{"id":8330,"date":"2025-07-02T06:27:57","date_gmt":"2025-07-02T06:27:57","guid":{"rendered":"https:\/\/companyregistrationonline.in\/blog\/?p=8330"},"modified":"2025-07-02T06:27:58","modified_gmt":"2025-07-02T06:27:58","slug":"clear-section-8-company-registration-guide-for-new-entrepreneurs","status":"publish","type":"post","link":"https:\/\/companyregistrationonline.in\/blog\/clear-section-8-company-registration-guide-for-new-entrepreneurs\/","title":{"rendered":"No Drama Just Clear Section 8 Company Registration!"},"content":{"rendered":"\n<p>The structure of Section 8 was designed for a non-profit organization. The aim was for registration in India to promote art, science, charitable activities, and other operations, including the profit gained by such companies, which they used for further activities. It means the amount they gain as profit is not divided among the members. If you are also an inspiring social helper and want to promote social welfare, then company registration is the best option. In this comprehensive guide, we will discover the route for <a href=\"https:\/\/companyregistrationonline.in\/blog\/ngo-section-8-company-registration-legal-process\/\">Section 8 company registration<\/a>, the process, benefits, registration cost, and much more. If you are seeking the same, then you have arrived at the correct page.&nbsp;<\/p>\n\n\n\n<p>Let&#8217;s explore it more deeply.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What is a Section 8 company registration in India?<\/strong><\/h2>\n\n\n\n<p><\/p>\n\n\n\n<p>The business structure for the <a href=\"https:\/\/companyregistrationonline.in\/section-8-company-registration\/\">online Section 8 company<\/a> is regulated by the Companies Act of 2013. The companies that register in this structure work for education, sport, research, environmental, charity, or social welfare. Their main objective is to promote and encourage people on a specific topic that enhances a community environment. The members of such a company invest in reaching their goals.<\/p>\n\n\n\n<p><strong>Also Read: <\/strong><a href=\"https:\/\/companyregistrationonline.in\/blog\/section-8-company-registration-for-entrepreneurs\/\">Legally Register Your NGO as a Section 8 Company in India<\/a><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Who is eligible for Section 8 company registration?<\/strong><\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>Any individual, association, or group can form a section 8 business who are seeking to work for charity or social welfare. Here is the breakdown for eligibility:<\/p>\n\n\n\n<p><strong>Individuals or Associations:<\/strong> A group of individuals or a single person can apply for business registration online.&nbsp;<\/p>\n\n\n\n<p><strong>Non-profit Objectives: <\/strong>A company that wants to promote activities that are beneficial for society, such as science, education, or the environment, can apply for <strong>Section 8 company formation<\/strong>.<\/p>\n\n\n\n<p><strong>No profit Distribution: <\/strong>The people are seeking profit for their personal use and cannot apply for Section 8 company registration. The <a href=\"https:\/\/companyregistrationonline.in\/blog\/know-who-can-register-section-8-company-legally\/\">registered Section 8<\/a> companies are not allowed to divide their profits among their members or directors.<\/p>\n\n\n\n<p><strong>Central Government Approval:<\/strong> As the structure of the company is designed for community benefits, the approval of the government is mandatory. But the government only approves when they are satisfied with a company&#8217;s objectives.<\/p>\n\n\n\n<p><strong>Two Members:<\/strong> For a non-profit company registration, it must have at least two members.<\/p>\n\n\n\n<p><strong>Resident Director:<\/strong> Among the two directors, one of them must be an Indian citizen.<\/p>\n\n\n\n<p><strong>Also Read: <\/strong><a href=\"https:\/\/companyregistrationonline.in\/blog\/section-8-registration-pune-youth-entrepreneurs\/\">Helping Social Entrepreneurs in Pune Register Their Section 8 Company<\/a><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Supported Documents for Section 8 Registration<\/strong><\/h3>\n\n\n\n<p><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>This includes the\u00a0 Articles of Association and Memorandum of Association, and the<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Applicant identity proof like PAN card, Aadhaar card, passport, or driving license.<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Address proof of the applicant, such as a bank statement, utility bill, or electricity bill (not older than 2 months).