Section 8 Company registration — the serious way to run a non-profit.
The most credible legal structure for an NGO or non-profit in India — limited liability, transparent governance, and the tax benefits donors look for. We handle the Central Government licence and the full incorporation, end to end.
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What is a Section 8 Company?
A Section 8 Company is a company registered under Section 8 of the Companies Act, 2013, for a charitable or not-for-profit purpose — promoting education, social welfare, science, sports, the environment, or similar objects of public utility. It works like a normal company but with one defining rule: its profits can never be distributed to members. All income must be applied toward its stated objectives.
It's the most respected of India's non-profit structures because it carries a company's governance and transparency — which is exactly why donors, CSR funders and government agencies tend to prefer it over a Trust or Society. Uniquely, a Section 8 Company is licensed by the Central Government and is permitted to drop "Limited"/"Private Limited" from its name.
Your entity choice shapes how much donors and CSR funders trust you, how easily you can operate across states, and how much governance you carry. Getting it right at registration is far cheaper than restructuring a Trust or Society into a company later.
Section 8 vs Trust vs Society — why founders pick Section 8
India recognises three main non-profit vehicles. A Trust is simple but offers weak governance and limited credibility. A Society needs members across states and can be cumbersome to run. A Section 8 Company brings corporate-grade governance, pan-India operation from a single registration, and the strongest standing with serious funders — at the cost of somewhat higher compliance.
| Factor | Section 8 Company | Trust | Society |
|---|---|---|---|
| Governing law | Companies Act, 2013 | Trusts Act | Societies Registration Act |
| Governance | Strong (corporate) | Weak | Moderate |
| Credibility with funders | Highest | Lower | Moderate |
| Pan-India operation | Yes, single registration | Varies | Often state-bound |
| Compliance load | Medium–High | Low | Medium |
What you need to register
Requirements for a private-limited Section 8 Company:
- Minimum 2 directors and 2 members (they can be the same people). A public Section 8 needs 3 directors and 7 members.
- At least one director resident in India (present 182+ days in the preceding financial year).
- No minimum capital — you can start with any amount suited to your activities.
- A clearly charitable object — your goals must fall squarely within Section 8's permitted purposes.
- Central Government licence — approval is required before incorporation (we obtain this as part of the process).
- Foreign nationals may be directors, provided at least one director is a resident Indian.
How registration works
1. DSC & DIN
Digital signatures and director IDs for all directors, filed in parallel so nothing sits idle.
2. Name approval
We reserve a name aligned with your charitable object via the MCA's RUN/SPICe+ service.
3. Section 8 licence
We apply for the Central Government licence with the draft MoA (Form INC-12, integrated via SPICe+), including the required declarations and projected income/expenditure.
4. Incorporation
SPICe+ is filed with MoA & AoA drafted specifically for a non-profit object.
5. PAN, TAN & bank
Issued together with incorporation; we help you open the account.
6. 12A & 80G
We apply for these tax-exemption registrations so the entity and its donors both get the benefits (see below).
Longer than a normal company — often ~15–20 working days — because of the Central Government licensing step. Worth it for the credibility it buys.
Thinking about starting a non-profit?
We'll help you choose the right structure and handle the Section 8 licence end to end.
Documents you'll need
- PAN & Aadhaar of all directors and members.
- Passport-size photographs of each director.
- Address proof — a recent bank statement or utility bill.
- Registered-office proof plus a No Objection Certificate (NOC) from the owner.
- Proposed name options aligned to your charitable object.
- A note on objects and proposed activities — used for both the MoA and the licence application.
- Projected statement of income & expenditure — required for the licence.
12A and 80G — the reason to do this properly
Two registrations under the Income Tax Act make a Section 8 Company genuinely tax-efficient — and much more attractive to donors (see our full 12A & 80G explained guide):
- 12A — exempts the company's own income from tax, provided it's applied to its objects.
- 80G — lets your donors claim a deduction on what they give you, which materially improves fundraising.
We apply for both immediately after incorporation. If you intend to receive foreign contributions, you'll also need FCRA registration — we advise on eligibility and timing.
Ongoing compliance
A Section 8 Company carries real, corporate-grade compliance — which is what underpins its credibility. Expect annual ROC filings, board meetings and minutes, a statutory audit, an income-tax return, and — if applicable — 12A/80G renewals and FCRA returns. On dissolution, any remaining assets must transfer to another Section 8 Company with similar objects; they can't go to members. We handle the full calendar so nothing lapses. For exact registration and retainer pricing, see our pricing page or get an itemised quote on a call.
Section 8 rules and thresholds (licence forms, 12A/80G, FCRA) do change periodically. We keep this page current, and our CAs confirm the latest forms and any state-specific nuances before we file for you.
Get a clear recommendation.
Tell us about your cause and we'll confirm Section 8 is the right structure — then handle the licence and registration end to end.
Frequently asked questions
Can a Section 8 Company make a profit?+
Can the founders/directors draw a salary?+
Is there a minimum capital requirement?+
How is it better than a Trust or Society?+
How long does registration take?+
Can it receive foreign donations?+
Compare or continue
Compare alternatives
Private LimitedIf any commercial activity is involved→ All registration typesCompare every entity we register→What comes next
ComplianceOngoing NGO compliance, handled→ AccountingClean, donor-ready books→More registration guides
Ready to register your Section 8 Company?
Share your cause and preferred name options — we'll handle the licence and incorporation end to end.