Section 8 company is a concept that combines the lead of a NGO and a Corporate. It provides an substitute to the promoters to move forward the idea of Social cause on a much larger scale. Giving NGO a corporate form has various benefits higher than the times which can be en cashed by incorporating a Section 8 Company.
We have incorporated several Section 8 companies in Latehar which are dynamic in various fields for the welfare of public at large. Our amalgamation service includes Name Selection, Memorandum Drafting and Company Registration. We have the funds for our clients best in class services in view of that that they are not troubled with any non agreement during the initial stages of there growth. In Latehar we accept a maximum of 10 days get older to incorporate a Section 8 Company.
WHAT IS SECTION 8 LICENSE?
Generally herald of a company ends as soon as word Limited or Private Limited, but Companies Act, 2013 provides for a license under Section 8 to the companies in action in the social welfare and publicity of Arts, Science, Commerce, Education, Literature etc to have there read out not fade away with the word Limited or Private Limited. These organizations are called as Non-Profit Organizations and there publish may terminate with words taking into consideration Association, foundation etc.
What is a Non-Profit Organization (NPO)?
An paperwork which otherwise of distributing its surplus/profit among its members, applies the same in the fulfilment of its objects. That is they are not allowed to distribute any child maintenance in the form of dividend or gain sharing. Company registered under Section 8 is a Non Profit Organization
Is Section 8 company Public company or Private Company?
Section 8 Company can be incorporated both as a public as without difficulty as private company.
- A minimum of 2 members are required if the company is incorporated below the definition of private company and a minimum of 7 members shall be required if the company is incorporated below the definition of public company.
- An OPC (One Person Company) cannot apply for License below Section 8
DONATION:
A company incorporated under Section 8 can accept donations from public subject to applicability of additional rules and regulations and certification form the Memorandum of Association.
If the Section 8 Company is incorporated below the definition of Public Company it can also add members and take membership press on from such members.
Can a Section 8 Company apply for 12A and 80G Registration?
A Section 8 company like supplementary NGO can apply for 12A and 80G registration with Income Tax Department.
CONVERSION FROM OR INTO SECTION 8 COMPANY:
Any company under the definition of Public or Private company can apply for license under Section 8, and the Ministry of Corporate Affairs can after due assertion of documents and keeping in view anything the formalities, issue license under section 8 of the Act.
Likewise a company registered under Section 8 can convert itself into Public or private Company.