<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The passport-sized, clear, and recent photographs.<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Additionally, the Digital Signature Certificate and the Director Identification Number are required.<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Registered office proof, including NOC from the landlord if the organization is on rent.<\/li>\n<\/ul>\n\n\n\n<p><strong>Note:<\/strong> Before submitting the documents, they must ensure that their details.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>The Steps for Section 8&nbsp; Company Incorporation<\/strong><\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>For Section 8 <a href=\"https:\/\/companyregistrationonline.in\/\">company registration in India<\/a>, which acts as a non-profit organization, there are multiple steps. The business registration online involves:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Steps&nbsp;<\/strong><\/td><td><strong>Process Explanation<\/strong><\/td><\/tr><tr><td>Step 1: Obtain Digital Signature Certificates (DSCs)<\/td><td>All designated or going-to-be company directors need to obtain the DSC. This can be obtained from the authorized agencies. The DSC enables directors to electronically sign various incorporation documents.<\/td><\/tr><tr><td>Step 2: Obtain Director Identification Number (DIN)<\/td><td>Directors must submit an application for a DIN using Form DIR-3. Register it with the ROC. After the application approval, the authority allocates a DIN to you.&nbsp;<\/td><\/tr><tr><td>Step 3: Reserve the Company Name<\/td><td>Form your non-profit company, choose a unique name, and file an application for its reservation. Register the name with the ROC by using the Form INC-1. At least provide the six names to select one appropriate for approval.<\/td><\/tr><tr><td>Step 4: Prepare Legal Documents<\/td><td>According to Section 8 company requirements, gather the necessary documents like AoA, MoA, declaration in Form INC-14, and other required certificates.<\/td><\/tr><tr><td>Step 5: File Incorporation Application&nbsp;<\/td><td>To obtain the Section 8 license, use the Form INC-12 and register it with the ROC, including attaching the important documents. To streamline the process, combine all the forms into a single SPICe+ form.&nbsp;<\/td><\/tr><tr><td>Step 6: Incorporation Certificate and License<\/td><td>ROC will verify the application and the documents. Upon approval of the application, the Registrar of Companies (ROC) will issue a Certificate of Incorporation. A license will also be issued in Form INC-16.&nbsp;<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Section 8 Company Act for Donations or Funding<\/strong><\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>The act for the <a href=\"https:\/\/www.legalraasta.com\/section-8-company-registration\/\">Section 8 company<\/a> was published under the Companies Act, 2013. In addition, for activities, the non-profit companies are allowed to take donations and funding from multiple locations, including domestically and internationally.\u00a0<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>The non-profit organizations that are registered as Section 8 companies can accept donations from individuals and other sources.<\/li>\n<\/ol>\n\n\n\n<ol start=\"2\" class=\"wp-block-list\">\n<li>They have the power to receive grants from both national and international governments and non-governmental organizations.\u00a0<\/li>\n<\/ol>\n\n\n\n<ol start=\"3\" class=\"wp-block-list\">\n<li>Such companies are not eligible to collect a membership fee from their members to join them in their organization.<\/li>\n<\/ol>\n\n\n\n<ol start=\"4\" class=\"wp-block-list\">\n<li>Under the Corporate Social Responsibility (CSR), non-profit organizations can collect funding from corporations.<\/li>\n<\/ol>\n\n\n\n<ol start=\"5\" class=\"wp-block-list\">\n<li>To collect international donations, you need to obtain FCRA registration.<\/li>\n<\/ol>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Final Remarks | Online Section 8 Company formation in India<\/strong><\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p>For those who are seeking to establish an organization for charity work, they can apply for Section 8 company registration. It offers multiple benefits, including tax exemption, no minimum capital required, acting as a separate legal entity, boosting credibility, and having no requirement for a title. The <strong>business registration online process<\/strong> can be streamlined with a trusted partner. Proceed to register your company now as a non-profit organization dedicated to social welfare.