About Section Foundation companies

Section 8 of 2013 Companies Act offers company formation with charitable objects. According to experts, Section 8 Co. is considered to be a legal entity exclusively for Non-Profit or Non-Government organizations.

Online section 8 foundation registration procedure

Procedure to incorporate Section 8 Company is given below:

  • Obtain necessary documents and to arrange them properly. The documents are as follows:
    • Address Proof: Copy of valid Aadhar Card, Driving Licensing, Passport, Last two months Electric or Telephone Bills
    • Proof: Copy of PAN (Permanent Account No.) of all Promoters and Directors (Mandatory).
    • For rented office premises, Leave and License Agreement or Rent Agreement is mandatory.
    • Latest photograph (passport size) of Promoters/Directors.
    • Directorship Directors’ Details in any other LLPs/Companies, if any.
    • Consent to act in Form DIR 2 as Director.
    • Registered office Utility Bills
  • Preparing DIN & DSC: It is necessary to obtain DIN (Directors’ Id. No.) and DSC (Digital Signature Certificate) for all promoters and directors of the company.
  • Name approval: It is in Form INC 1 that applications are to be filed to Company Registrar (CRC – Central Registration Centre of Ministry of Corp. Affairs). The applicant can provide only six names max. for approval purpose. Approved name comes with 60 days validity period. Name is to include words like forum, association, foundation, chambers, council, etc., keeping in accordance with 2014 Company Rules (Incorporation).
  • Drafting AOA & MOA: Draft of Articles of Association and Memorandum of Association in Form INC 13 of proposed company.
  • Application for License: It is in Form INC-12 that an application is to be filed along with prescribed section 8 foundation registration process fees for license and after attaching necessary documents.
  • ROC form filling: Forms such as Form INC 7, 22, DIR 12 and appropriate documents need to be filed with the ROC.
  • Availing from ROC, Certification of Incorporation: In case, the concerned ROC expresses satisfaction with submitted incorporation forms, then the ROC (Registrar of Companies) issues Certificate of Incorporation with unique CIN (Company Identification Number) after being satisfied with submitted documents and forms.


This company is generally set up with an objective to promote sports, science, arts, commerce, social welfare, research, education, as well as to protect the environment or other such related objects. Its main purpose is to work for the overall society’s welfare in any domain as mentioned above and formed in the interest of the public. It is under central government that it is registered under Corporate Affairs Ministry.

Special License

It is also known as Licensed Co., unlike formation of other companies, there is a need to avail Special License issued by the Central Government. It is necessary to follow every requirement when forming a company. Special License is mandatory for incorporation purpose and is done through submission of application to the ROC. According to the 2014 Companies Incorporation Rule 19, License issue for such companies under procedure needs to be followed.