 8 company registration has to fill the form SPICe 32.
these attachments are necessary:
- Memorandum of Association in Form INC-13
- Articles of Association; (No Specified format)
- Consent and Declaration by first Directors in form DIR-2
- Affidavit by first subscriber in form INC-9
- PAN card of first directors and subscribers
- Aaadhar card of first directors and subscribers
- Proof of Registered office like Sale Deed/Lease Deed/Rent Agreement etc
- Latest Utility Bill of Registered office like Electricity Bill
- NOC of owner/director if registered office is taken on rent/lease
- License issued in form INC-16
Kavita is working as a consultant at a legal services in India. She is also an experienced and passionate writer who has been written many Blog and websites' content about Company registration and Trademark registration in India.