Starting a non-governmental organization (NGO) in India involves various legal procedures and registrations. This guide covers the essential aspects of Society Registration, Section 8 NGO Registration, and FCRA Registration, providing a comprehensive overview for organizations seeking to operate legally and effectively.
Society Registration
Society Registration is governed by the Societies Registration Act, 1860. This type of registration is suitable for organizations operating in education, health, employment, and other community services.
Key Steps for Society Registration:
Name Selection: Choose a unique name for the society. The name should not resemble any existing registered society.
Memorandum of Association (MoA): Draft the MoA, which outlines the society's objectives, details of members, and governance structure.
By-laws: Prepare the by-laws governing the functioning of the society.
Documentation: Collect necessary documents, including identity proofs of members, address proof of the registered office, and MoA.
Submission: Submit the documents to the Registrar of Societies in the respective state.
Verification and Approval: The Registrar verifies the documents and, upon approval, issues a Certificate of Registration.
Section 8 NGO Registration
section 8 ngo registration are registered under the Companies Act, 2013, primarily for promoting commerce, art, science, sports, education, research, social welfare, religion, charity, or any other useful objective. They are similar to trusts and societies but have a distinct legal structure.
Key Steps for Section 8 NGO Registration:
Digital Signature Certificate (DSC): Obtain DSCs for the proposed directors of the company.
Director Identification Number (DIN): Apply for DIN for the proposed directors.
Name Approval: File the name approval application (RUN) to the Ministry of Corporate Affairs (MCA).
Drafting Documents: Prepare the MoA and Articles of Association (AoA) according to Section 8 provisions.
Form Submission: Submit the SPICe Form (INC-32), MoA (INC-13), and AoA (INC-31) to the MCA.
License and Incorporation: The Registrar, after reviewing the documents, issues the license under Section 8 and the Certificate of Incorporation.
FCRA Registration
FCRA Registration is mandatory for NGOs receiving foreign contributions. This registration is governed by the Foreign Contribution (Regulation) Act, 2010, ensuring that foreign contributions do not affect the functioning of the NGOs adversely.
Key Steps for FCRA Registration:
Eligibility: Ensure the NGO has been in operation for at least three years and has spent a minimum of Rs. 10 lakhs on its activities.
Application: File the application in Form FC-3A (for registration) or FC-3B (for prior permission) through the FCRA online portal.
Documentation: Submit necessary documents, including the registration certificate, MoA, audited financial statements, and activity report of the last three years.
Bank Account: Open a dedicated bank account in a nationalized bank to receive foreign contributions.
Scrutiny and Approval: The Ministry of Home Affairs scrutinizes the application and, upon approval, grants the fcra registration process.
Key Terms Explained
Memorandum of Association (MoA): A document that defines the constitution and scope of activities of the NGO.
Articles of Association (AoA): A document that outlines the rules for the management and governance of the NGO.
Digital Signature Certificate (DSC): An electronic form of a signature that is used to sign documents digitally.
Director Identification Number (DIN): A unique identification number allotted to an individual intending to be a director or an existing director of a company.
Registrar of Societies: The governmental authority responsible for the registration and regulation of societies.
Ministry of Corporate Affairs (MCA): The government ministry responsible for the regulation of corporate affairs in India.
Foreign Contribution (Regulation) Act (FCRA): An act to regulate the acceptance and utilization of foreign contributions by NGOs and ensure that such contributions do not affect national interests.
Conclusion
Registering an NGO, whether as a Society or a Section 8 Company, involves multiple steps and adherence to specific legal requirements. Additionally, for NGOs seeking foreign contributions, obtaining FCRA Registration is crucial. By understanding these processes, NGOs can ensure compliance and focus on achieving their social objectives effectively. For detailed assistance and expert guidance, NGOExperts is here to support you through every step of your registration journey.
Comprehensive Guide to Society Registration, Section 8 NGO Registration, and FCRA Registration