What Is the Section 8 Company and What Are Its Objectives
A Section 8 company is a company licensed under section 8 of the Companies Act 2013. It is a non-profit organization established for the sole purpose of improving commerce, arts, science, sports, education and research. Members of These companies are registered for the fulfillment of the agency’s purpose for social welfare, charity, and the community as a whole. Articles of incorporation of such companies are obtained from the central government and are responsible for compliance with central government regulations. According to Rule
, a non-profit organization (NPO) can order a company into liquidation by order of the central government if it refuses to undertake the obligations claimed by the central government. In addition, strict legal procedures are in place for all shareholders of the company. § 8 The main goal of companies is to engage in fields such as science, art, sport, education, research and environmental protection for the benefit of the community.
What Is the Trust Company?
The Trust is the oldest company operating under a non-profit organization. They are regulated under the requirements of the Indian Trust Act of 1882.
There are many types of trustworthy companies, known as public and private trusts, discretionary and non-discretionary, wills and testaments, etc. Public trusts are created by the public and generate large profits, while private trusts generate a limited number of profits. , limited to a few individuals, families, etc.
Private Trust This corporation is subject to the Indian Trusts Act of 1882. The Indian Trust Act is not useful for public trusts, so the same rules of law do not apply to public trusts. A trust company can be incorporated under two members without the statutory requirement of an annual report/application. So it’s easy to set up and adjust.
What Is a Society Company?
The company’s business has recently taken on a modern form. Seven members from the same state and eight members from different states meet to make joint decisions about the Corporation. You can add other members to your society who are Indians or foreigners. Each shareholder has one vote.
In many states, corporations operate under the Social Registration Act of 1860 or its version in force in various governments. Administrative and official applications vary from state to state. In contrast to
trusts, societies have a more representative structure, with membership and bodies elected to organize the society. Each company must document the schedule of its governing body partners on an annual basis. Some states also require the submission of an audited report. This form is generally best suited for people with governmental purposes interested in organizing procedures.