Overview
A Section 8 Company, also known as a Non-Profit Organization (NPO) or a Non-Governmental Organization (NGO), is a type of company established for promoting art, science, commerce, charity, education, religion, social welfare, sports, research, or any other useful object, provided the profits, if any, or other income, are applied for promoting only the objects of the company, and no dividend is paid to its members
The process of incorporating a Section 8 Company involves obtaining a license under the Companies Act, which exempts the company from using the term “Limited” or “Private Limited” in its name. Section 8 Companies operate with the primary goal of promoting charitable or not-for-profit activities rather than generating profits for shareholders. These companies must adhere to strict regulatory guidelines and are required to submit regular reports to the government detailing their activities and finances. Section 8 Companies play a vital role in addressing social issues, promoting education, healthcare, environmental sustainability, and other philanthropic endeavors, making a significant impact on society’s well-being.
Types of Section 8 Companies
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