Things to Keep in Mind While Planning to Start an NGO

Planning to Start an NGO
Japsanjam Kaur Wadhera
| Updated: Jan 11, 2021 | Category: NGO

The Non- Governmental Organization (NGO) exists to work to uplift the underprivileged and weaker section of the society. The purpose of the NGO is not to earn profit, since it is a non- profit organisation, but the sole aim of an NGO is to perform charitable work for different segments of the society. The Term “Non- Governmental Organization” is defined in the Chapter 10, Article 7 of the UN Charter. The focus Of NGO’s is on the economic development, emergency relief, women’s rights, child trafficking, children with physical disability, policy advocacy, care for elders and many more aspects. But to initiate this, starting an NGO requires determination, hard work and genuine desire to support other and therefore does not only requires money to start it. Hence, this article will discuss about the things to keep in mind while planning to start an NGO for the welfare of the people.

To start an NGO, it requires much knowledge, skills and resources with aid from the legal advisors, group of volunteers and government agencies. The formation of an NGO though similar in all the countries must be done in accordance with the rules and regulations of the country which may vary from nation to nation. The purpose of an NGO is to empower the people who are not aware of their powers and legitimate rights. To work for the welfare of the people is the motive of NGOs without expecting any profits or personal gains from it.

Steps to follow while planning to start an NGO

The few steps to start to follow while planning to start an NGO are mentioned below:

Steps to start an NGO

Decide the mission and cause for your NGO

The first step to do while planning to start an NGO is to state down the cause for which your NGO will be supporting. It can be children’s welfare, women’s right, to save the environment, care for the elders etc. a clear statement of the cause and mission must be drafted which reflects the purpose for which it stands for, the goals it has, the target group and its objectives.

Set up the board of Directors or members

Once the cause for which an NGO is going to start has been decided, the next thing is to execute it by firstly setting up the board of Directors or members who will be responsible and perform the duty to govern the NGO. Always have those who are with the spirit of charity and social welfare, who are like minded and strong willed people to be a part of the organisation of the body. Somebody who is not coming with the aim of uplifting the weaker section of the society or for charitable purpose but is there for earning money should not at all be considered for NGOs. There is no limit on the number of directors or founder members to be appointed.

The right people must be found who are skilled, passionate, determined and very much reliable. The purpose of NGO is for a social cause and therefore, one must choose correct people for the proper working of it. Further, there is also a need to have support of the financial advisors, legal advisors having knowledge of legal procedures, technicians, educators, government support etc to start an NGO.

Decide a name for your NGO

The next step is to decide the name for your NGO. It is an obvious requirement for any organisation, to have a name from which it is known by others. The name must be catchy and short, it can be anything be it the reflection of your cause or purpose for which the NGO is being set up, any idea that you may have etc. but, it should be kept in mind that the name should not be identical or similar with that of the Government Authority Body, any registered company, Board of Ministry or any other existing NGO.

Prepare Memorandum of Association (MOA) and Articles of Association (AOA)

Every NGO is legally required to prepare Memorandum of Association (MOA) and Articles of Association (AOA) under Section 8 Companies Act 2013. The former is a trust deed and the latter specifies the bylaws that have to be followed. The MOA and AOA are the documents which contain the name and the address of the NGO, the goal, objectives and missions it has, information regarding the staffing and human resource, details regarding governing the body members, administrative laws and procedure and all the rules and regulations that are mandatory to follow for the proper functioning of an NGO. The MOA must be drafted in such a manner that it must be in accordance with and fulfil the parameters required for the registration and other purposes. It is advisable to hire legal NGO consultants who are proficient and well versed with the procedure and the requirements better. It is necessary to mention the bylaws that represent the regulations, rules, and the working pattern, responsibilities, working area, operation modes and the objectives of the NGO, before submitting the application for the registration of an NGO. NGO can be formed into three ways that is Trusts, Societies and Section 8 companies. A Trust Deed is required to be prepared if an NGO is formed under Trust, in accordance with the public Trust Act. A memorandum of Societies is required to be prepared if an NGO is formed under Societies, in accordance with the Indian Societies Act, 1860 and MOA and AOA is required to be prepared under Section 8 of the Companies Act, 2013.

Register your NGO

The next step to start an NGO is that once all the documents are prepared and the required fee is submitted, get your NGO registration under any of the following Acts: –

  • Indian Trusts Act

At least two people are required in a charitable trust, but there is no limit of maximum members.

  • Companies Act

Registration can be done when it is a Non-profit Company under the Section 8 of the Companies Act[1], with the Registrar of Companies.

  • Societies Registration Act

Minimum seven members are required to be the members in society.

Start collecting funds

Once your NGO is registered, the next step is to start getting funds to run and operate the NGO. This can be done through internal sources like donations, fees, subscription charges etc and through external sources like grants in the form of aid from private organizations, government or through foreign sources.

Get connected and then start your project

When the fundraising process starts, reach out to your networks. Always convey your purpose and message to the people to get familiar with the objective behind starting an NGO. Get connected with other various NGOs, government agencies, professionals, and media houses and corporate and try to come into partnership with them, because the main source of survival of an NGO is mainly through partnerships. Therefore, getting connected with the potential partners helps your NGO to establish well and allowing them to believe in the cause you support. And finally you can start your NGO and achieve the goals and purposes that you aimed for, for providing benefits and uplifting the society and helping the marginalized section to get aware of their rights and to serve a better tomorrow for them.

Conclusion

Starting an NGO though is a tough job, but the purpose behind it is to work for the welfare of the society, the impoverished communities and uplifting the lives of the people living in miserable circumstances. Therefore, it needs hard work, strong determination of you planning to start an NGO. All of the things discussed above in the article must be kept in mind while planning to start and NGO and implement it in such a manner that much awareness is spread about the social cause for which it is being started.

Also, Read: Concept and Benefits of Online Fundraising for NGO in India

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Japsanjam Kaur Wadhera

Japsanjam Kaur Wadhera is an Advocate and has completed her BA.LLB (Hons) and has experience of writing various research papers during her college time. Earlier she was working as an Associate Advocate in a reputed Law Firm. She has an extreme interest in writing legal content and her core area falls under legal enactments, tax and finance.

NGO Registration in India

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