A Section 8 Company is related to endorsement of religion, social welfare, charity, science, art, research, education, sports, protection of the environment, and other similar entity. The sec 8 company formation proposes to implement entire income, earning, and profit in promoting these entities.
There is no clause of income and or dividend to its members. These companies are considered limited companies due to their registration under the Companies Act. They will be regarded as a limited company but without the name “limited” addition to their name. These companies can be registered under public limited and private limited companies. Section 8 Companies are legal entities for Non-Governmental organizations (NGOs) or Non-Profit Organizations (NPOs). Section 25 Company (under Companies Act, 1956) is an earlier form legal entity to the same objects. Section 8 Company has the authorization to work everywhere in the nation. The Section 8 company registration gives you many advantages.