Formation of Section 8 Company
The Incorporation process of Section 8 Companies and other companies are very much alike. The one thing that is very important while forming a Section 8 Company is the intention behind the incorporation. The member or a group of members can apply to the registrar of the company with the intention that they want to register the company under Section 8 of the act. When the registrar of the company and the central government are satisfied with the intention of incorporation, then they register the company as a Section 8 Company after the companies pay all the necessary fees and expenses.
It is necessary that a minimum of two directors were there if they want to register their company as a Section 8 Company. All the Section 8 Companies are limited companies, but they do not need to add ‘Limited’ with their name, but all the other rules of limited companies will apply to them. As these companies are allowed by the central government to register under Section 8 Company; hence, they are not allowed to amend their articles without the proper permission of the central government.