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Home News Business Finance

Section 8 company incorporation documents

Compliance Calendar by Compliance Calendar
October 8, 2022
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What is Section 8 Company?

Section 8 company is an organization registered as NGO for promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other objects. Section 8 company intends to apply its profits, if any, or other income in promoting such objects as mentioned above and prohibit the payment of any dividend to its members.

While analyzing the market and social workers’ issues and sentiments, it has been observed that many of them are confused about the documents required for registration of Section 8 Company.

So, in this write-up, we will discuss the documents required for Section 8 Company Registration.

THE STEP WISE LIST OF DOCUMENTS REQUIRED FOR SECTION 8 COMPANY REGISTRATION ARE PROVIDED BELOW:

For Name Reservation of the Section 8 Company: Before filing the complete incorporation form, the applicant may reserve the name of the Proposed Section 8 company in MCA Portal www.mca.gov.in through the FORM SPICe+ Part A. The name will be reserved for twenty(20) days from the date of Name Approval Letter. For your information, it is not mandatory to first reserve the name and then file for the complete incorporation. The applicant may also file the Incorporation Forms directly through SPICe+ form which include eForm SPICe+ Part A.

As per rule 8(7) of the Companies (Incorporation) Rules, 2014, for the Companies under Section 8 of the Act, the name shall include the words foundation, Forum, Association, Federation, Chambers, Confederation, council, Electoral trust, and the like etc.

Note: In General, no documents are mandatory for reservation of the proposed name of Section 8 company. However, in certain cases the following documents are required to be attested along with SPICe+ Part A.

Cases (Exact Situations) Document Required
Where the name, selected by the Applicant, resembles same with the name of an existing company No objection by way of a Board resolution has been provided by an existing company.
Where the Prefix used by the Applicant is same as the Trademark Registered under Trademark Portal www.ipindia.gov.in with the name of an existing company No objection Certificate is required from the Registered Proprietor of that Trademark. Where the Trademark is registered in the Name of Company, NOC shall be in the form of Board Resolution.
Optional Attachment Applicant may attach the relevant document supporting the proposed name of the Company

For Submitting detailed application of Section 8 Company Registration: Once the Name is reserved on the MCA Portal. The applicant has to file Complete Incorporation Form within 20 days (Can be extended up to 60 days on additional payment) from the date of Name approval, through filing SPICe+ form in MCA Portal. The following documents are required to be attested along with this application:

  1. Documents of Director and Subscriber:
  • Photograph of Directors and Subscribers of Proposed Section 8 Company.
  • Self-Attested copy of PAN Card (Mandatory)
  • Self-Attested copy of Aadhar Card (Optional)
  • Self-Attested copy of Identity Proof – Passport OR Driving License OR Voter Id
  • Self-Attested copy of Proof of Residential Address – Bank Statement OR Electricity Bill OR Mobile Bill OR Telephone Bill (Should not be older than 2 months)
Generally, the above documents are required. However, applicant should keep the following necessary point in mind:

  •  Where the Subscriber is a Foreign National – Apostille copy of Passport is mandatory.
  • Where the Subscriber is a Foreign Company and/or company incorporated outside India –Copy of certificate of incorporation of the foreign body corporate and resolution passed for Authorizing a person in this regard is required.Self-attested copy of PAN card of Authorized person of such non-individual person is also required. Kindly note that a non-individual person cannot be a director of the company.
  • For the subscribers or proposed Directors having DIN, KYC norms would not be applicable, and no other proof of identity or residential proof shall be required.
  1. Registered office address of the proposed Section 8 company: If the address for correspondence mentioned in Incorporation Form by the applicant is the address of registered office of the Section 8 company, then following attachments are mandatory:
  • Utility Bill of Registered office of the Company – Mobile Bill or Telephone Bill or Electricity Bill or Gas Bill, not older than two months from the date of filing Incorporation, depicting the Name of Owner of the Property.
  • NOC from owner of the Property – Where title of the property is in the name of any person other than Company, No Objection Certificate is required from the owner of the property. Please note that NOC is also required if the property is inthe name of Director of the Company.
  • Proof of office address– If the Property is in the name of Third Party i.e., other than Company and its Directors and Shareholders, a Notarized Rent Agreement or Lease deed is also required along with the Rent receipt.
  1. MOA and AOA of Section 8Company: Although the MOA and AOA of the Company is prepared online through Form SPICe+ eMOA and Form SPICe+ eAOA respectively. However, in case of Registration of Section 8 company the MOA and AOA shall be prepared Physically in Form INC-13 and attached along with the Incorporation forms.
  2. Specimen Signature from the Employers of the Section 8 company (Employers may be the directors): The specimen signature is the document containing the signatures of the employers of the Section 8 company required for the purpose of registration Employees’ Provident Fund Organization. This document is attached with the form AGILE-PRO-S which is filed along with the Incorporation form.
  3. Documents for obtaining License: Section 8 company requires a license form Registrar of Companies to run its organization. So, to obtain this License, the following documents are required to be submitted along with Incorporation forms:
  • Statement of Asset & Liability
  • Estimate of future Annual Income and Expenditure
  • Ground on which Application is made
  • Name of the Directors having Interest in other Companies / Firms / Other Associations
  • List of Promoters and Directors
  • Statement of Brief Description of Work, If Already Done by the Foundation and the Work Proposed to Be Done
  1. Other Relevant Documents: There are some other draft documents which is to be signed by the proposed directors or the shareholders as the case may be, namely:
  • DIR-2: Consent of Directors to act as the Director of proposed Section 8 Company.
  • DIR-8:Intimation by Director with respect to its Directorship and Disqualification, if any.
  • General Declarations by directors and shareholders.
  1. Declaration by the shareholders in Form INC-9: INC-9 is an auto-generated web-based form which is filed as a linked form with Incorporation forms. Generally, is filled electronically, however INC-9 shall be prepared physically where: (ii) Total number of subscribers and/or directors is greater than 20 and/or (ii) Any such subscribers and/or directors has neither DIN nor PAN.
  2. Certification from Practicing Professionals: The Companies Act, 2013 mandates the certification of Incorporation form from the Practicing Company Secretary or Practicing Company Secretary or Practicing Cost Management Accountant or Advocate in prescribed form. The form prescribed form for certification is INC-14.

In the above paras, we have covered all the documentation requirement that is relevant for the online registration of the Section 8 Company. Once the applicant compiles all the above-mentioned documents, he/she may submit the Integrated SPICe+ Incorporation form on MCA portal www.mca.gov.into register its Section 8 company under Companies Act, 2013.

 

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