- “Section 8 Company” means Company registered under Section 8 of the Companies Act, 2013. It is the same concept that was known “Section 25 Company” as per old Companies Act, 1956. It is the most popular form of Non-Profit Organizations in India.
- There are no “Limited” or “Private Limited” words after the name of the Company registered under Section 8 of the Companies Act, 2013.
- It is a Separate Legal Entity and enjoys wide legal capacity
- Such Company cannot issue a dividend to its members.
- Such company should have in its objects the promotion of Commerce, Art, Sports, Education, Research, Social Welfare, Charity, Environment Protection or any such other object.
Note: Section, 8 Company is not for the purpose of any economic benefits. It is a part of Non-Profit making Organizations and its main motto is to be engaged in Social Services and Charity Assignments.