Section-8 Company Registration

A Section 8 Company can not distribute profits as dividends among its members. Rather, it is mandatory for a section 8 company to apply the surplus only for the promotion of its social objects only.

Section 8 companies are exempt from paid up capital rules of Companies Act. Thus, There is no minimum amount of capital prescribed for the Section-8 Company.

Minimum two members are required to form a Section 8 Company as a private limited company. For incorporating Section 8 Company as a public limited comany, minimum three members are required.

Yes, an NRI or Foreign National can be a Director in a Section 8 Company after obtaining Director Identification Number. However, at least one Director on the Board of Directors must be an Indian citizen and a resident.

No, an OPC cannot be incorporated as a Section-8 Company.

No, an OPC is not eligible to become member of a Section-8 Company as OPC is not allowed to invest in any securities of body corporate.

Yes. As per rule 8(7) of the Companies (Incorporation) Rules 2014 for the Companies under Section 8 of the Act the name shall include the words foundation/ Forum /Association/ Federation and the like etc.

Yes, a Trust or cooperative society can become member of a Section-8 Company.

No, Company incorporation has nothing to do with 12A or 80G. Section-8 Company shall have to apply for 12A or 80G separately through online portal of Income Tax Department after allotment of PAN.

FDI in Section 8 Companies is permissible, as the same is considered as a Foreign Contribution in terms of FCRA, it can be infused only with prior permission/registration from the central government.

• Application for Name Approval (online RUN WEB Application on MCA Portal)- The name of company shall include the words Foundation, Forum, Association, Federation, Chambers, Confederation, Council, Electoral Trust etc. Fee for RUN is Rs. 1000.  
• Obtaining DSC (Class-2) and DIN as required above. However, in new companies DIN can be obtained within SPICe + facility.
• Preparation of MOA in Form INC-13 and AOA (no prescribe form but you may adopt Table-F); MOA and AOA to be signed by each subscriber in presence of at least 1 witness.
• Application in Form No. INC-12 to ROC for a license u/s 8(1) of the Companies Act, 2013 along with prescribed fees. Following are to be attached with INC-12:
  MOA in Form INC-13.
  • AOA (no specified format)
  • Declaration in Form INC-14 by CS/CA/CMA in practice that the draft MOA/AOA is in conformity with provisions of Section-8 and their rules
  • Declaration in Form INC-15 by each of the person making application for license that the MOA/AOA are in conformity with provisions of Section-8 and all requirements relating to registration of company u/s 8 have been complied with
  • An estimate of future annual income & expenditure for next 3 years, specifying the source of income and objects of expenditure
  • Name approval letter
• On approval of Form INC-12, license under section-8 will be issued in Form INC-16 which will be attached with form SPICe
• Filing of Form SPICe 32 where following are to be attached:-
  • MOA & AOA
  • Consent & declaration by First Directors in DIR-2
  • Affidavit by First subscribers in Form INC-9
  • PAN and Aadhar of first directors and subscribers
  • Proof of registered office- NOC of owner/Sale deed/lease deed/ rent agreement along with latest utility bill;
  • License issued in Form INC-16

Note: Section-8 companies are compulsorily required to file AOA & MOA as PDF attachments to SPICe-32 as such e-MOA & e-AOA cannot be used.

On successful submission of the SPICe32, ROC will allot a unique CIN and certificate of incorporation.

The cost varies based on the specific requirements of your company. Taxwink offers affordable, transparent pricing with no hidden fees.

The process generally takes 10-15 days, depending on the completeness of documents and the approval time from the Registrar of Companies.

No, once a Section 8 Company is registered, it cannot be converted into a profit-making company. However, it can be closed under certain conditions like liquidation or winding up.

Taxwink provides Section 8 Company registration services at a very affordable charges. The charges may vary based on reuqirements and paid up capital. The packages start from INR 12,000.

Taxwink is providing Section 8 company registration in Jaipur at best and at most effective prices. You can also avail section 8 company compliance services in best professional manner.