Section 8 Company Registration


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For the purpose of promotion of commerce, art, science, religion, charity, or any other useful object, a Section 8 company registration can be done and incorporated after obtaining a license from the central government. The license is essentially permission to delete private Limited from the proposed name.

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    What is a Section 8 Company?

    Section 8 company is suitable for non-profit objective and it may be a private limited or a public limited company. As per law, in case the proposed section 8 company is a private limited, then a minimum of two promoters are required. However, in case it is a public limited section 8 company, then a minimum of 7 persons must be the promoters of the company. A ‘Section 8 Company’ is eligible for certain exemptions from provisions of law and a concessional rate of fees. The process of incorporation of a section 8 company is similar to that of any other company registration in India with an additional requirement of seeking a prior license from the central government under Section 8 of the Companies Act, 2013.

    Features of a Section 8 Company

    One Resident Director

    One director of the company must be resident in India. A person is said to be a resident when he stays in India for at least 182 days in the FY.

    No Minimum Capital

    There is no minimum level of capital prescribed, hence a section 8 company can be incorporated with the capital as required by it.

    No Profit Motive

    The companies registered under section 8 of the Companies Act, cannot distribute profits or assets to its members.

    Voting Rights

    The voting rights to the members of section 8 company are based on the number of shares, similar to that of any other company.

    Procedure for Section 8 Company Registration

    FirstFiling can help you through the entire process of registering a Section 8 Comapny!

    Our team of professionals can get it done for you!

    Documents Required

    • Two Photographs of Partners
    • PAN Card of each Partner
    • Identity Proof of each Partne
    • Address Proof of each Partner
    • Signed Declaration(s) from Directors


    (All inclusive)

    Frequently Asked Questions

    The name of a section 8 company shall not include Private Limited or Limited at the end of its name and must end with any of the below words

    • Foundation
    • Forum
    • Association
    • Federation
    • Chambers
    • Confederation
    • Council
    • Electoral Trust and the like etc.

    Yes, Foreign Direct Investment is allowed Section 8 Companies subject to the compliance of FEMA Regulations. However, in terms of the Foreign Contribution (Regulation) Act, 2010 [FCRA] read with the Frequently asked questions (FAQ) on the website of the ministry of the home of the union government of India, the infusion of capital in a section 8 company is a foreign contribution. In simple words, though FDI in section 8 companies is permissible, as the same is considered as a Foreign Contribution in terms of FCRA, it can be infused only with prior permission/registration from the central government.

    Yes, there is no specific restriction on making an investment in any other company by section 8 companies even if the investee company is a profit-making entity.

    In case the section 8 company is incorporated as a private limited the minimum requirements of directors on the board is 2 and in the case of a public limited company it must be 3

    A Section 8 Company is incorporated with a physical address to be declared as the registered office of the newly registered company. Following are the list of the document which is acceptable as proof of premises where the registered office of the company is situated. The premises proof should not be older than two months.

    • Electricity Bill
    • Gas Bill
    • Telephone Bill
    • Mobile Bill
    • NOC from the owner

    A registered office is required to be declared at the time of company incorporation and to be maintained by the company under section 12 of The Companies Act, 2013, which must be capable of receiving and acknowledging all communications and notices as may be addressed to it. Further, the statutory records of the company also need to be maintained at the registered address of the company. Hence having registered address at co-working space is not acceptable unless this is a lockable area.

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