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Thinking of Starting an NGO? A Complete Guide to Registering a Section 8 Company in India

Published on July 8, 2025

Understand the benefits, legal process, and how professionals can make it hassle-free.

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Introduction

If you're passionate about creating social impact — whether it’s in education, health, women empowerment, or sustainability — starting an NGO is one of the most structured ways to channel your efforts. But to legally operate and attract funding, you need proper registration.

Among the various forms of NGOs in India, a Section 8 Company offers the most credibility and legal advantages. Here's everything you need to know to get started the right way.


What Is a Section 8 Company?

A Section 8 Company is a type of non-profit entity formed under the Companies Act, 2013 for charitable or not-for-profit objectives such as:

  • Promoting education

  • Protecting the environment

  • Advancing art, culture, or science

  • Supporting social welfare, health, and more

Unlike other companies, a Section 8 Company doesn’t distribute profits to its members. Instead, all income must be reinvested to promote its charitable purpose.


Why Choose a Section 8 Company Over a Trust or Society?

Feature Section 8 Company Trust Society
Legal Identity Strong Weak Moderate
Governance Regulated by MCA By trust deed By society rules
Compliance Strict Flexible Moderate
Credibility (for donors) High Low–Moderate Moderate
Eligible for FCRA Yes Yes Yes

If you're looking to work professionally, raise funds (domestic or foreign), or collaborate with the government or corporates, a Section 8 Company gives you the highest legal and reputational standing.


Steps to Register a Section 8 Company

  1. Choose Name & Check Availability
    Your NGO must follow naming rules and include keywords like "Foundation," "Association," or "Forum".

  2. Apply for DSC & DIN
    All directors must have Digital Signature Certificates (DSC) and Director Identification Numbers (DIN).

  3. Draft MoA and AoA
    These define your NGO's objectives, structure, and governance model.

  4. File INC-12 for Section 8 License
    This includes your mission statement and detailed documents. Once approved, you receive the Section 8 license.

  5. Incorporation Application via SPICe+
    With your license, apply for final incorporation, including PAN, TAN, and bank account setup.

  6. Post-Registration: 80G & 12A
    These income tax exemptions allow donors to claim tax benefits and your NGO to be tax-free on donations received.


Documents Required

  • PAN & Aadhaar of directors

  • Passport-sized photos

  • Address proof of office (rental agreement or ownership deed)

  • Utility bill (not older than 2 months)

  • NOC from property owner

  • MoA, AoA, and detailed project plan


Benefits of Registering as a Section 8 Company

  • ✅ High credibility among donors and government agencies

  • ✅ Full legal status and recognition under Company Law

  • ✅ Eligible for CSR funding, 12A, and 80G

  • ✅ Separate legal entity — protects directors' liabilities

  • ✅ Transparent structure encourages long-term partnerships


Common Misconceptions

Myth: I don’t need registration if I want to do social work.
Fact: Without registration, you can’t accept donations legally or access grants.

Myth: Section 8 Companies are only for big organizations.
Fact: Even small NGOs benefit from the formal setup, especially when seeking support or scaling.


How BizExcel Consulting Can Help

At BizExcel Consulting, we offer end-to-end support for Section 8 Company registration, including:

  • Name reservation

  • DSC/DIN generation

  • Drafting of legal documents

  • MCA and ROC filings

  • 80G & 12A application

  • Post-registration compliance

Whether you're starting small or launching a full-scale impact organization — we simplify the legal process so you can focus on your cause.


Conclusion

Setting up a Section 8 Company may seem overwhelming, but with the right guidance, it’s a smooth and highly rewarding process.

Choose credibility, transparency, and long-term impact.
Let BizExcel Consulting be your legal and compliance partner in building an NGO that makes a difference.

Get in Touch