Section 8 Company Registration in Bengaluru Online

Procedure For Section 8 Company Registration

Complete our Simple
Form

You are required to fill in the details in our simple questionnaire and submit documents..

Obtain DSC
DIN for us

Obtain DSC
DPIN for us

We will provide you with DSC and DIN. To proceed further, you need to give your approval.

Verifcation &
Name Approval

For further procedures, details provided by you will be verified by our experts.

Document
Submission

We will create all the required documents and file them with ROC on your behalf.

Get Confirmation By
our Team

Once your company is incorporated, we shall send you all the documents and DSCs.

Package Included

DIN for 2 Partners

Digital Signature For 2 Directors

Name search & approval

Registration Fees & Company Pan Card

MOA/AOA

Steps for Section 8 Company Registration

Applying for Digital Signature of Director (DSC)

DSC is an equivalent of the physical or paper certificates in their digital format. The process of incorporation begins with applying for the DSC because the application for the Section 8 Company is filed online with the DSC of the director only. To issue a DSC, a signed application form with a photo, ID, and Address proof of the director is submitted.

Applying for Direction Identification Number (DIN)

Director Identification Number is a permanent and unique identification number issued to the Director of a company or a designated partner of the LLP. by the Registrar of Companies. By the New Companies Act, 2013 – no person can hold an office of the director without having a DIN. An application to the ROC is made with a photo, attested ID, and address proof duly signed by a practicing professional, a CA/CS/CMA for the allotment of DIN.

Issue of the Central Government License

An application is made to the Regional Director of the Ministry of Corporate Affairs accompanied by the statement of the proposed objective of the to be incorporated company and a complete projection of the profits and losses of the succeeding three years i.e., the statement of assets and the liabilities. The Regional Directors are vested with unrestricted powers to approve the license application.

Drafting of the MoA and AoA of the Company:

The Memorandum of Association (MoA) of the Section 8 Company includes all the information about the company such as the Name of the Company, state of company incorporation, details of the authorized capital, and declaration of the company about being it a limited company. The Article of Association (AoA) accommodates all the internal rules of the organization. The promoters must adopt and sign the MoA and AoA before it could be filed with the ROC.

Company Incorporation

Once your application is filed you will receive an ARN number. The Incorporation certificate is received within 15-20 days. It is proof that the company has been created. The COI also includes your CIN (Company Identification number).

Opening of a Company Bank Account

A company must have a bank account to operate its business. Our expert executives are here to help you in getting the company PAN, TAN, and TDS payment compliance to help you open the company bank account.

Benefits of a “Section 8 Company” Registration in Chennai

Bengluru is one of the largest IT services exporters in India. Famous tech companies such as wipro and Infosys have Headquarters there. This city is the treasure of engineering and analytical talent which is essential for the startups. Leading educational institutes are also there.

Opportunities

If we say about the opportunities in Bengaluru, there is largely young tech talent available there. Many big educational institutes such as IISc, IIMB, NID R&D campus, etc are there. There are a rich atmosphere and social life. So, it brings out many opportunities to startups as well as a small business

Growth

Many startups moved to the Bengaluru Due to its startup ecosystem in the city. Big companies such as Ola and Flipkart moved to this city although they have started business in Mumbai. The infrastructure of that city is very good as compared to other cities.

VC Financing

Just like a startup needs an idea to be born, it needs money to grow big. Venture capital is financing that investors provide to startups and small businesses that are believed to have long-term growth potential. For startups without access to capital markets, venture capital is an essential source of money. Accel Partners, Artiman Ventures, Ascent Capital Advisors, etc are the active VC financers of the Bengaluru.

Ease of doing business

According to India’s Business Reform Action Plan, 2017 – a joint initiative between the World Bank and the Department of Industrial Policy and Promotion (DIPP) – the state of Karnataka is the 6th best Indian state in terms of ease of doing business, up from ranking 13th in 2016.

Advantages

Numerous Tax exemptions are given to the Section 8 Companies. The donors who are donating to a Section 8 Companies are eligible to claim the Tax Exemption against the donation they’ve made to the association.

The incorporation procedure of a Section 8 Company does not state any minimum capital requirement unlike other such entities such as public limited and alike. The capital structure can be altered at any stage as per the growth requirements of the company.

A Section 8 Company is exempted from the stamp duty payment that is otherwise applicable for registration of other structures such as private limited or a public limited company.

A Section 8 Company has its separate legal identity analogous to other company structures and has it’s own legal standing apart from its members. It has perpetual existence.

Compared to any other Non Profit organization structure such as Trust or a Society, a Section 8 Company has more credibility owning to the license given by the central government. Alongside a Section 8 Company has to follow more stringent regulations such as no change can be undertaken in the MOA and AOA at any stage or situation. There is a more reliable image of a Section 8 Company due to such strict compliances in comparison to other legal structures.

