- A company registered with charitable motive and with the object not to make any profit also is called a Section 8 Company.
- These companies must be formed with an object to promote of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of the environment or any such other object.
- The name of a Company registered under Section 8 of the Act, shall include the words Foundation, Forum, Association, Federation, Chambers, Confederation, council, Electoral trust etc.
- A Section 8 Company shall not pay any dividend to its members but apply its surplus of receipts over payments for the promotion of its objects. These companies need not use the words Limited or Private Limited after the name.
- The registration process of a Section 8 company is slightly different from a regular limited company. A license for registration must be obtained from the Ministry of Corporate Affairs for registration as a Section 8 Company.
Time frame
5 to 30 working days
