
SPICe vs SPICe+: Key Differences in Company Incorporation Forms
Nowadays, starting your business in India is no longer a maze of paperwork and repeated visits to government offices.
4 min read
Legal recognition for an NGO, charity or foundation, with the credibility that brings to donors and partners. LegalWiz.in handles the incorporation and the Central Government licence that goes with it.
A few details, then secure checkout. Your expert takes it from there.
Starting at₹12,999+ Govt. Fees
Prefer to talk to someone first?
What a Section 8 company is, how it differs from an NGO registered another way, and why founders choose LegalWiz.in to register one.
A Section 8 company is a company registered with charitable objects: promoting arts, commerce, science, education, sport, religion, charity or the protection of the environment, among others. It is registered under Section 8 of the Companies Act, 2013, which is what gives it its special status.
Calling it a not-for-profit does not mean it cannot make money. The Act does not bar a Section 8 company from creating a profit; it bars the company from distributing that profit among its members. All income from any activity of the company has to be applied to the charitable purpose it was registered for.
It is popularly called an NGO, and it is one, but the two are not the same thing: an NGO can equally be registered as a trust or as a society. What a Section 8 company adds over those is a corporate structure, with a separate legal identity and limited liability, and the exemptions the Act grants it.
Everything below is handled by your relationship manager and the filing team. You supply the documents once and approve the drafts.
Government fees and stamp duty are charged at actuals. The application in INC-12 must be accompanied by an estimated statement of income and expenditure for the next three years.
The name becomes the organisation’s brand, so a coined word that is not already taken is the strongest choice.
The second part of the name should suggest what the company actually does.
The name must include a word such as Foundation, Forum, Federation, Chambers, Association or Council.
Unlike every other company, it does not add “Private Limited” or “Limited” to its name.
Registration under Section 8 gives the company a status distinct from other entities. It enjoys tax exemptions, donors can claim a deduction for what they give under the Income Tax Act, and many compliance provisions that bind other companies do not apply.
As a company it is legally distinct from its members. It owns assets and carries liabilities in its own name, and a change of members or directors affects neither its existence nor its rights and obligations.
A member’s liability is limited to the capital they subscribed and have not yet paid. Losses and obligations of the company create no charge over the personal property of the members or the directors.
It gets the benefits of a corporate entity without being labelled one: there is no “Private Limited” or “Limited” after the name. That exemption exists so third parties attend to the purpose rather than assuming a profit-making business.
The same set is needed for every shareholder and director. Scanned copies are enough to begin, and your relationship manager will tell you if anything needs to be re-shared in a clearer format.
A recent passport size photograph of every shareholder and director.
For every shareholder and director. A foreign national provides a valid passport instead.
Voter ID, passport or driving licence for each person.
The latest telephone bill, electricity bill or bank statement.
The latest electricity or telephone bill for the registered office address in India.
A no objection certificate from the owner of the registered office premises.
The rent agreement for the registered office, where the premises are rented.
An estimated statement of income and expenditure for the next three years, which the licence application requires.
Step 01
Step 02
Step 03
Subject to government processing time.
A typical registration runs to 25 working days, longer than any other structure in this hub because of the licence stage. Here is where the first nineteen go.
1 of 19 working days
3 of 19 working days
4 of 19 working days
5 of 19 working days
3 of 19 working days
3 of 19 working days
Subject to government processing time. The licence stage is a wait on the Central Government and is the least predictable part of the schedule.
Leverage best deals offered by the industry leaders and experience mutual growth.












Still have a question? Our team is happy to help, at no charge and with no obligation to buy anything.
The promoters have to be able to satisfy four things:
There is no minimum amount of capital prescribed for a charitable company.
The promoters introduce whatever is sufficient to start and run the organisation.
The name must be formulated according to the naming guidelines. The application is made in a web form called RUN, with a maximum of two proposed names.
The registrar may ask for a fresh application with a different name if the proposals do not meet the requirements.
The promoters apply in e-form INC-12. The form goes in with the company’s MoA and AoA, declarations from the promoters, and an estimated statement of income and expenditure for the next three years.
If the application is approved, the approval letter is issued in form INC-16, and only then can the incorporation forms be filed.
No. The registration process is completely online and no promoter needs to be present anywhere. Documents and details can be emailed or uploaded.
Yes, once they have obtained a Director Identification Number.
At least one director on the board must still be an Indian citizen and resident.
A Section 8 company is popularly called an NGO, and it is one. But the terms are not interchangeable.
An NGO can equally be registered as a trust or as a society. Section 8 is the route that gives it a corporate structure under the Companies Act.
No. A Section 8 or charitable company cannot pay a dividend to its members.
Any surplus of receipts over payments is applied to promoting the objects the company was registered for.
There is no expiry. Once the company is incorporated it stays in existence and active for as long as its annual compliances are met.
It ends only if it is wound up voluntarily, or if the compliances are not kept up.