<\/p>\n\n\n\n<p><strong>Also Read: <\/strong><a href=\"https:\/\/companyregistrationonline.in\/blog\/full-checklist-for-online-business-registration-in-india\/\">Go Live with Your Business in India &#8211; Online Registration in 3 Easy Steps<\/a><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>FAQ | Section 8 microfinance company<\/strong><\/h3>\n\n\n\n<p><\/p>\n\n\n\n<p><strong>1. How much capital is required for a Section 8 company formation?<\/strong><\/p>\n\n\n\n<p>Ans. A Section 8 company can be formed for any amount. This is that there is no minimum capital requirement bar fixed.&nbsp;<\/p>\n\n\n\n<p><strong>2. Under which section the non-profit organizations are allowed to borrow money?<\/strong><\/p>\n\n\n\n<p>Ans. According to Section 179 of the Companies Act, 2013, a Section 8 company is permitted to borrow funds.<\/p>\n\n\n\n<p><strong>3. What is one major drawback of a non-profit company?<\/strong><\/p>\n\n\n\n<p>Ans. The Section 8 companies are restricted from distributing the profit to their members.<\/p>\n\n\n\n<p><strong>4. When is the GST certificate required for a Section 8 company?<\/strong><\/p>\n\n\n\n<p>Ans. If non-profit organizations are involved in commerce and trade, they need a GST.&nbsp;<\/p>\n\n\n\n<p><strong>5. Can an OPC be converted into a Section 8 company?<\/strong><\/p>\n\n\n\n<p>Ans. No, as per Rule 3 of the Companies Rules, 2014, one-person companies are restricted from converting into a Section 8 company.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The structure of Section 8 was designed for a non-profit organization. The aim was for registration in India to promote art, science, charitable activities, and  [&#8230;]<\/p>\n","protected":false},"author":5,"featured_media":8331,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[934,557,558,561],"tags":[990,991,944,957,974],"class_list":["post-8330","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-company-articles","category-company-registration","category-section-8-company","tag-business-registration-process-online","tag-company-section-8","tag-new-company-registration","tag-online-company-registration-process-in-india","tag-section-8-2"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>No Drama Just Clear Section 8 Company Registration!<\/title>\n<meta name=\"description\" content=\"Section 8 company registration process is very simple. 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If you want to start your NGO or social venture then read this blog.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/companyregistrationonline.in\/blog\/clear-section-8-company-registration-guide-for-new-entrepreneurs\/\" \/>\n<meta property=\"og:site_name\" content=\"Company Registration Online\" \/>\n<meta property=\"article:published_time\" content=\"2025-07-02T06:27:57+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-07-02T06:27:58+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/companyregistrationonline.in\/blog\/wp-content\/uploads\/2025\/07\/No-Drama-Just-Clear-Section-8-Company-Registration.png\" \/>\n\t<meta property=\"og:image:width\" content=\"767\" \/>\n\t<meta property=\"og:image:height\" content=\"320\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Adarsh Kapoor\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Adarsh Kapoor\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/companyregistrationonline.in\/blog\/clear-section-8-company-registration-guide-for-new-entrepreneurs\/\",\"url\":\"https:\/\/companyregistrationonline.in\/blog\/clear-section-8-company-registration-guide-for-new-entrepreneurs\/\",\"name\":\"No Drama Just Clear Section 8 Company Registration!\",\"isPartOf\":{\"@id\":\"https:\/\/companyregistrationonline.in\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/companyregistrationonline.in\/blog\/clear-section-8-company-registration-guide-for-new-entrepreneurs\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/companyregistrationonline.in\/blog\/clear-section-8-company-registration-guide-for-new-entrepreneurs\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/companyregistrationonline.in\/blog\/wp-content\/uploads\/2025\/07\/No-Drama-Just-Clear-Section-8-Company-Registration.png\",\"datePublished\":\"2025-07-02T06:27:57+00:00\",\"dateModified\":\"2025-07-02T06:27:58+00:00\",\"author\":{\"@id\":\"https:\/\/companyregistrationonline.in\/blog\/#\/schema\/person\/391d9876bf316fe4b0d846122ace539b\"},\"description\":\"Section 8 company registration process is very simple. 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