INR 24,999 /- (All Inclusive)
Pursue Your Charitable Goals with Section 8 Company
Go for a trust-like business structure by registering a Section 8 Company and avail various privileges and exemptions. Talk to us today!
On technical front, Section 8 Company carries very much resemblance to Section 25 of the outdated company act. The act permits the government to enroll any business unit with charitable goals such as promotion of sports & culture, commerce, education, and research etc. It is like a limited company without the inclusion of words “Pvt. Ltd.’. It is mandatory that the income made out of the company is used for charitable purpose only.
The role of ROC is very pivotal as it arranges a valid license to all Section 8 companies and keeps them updated about applicable restrictions and conditions. In case of their inability to fulfill these, the government can choose to terminate the license of the company. If fraudulent activities of the Company are verified, legal action can be taken against all membersassociated with the Company.
At Trademark Bazaar, we possess sound understanding of this kind of company setup and provide all necessary support needed for the incorporation of Section 8 Company. Our legal professionals make the incorporate job extremely easy and fruitful for our clients in a satisfactory manner.
Eligibility Criteria for incorporating Section 8 Company
An individual or a group of individuals proposing to be registered under Section 8 of the Companies Act, 2013 as a limited company or guarantee –
(a) the object must be charitable, to promote arts, science, commerce etc.
(b) intends to apply all its profit in promoting the objectives.
(c) Assures the prohibiting of the payment of dividends to any of its members
What is Digital Signature Certificate and what is its role in company setup?
As its name implies, Digital Signature Certificate (DSC) is nothing but a digital signature of a person and is primarily needed for the submission of e-forms of company incorporation electronically to Ministry of Corporate Affairs
Who can be a Director of Section 8 Company?
The person should be of 18+ age. He or she can be a resident or non-resident of India. This means a foreign national can also become a Director of Section 8 Company.
Is there any minimum limit on the number of directors a Section 8 Company can have?
The minimum limit on the number of directors in a Section 8 Company is two.
Is there any need for promoters to be physically available at the time of incorporation?
No, After Electronically form, we required DSC only. No need to present physically.
What is the maximum limit on the number of members a Section 8 Company can have?
In case of Section 8 Company, the minimum limit is two and the maximum limit can be two hundred. (If Section 8 Company form as a Private)
How much minimum capital is required to setup a Section 8 Company?
No minimum capital required as per law but should be in same value.
What is memorandum of association and article of association?
MOA & AOA of the company is meant to list all the rules and regulations and the process flow of company. It also describes all necessary details related to the company's objects, capital, individuality, objectives and working pattern. After the name of the company is chosen, the Memorandum of Association and Articles of Association of the company is needed to be conscripted, the last page of the MOA and AOA is called subscriber sheet and needs to be filled in by the promoters on their own by giving their personal information and shareholding ratio.
Explain the procedure of Section 8 Company incorporation.
Please refer to the below procedure for incorporating a Section 8 Company.
At initial stage, furnish all the required documents given below.
STAGE-2: DIGITAL SIGNATURE CERTIFICATE (DSC – CLASS – II)
The next step is to Apply for DSC. DSC is immensely needed for filling the forms of company registration electronically to Ministry of Corporate Affairs. We can procure it from (verifying agencies).
STAGE-3: DIN (DIRECTOR IDENTIFICATION NUMBER) The Third step is to request for DIN. This Unique Number is assigned to the Directors of the company and remains legal for whole life of the director and is much needed for him or her to become director of the company.
STAGE-4: COMPANY NAME AVAILABILITY
The Fourth stage is to apply Name of the company. This is certainly the most important aspect of company incorporationand must be handled carefully.
STAGE-5: DRAFTING OF MOA & AOA
The Fifth step takes into place once the name of the company gestapproved. The Memorandum of Association and Articles of Association of the company is drafted, and the last section of the MOA and AOA is mentioned as subscriber sheet that needs to be completed by the promoters themselves.
STAGE-6: LICENSE UNDER SECTION 8 FOR NEW COMPANIES WITH CHARITABLE OBJECTS
A person or an association of persons desirous of incorporating a company with limited liability under sub-section (1) of section 8 without the addition to its name of the word "Limited", or as the case may be, the words "Private Limited", shall make an application in Form No.INC.12, INC 13, INC 14 & INC 15 along with the prescribed fee, to the Registrar for a license under sub-section (1) of section 8.
STAGE-7: CERTIFICATE OF INCORPORATION
Aftersubmitting the necessary forms for incorporation with the Registrar of Companies along with fees, ROC gets satisfied with the contents of the documents filed, then ROC issues the License in form No. INC.16 (Certificate of Incorporation) under section 8(1) read with rule 19 of Companies (Incorporation) Rules, 2014. Such company registered under section 8 can enjoy all the privileges and be subject to all the obligations of limited companies.
Is there any compliance applies after the incorporation of Section 8 Company?