Can I register a Section 8 non-profit company in Guntur and what are the conditions?

Detailed Legal Analysis

Yes, you can register a Section 8 non-profit company in Guntur, Andhra Pradesh, under the Companies Act, 2013. A Section 8 company is established for promoting commerce, art, science, sports, education, research, social welfare, religion, charity, or any such other objectives beneficial to the community.

Here are the conditions and steps to register a Section 8 company:

• Minimum Requirements:
  • A minimum of two directors and two shareholders are required.
  • Directors must be individuals, and at least one director must be a resident of India.
• Objectives:
  • The company must have objectives related to the promotion of arts, commerce, science, education, research, social welfare, etc.
  • Profits earned by the company should be used for promoting its objectives and should not be distributed as dividends.
• Application for License:
  • File Form INC-12 with the Registrar of Companies (RoC) along with the required documents.
  • Documents required include the company’s proposed name, memorandum of association (MoA), articles of association (AoA), and a declaration of the company’s objectives.
  • Obtain a license under Section 8 of the Companies Act, 2013 before incorporation.
• Incorporation:
  • Once the license is granted, you need to file Form INC-7 (for incorporation), Form DIR-12 (for appointment of directors), and Form INC-22 (for registered office) with the RoC.
  • Pay the required registration fees as per the Companies (Registration Offices and Fees) Rules, 2014.
• Compliance:
  • Post-registration, comply with all the provisions of the Companies Act, including annual filings, maintenance of statutory registers, and holding Annual General Meetings (AGMs).
  • Ensure that the company does not engage in activities that deviate from its stated objectives, as delineated in the MoA and AoA.

Following these steps will enable you to successfully register a Section 8 non-profit company in Guntur, complying with the provisions laid out in the Companies Act, 2013, particularly Sections 8, 12, and 13.