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What is an NGO? Non-governmental organization

What is an NGO?

NGOs(Non-governmental organizations), also known as NPOs(Non-profit organizations) are groups or institutions independent from the government which comprises of individuals, activists, voluntary or social persons. They are established on a local, national and international level to support a social, cultural or economic cause.

A few examples of some of the most popular NGOs in India include, CRY(Child Rights and You), Smile Foundation, Pratham, Oxyfam India and Care India Foundation.

Characteristics of an NGO

  • They are private agencies which are not controlled by anyone and are essentially self governing bodies.

  • They are a non-profit

  • They are a non-criminal in nature and do not indulge in anti-social and criminal activities

  • They are voluntary associations comprising of volunteer who have a common goal in mind

  • They are not bias towards anyone, especially any political organization

Benefits of registering as an NGO in India

There are various benefits of registering as an NGO in India:

  • Tax benefits- Get access to tax benefits by registering your business as an NGO under the 2013 Companies Act. NGOs are exempted from various taxes, allowing them to invest the money they save in additional projects.

  • Right to hold fixed assets-When your organization is formally registered, it has the right to purchase property, hold fixed assets, and/or purchase liabilities under its common seal. It is prohibited by law to purchase, hold or sell land by an unregistered organization

  • Acquire credit- Section 8 company registration permits it to acquire credit from lenders and financial institutions. You can finance a mortgage, buy land, buy fixed assets, or boost the organization's activities by using a lending facility. Before granting a loan, banks will want documentation of registration.

  • No need for minimum share capital-There is no need for a minimum share capital in order for the company to operate autonomously. NGOs may receive direct funding from donations given to them meaning they can operate independently without a greater share capital.

With so much happening around the world, including wars, droughts, injustice to women and children and millions of lives being lost, it should be our aim to make our earth a better place to live. Giving back to society and the environment has become a necessity for our humanity and survival. Do you want to start an NGO? Register your NGO with us today.

How to register your NGO?

To make it clear it is not necessary to register an NGO, however, a section 8 company registration can get you recognition and all kinds of support, especially financial.

Make sure you have a purpose, vision and mission statement in place before you start the registration process.

While registering your company make sure you have the following:

  • Name of the NGO- The name of NGO can be according to your ideas or it can be unique as you have planned to serve the sector and part of society. In India., the name of the NGO must not be equal to any name similar to any Government Authority Body, Board or Ministry The names must not be restricted in the Emblem Act. Section 8 company registration with the required name under the Society Act is essential to find and make sure that the proposed name is not already being used in the office or the jurisdiction where you have to apply for the registration. To register the NGO as a non profit company/section 8 company under the Registrar of Companies then the name equal or similar must not be there. The name is not an issue if you want to register the NGO as Trust under the Indian Trust Act

  • Applicable registration Act and Law to Register an NGO - In India the registration process for NGO is available under various Acts and laws in different states, mainly under Trust, Society and Non profit Private Limited Company. Under Indian Trusts Act a Charitable Trust can be registered. In Charitable Trust at least two persons are required, there is no limit of maximum members. Maharashtra Trust and Society can be registered under Maharashtra Public Trust Act. A society can be registered under Societies Registration Act. In a society a minimum of seven members are required. Formation of Trust under Indian Trust Act is easy. A non profit can be registered under section 8 company registration of Companies Act with the Registrar of Companies

  • Members and Setup Team of Board of Directors- To start, setup and run social entrepreneurship as in form of NGO, the founder(s) must be with a team decide team of the members that will be the board of directors of the organization. It can be initiated and started with the like minded dedicated persons with the spirit of charity and social welfare with commitment, because the members who initiate are the base and foundation of the NGO. The financial status can be initiated by own efforts and with the help of supporters. The legal and technological skills can be made available by contacting expert consultants. There is no limit of the number of persons of founder members or their supporters; it depends upon the contacts and acceptance of the needs for which the organization is to be established as an NGO.

  • Legal Supports of Experts and Consultancy- When you want to start an NGO there can be some legal matters to deal with so help and service of legal experts and NGO consultants are required. The NGO Consultant can help in:

    • NGO Registration

    • Explaining the requirements of registration

    • Preparing and completing the required Articles of Incorporation of Memorandum

    • Preparing and finalising the objectives of NGO

    • Preparing the required Documentation for Registration

    • Making it clear the requirements according to the areas, locality and any related issues

    • Providing legal consulting to get the Registration of Memorandum Documents and get Certification


Having an NGO can not only contribute to social impacts but also help you network. If you want to register your NGO online you just need the following shown above and you are ready to go!

Do you want to start an NGO and are wondering how to register it online? Vyapaar Pundit has got you all covered. We take care of all your needs right from advising on documents required for NGO registration to completing the entire registration process.


Written by Aafreen S. for Vyapaar Pundit

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