Unlike the name requirement in other company structure, the Section 8 Company does not require a use of a suffix next to its legal name.

Documents Required

For Directors/Shareholders

PAN Card of owner
Passport size photograph of Directors
Copy of Aadhaar Card/ Voter identity card of directors
Copy of Rent agreement(If rented property)
Electricity/ Water bill (Business Place)

For Registered Office

Ownership Proof (House Tax etc.) or Rent Agreement
Utility Bill (Gas Bill, Electricity Bill)
NOC(from owners – if the premises is rented)

Minimum Requirements for Section 8 Company Registration

Minimum of 2 Shareholders
Minimum of 2 Directors ( Both Shareholders and DIrectors can be the same people )
At least one Director should be an Indian Resident
No requirement of the Minimum Capital
PAN issued by the Income Tax Department is a mandatory requirement for Indian Nationals
Passport is a mandatory requirement for identity proof in case of Foreign Nationals
Any one additional Identity Proof – Voter ID/ Aadhar Card/ Driving License/ Passport is required.
Anyone Residential Proof i.e. any of the utility bill – Electricity Bill/Bank Statement/Telephone Bill/Mobile Bill
Proof of the Registered Office Address:
In the case of a rented property, a rent Agreement along with the latest rent receipt, a copy of the latest utility bill in the name of the landlord, and a no-objection certificate from the premises’ owner is a compulsory requirement.
In case the premises are owned by the Director or the Promoter then any documents that prove the owners’ establishment such as a Sale Deed/House Tax Receipt and a No Objection Certificate.

Factors to be Considered in Section 8 Company Name Selection

The Name of Section 8 Company should comply with the following:

Short and Simple Name
A Meaning and Unique Name
It shouldn’t violate any law
It shouldn’t use the term “British India”

FAQ

Company formed for the promotion of a social cause be it for “charity, education, industry, sport, etc.” is called a section 8 company. • Income and profits earned by this company should be used for purpose or object to promote the cause for which the company was set up. • No dividend shall be paid to it’s members.

A Section 8 Company is at first to be registered in the same way as a limited company. After the registration procedure, it needs to obtain a license from the Central Government to be registered under this Section. This license is provided on the basis of the Company’s objectives which have been mentioned in “MoA and AoA” and some other criteria. “LegalRaasta” provides services and assistance to help you conveniently get your business registered as a Section 8 Company.

Our fees to register a Section 8 Company start from only Rs.12,999/- Being the lowest fees charged, for the long list of services and consultancy provided. The applicable fee, vary from company to company, depending on the structure and other factors.

The main goal of “LegalRaasta” is to give you a hassle-free experience. Therefore, the process to get your Section 8 Company registeration, has been simplified too. 1. Just get registered with us in the form provided above. By answering a few simple questions. 2. We'll apply for DIN & DSC for the Directors. The application will need their passport-sized photographs, attested ID & Address proof. 3. Based on your requirements and preferences, we'll suggest unique names (not matching any existing ones) for your Company. Once you give us a go-ahead, we'll apply for the name approval. 4. We'll apply for the license under Section 8 from Central Government. Along with that, we will obtain the COI (Certificate of Incorporation). 5. On receipt of the License, we'll apply for and send you the PAN & TAN on receipt.

The below documents are needed for the registration of the Section 8 Company: • DSC & DIN of the Directors. • Director's ID proof and Address proof. • Objectives and projected work of the Company. • Financial statements like assets and liabilities, the proposal for 3-years, etc. • Registered office address documents.

Yes, A Section 8 Company can be converted into a private limited company after taking approval from ROC.

The annual compliances that need to be met by a Section 8 Company are the same as other normal companies which are registered under the Companies Act. 1. Conducting 2 Board Meetings, at least, in a year. 2. Mandatory audit of the Books of Accounts. 3. Annual returns, along with other e-filing forms such as MGT-7, AOC-4, etc. 4. Income tax returns. 5. Additional compliances to fulfill the registration under section 12AA, 80G, of the Income Tax Act, applicable to donations, etc.

No. A promoter of NPOs cannot be employed as a paid employee of the Company.

Foreign donations are allowed only when FCRA (Foreign Contribution Regulation Act 1976) registration has been done. FCRA license can only be applied after 3-years from the date of registration. However, if some really urgent foreign donations are necessary, then you may apply for prior permission from the commissioner.

Yes, a Section 8 Company can invest in another company. This can be done to meet the objectives of it’s formation.

Yes, a section 8 company can form a subsidiary company which plans to make profits.