A Section 8 company, also known as a Section 8 not-for-profit company, is a type of legal entity established under Section 8 of the Companies Act, 2013 in India. It is formed for promoting charitable or not-for-profit objectives such as social welfare, education, art, science, research, religion, or any other similar purpose.

Non-Profit Nature: A Section 8 company is formed with the primary objective of promoting charitable or not-for-profit activities. Its profits, if any, are utilized for the promotion of its objectives and are not distributed among its members

• Registration and Approval: To establish a Section 8 company, an application must be made to the Registrar of Companies (ROC). The application must include the memorandum and articles of association, along with the necessary supporting documents and declarations. Approval from the ROC is required for the incorporation of a Section 8 company.

• Name Restrictions: The name of a Section 8 company must end with the words “Foundation,” “Association,” “Society,” “Council,” “Club,” “Organization,” or other similar terms prescribed by the government. The name should not resemble or be identical to an existing company or trademark.

• Statutory Compliance: Section 8 companies must comply with various legal obligations, including filing annual financial statements, holding annual general meetings, and maintaining proper accounting records. They are subject to audit requirements based on their turnover and funding sources.