NGO Registration Process, NPO and its Benefits
Swarit Advisors | Updated: Oct 15, 2018 | Category: NGO
NGO registration can be considered as the first step towards serving of the society and runs it with the social service purpose, these entities work towards the well being of the society. The NGO basically reaches those places where Government has failed to work effectively. Such organizations are known as non – profit organizations or non- government organizations (NGO).
NGO is run by the defined community, certain citizens, and other persons for social service. An NGO can run by the contribution of its members. NGO is registered under Government authorities but is operated by its members on the policies governed by Government.
An NGO can be formed at the state level, national level, and international level. Swarit Advisors NGO registration process expert team is highly experienced in the registration of NGO and shall provide support in setting up NGO, working, fund and donation management, for your NGO.
Documents Required for NGO Registration
Following the documents are required for NGO as:
- ID proof which can be Aadhar card, Voter ID, Driving License or any Government ID card of the members.
- Passport Size photograph of such involved members is required
- Proof of address of the office to be registered for NGO.
- Memorandum or article of association or trust deed as the case may be.
- A clearly defined governing rule, regulations, aims, objective or purpose of formation of NGO is required in its Memorandum/articles/ trust deeds
Modes of NGO registration:
An NGO can be formulated in the following forms:
- In the form of societies
- As trust.
- As section 8 Companies under the Companies Act 2013.
NGO Registration Process in the form of TRUST
Trust is one of the legal forms for registration of NGO. A Trust is governed by the Indian Trusts Act. Below are the requirements for registration of Trusts:
- To form a trust-based NGO minimum of 2 trustees are required however there is no upper cap for the maximum trustee.
- For the purpose of Name approval, it must not violate any of the provisions under the Emblem Act.
- Trust deed must be registered in the Sub-Registrar office of your area.
- Board of trustees and executive committee are to be formulated
Benefits of NGO Registration on the form of Trust:
- The NGO registration in the form of trust is the simplest form of NGO registration process which takes around 7 days to 10 days for NGO formation.
- No requirement of name approval but the name.
NGO Registration Fees is Rs. 2000/- for urban & Rs. 1000/- for a rural area. The fee for NGO registration is to be deposited electronically.
NGO Registration Requirements in the form of Societies
An NGO can also be formed in the form of Societies, and it is governed under the Societies Registration Act, 1860 having a separate legal entity.
Below are the requirements for registration of Society:
- Minimum 7 members are required to form Society based NGO, and in case it is registered at National level minimum 8 members are required.
- An application is to be made before the Registrar or Deputy Registrar of Societies of the concerned state
- Such NGO requires to form the General Body and executive committee as the governing structure of Societies
Note: It takes around 1-2 months to form a Society.
NGO Registration Requirements in the form of Section 8 Companies
Section 8 companies are registered under of Companies Act 2013. These companies are formed with the purpose of promoting the art, commerce, sports, safety, science, research, healthcare, social welfare, religion, protection of the environment, and the list goes on. Basically for all legal purposes.
Below are the requirements for registration of Section 8 Company:
- It needs a minimum of 2-3 Directors in the case of the private and public company respectively.
- Name approval is mandatory before registration from ROC
General Body of Directors and BOD is the governing structure for section 8 Company:
- Stamp duty payment if not required for registration
- DIN and DSC of directors is required for registration of Section 8 company
NGO Registration Process in the form of Section 8 Company
Procedure for incorporation is same as that of the company under the companies act 2013, with minute changes with respect to the license is to be obtained from the office of Regional Director to form a company under section 8 of the Companies Act 2013, which depends on the type of activity the NGO is engaged into.
Let us understand this in the following steps:
- Step -1 The authorized signatories shall obtain the DSC.
- Step-2 Apply for name approval. It is mandatory for the section 8 company to apply for name approval at the MCA portal.
- Step-3 fill in the INC 12. INC 12 is applied for the purpose of obtaining the requisite license, pertaining to the activity of the NGO.
- Step-4 Apply for NGO Registration Form under the SPICE-32 along with the NGO registration fees at the MCA portal.
Attachments of INC-12 for NGO Registration:
- Income and expense statements of the past 3 years
- INC-15 pertaining to the declaration by each subscriber to MOA about the fact that the draft memorandum and articles of association have been formulated in conformity with the provisions of Section 8
- Estimated statement of Income & Expenditure for the next three years
- List of proposed Promoters and Directors of the Company
The NITI (The National Institution for Transforming India) Ayog NGO registration:
The NITI Aayog was formed on January 1, 2015. NITI Aayog is the premier policy providing both directional and policy inputs. The NITI Aayog is formed to replace the Planning Commission instituted in 1950. NITI Aayog basically acts as the quintessential platform of the Government of India to bring States to act together in the national interest.
Now for all NGOs and voluntary organizations (VOs), it is mandatory to register with NITI Aayog in order to avail the benefits, grant-in-aid from ministries or departments of the central government.
For NITI Ayog NGO registration application one need to sign up on NGO-DARPAN portal. Obtain the system-generated unique ID and thereafter apply for a grant under any scheme of the central government or ministries.
Read, Also: NGO Registration types and their benefits.
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