NGO Formation

We also offer the consultancy services to our clients regarding the formation of NGO (Non Governmental Organization). This organization is an association of persons/body of individuals who have non-profit motive and are registered under Indian Acts as:

1. Charitable Trust
2. Societies under the Societies Registration Act
3. Companies under section 28 of the Companies Act

Procedures of Formation:

Charitable Trust : It contains information on:
I. Name(s) of the author(s)/settlor(s) of the trust
II. Name(s) of trustee(s)
III. Name(s) if any, of beneficiary including public at large
IV. Name by which trust shall be known
V. Name where principal and/or other offices shall be situated
VI. Property that shall devolve upon trustee(s) under trust for benefit of beneficiary/ies
VII. Intention to divest trust property upon trustee(s)

The objects of the trust:
I. For appointment, removal or replacement of trustee
II. Making them understand their rights, duties and powers
III. Rights and duties of beneficiary/ies
A charitable trust is not required to obtain registration under the Indian Registration Act.

Society: Society is defined as company/association of persons who are united together through mutual consent for deliberating/determining/acting jointly for same common purpose. It needs a minimum of seven persons to be eligible to enter into contract for formation of society and needs to get registered under the Societies Registration Act, 1860.

Some advantages of society formation include:
1. It provides a corporate appearance to organization
2. It provides greater flexibility as its easier for amending memorandum and bye laws of society than of a trust where all terms are strictly manifested in trust deed.

Society Inception:
Formation of ‘Society’ needs procedural formalities like:
1. Memorandum of Association
2. Rules and Regulations

Company Formation:

Company is formed under Section 28 of Company’s Act and works as an association for purposes of:
• Promoting science, religion, commerce, art
• Promoting charity to any other useful object

A ‘Company’ may be formed/incorporated without addition of word “Limited” or “Private Limited” and on completion of all formalities, the formation is certified through certificate of incorporation from the date company came into existence. An association that has already registered as company can also apply for license u/s 28.