Registration Of NPOs/ NGOs (Not-For-Profit Or Non-Government Organizations)

Organizations which are independent of government involvement are known as non-governmental organizations or NGOs. NGOs are a subgroup of organizations founded by citizens, which include clubs and associations which provide services to its members and others.

They Usually Take Form Of

  • Trust
  • Society/ NGO

These Are Explained Below:

Trust

According to “The Indian Trust Act, 1882”, a trust is an obligation annexed to the ownership of property and arising out of a confidence reposed in and accepted by the owner, or declared and accepted by him, for the benefit of another, or of another and the owner.

Features
  • A trust must be created for any lawful purpose.
  • The subject matter must be property transferable to beneficiary instead of merely giving beneficial interest.
  • Every person who is eligible to make contracts can create a trust with the permission of principal civil courts or original jurisdiction.
Checklist of documents
  • Trust deed on stamp paper
  • 2 passport size photo and self-attested copy of proof of identity of settler and each trustee (Aadhaar card, Voter id, passport).
  • Proof of registered office address of the trust (Electricity Bill, Water Bill)
  1. Name Clause: The chosen name for the company must adhere to the Companies Act, 2013, ensuring it is unique and distinct from existing companies.
  2. Registered Office Clause: This specifies the state under the jurisdiction of the Registrar of Companies where the registered office is located.
  3. Object Clause: Clearly outlines the company’s objectives, detailing all activities conducted under the company’s name.
  4. Liability Clause: Specifies the liability limits of shareholders, with each member and shareholder agreeing to the defined limit.
  5. Capital Clause: Determines the maximum number of shares that the company can issue in the market.
  6. Article of Association (AOA): Establishes rules and regulations for the management team, binding all individuals associated with the company to follow these guidelines.

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Society/ NGO

In accordance with “The Societies Registration Act, 1860,” a society or NGO is an organization comprising a collective of individuals joined together for a shared objective, which may include the advancement of science, literature, fine arts, social welfare, and societal development. Typically, societies are established to promote charitable endeavors, such as education, art, and culture, with a focus on non-financial gain.

Features
  • It is a separate legal entity
  • Minimum seven persons are required.
  • Purpose of creation must be for society welfare
Checklist
  • Certified copy of duly passed resolution for registration of society
  • Declaration of President of society
  • Id proof of members
  • Address proof of members
  • Cover letter of society, signed by all founders