A public charitable trust is usually floated when there is property involved, especially in terms of land and building. Trust may be created for any lawful purpose. Generally it is created for charitable, educational or socially beneficial activities. The main instrument of declaring a trust is the Trust Deed, which should be made on non-judicial stamp papers of prescribed fee and signed by the trustee or trustees for submission to the Registrar concerned. . The trust deed should clearly spell out the aims and objects of the trust, how the trust should be managed, how other trustees may be appointed or removed, etc. A trust needs a minimum of two trustees; there is no upper limit to the number of trustees.
The Trust registration procedure is very simple, if you are prompt with your all documents, thestartuppoint can help you in registration in 15 to 20 working days, subject to legal processing period.
According to section 20 of the Societies Registration Act, 1860, A society can be created only for literary, scientific, or charitable purpose promotion of science, literature, or the fine arts, for instruction, the diffusion of useful knowledge, the diffusion of political education, the foundation or maintenance of libraries or reading rooms for general use among the members or open to the public. The main instrument of any society is the memorandum of association and rules and regulations (no stamp paper required), wherein the aims and objects and mode of management (of the society) should be enclosed. A Society needs a minimum of seven managing committee members; there is no upper limit to the number managing committee members.
The Society registration procedure is very simple, if you prompt with your all documents and details, Thestartuppoint can help you in registration in 15 to20 working days, Subject to legal processing period.
As per Section 8 of the new Companies Act, 2013, a Section 8 company can be established for "promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other object", provided it "intends to apply its profits, if any, or other income in promoting its objects" and "intends to prohibit the payment of any dividend to its members.
A Section 8 Company is similar to a Trust or Society except, a section 8 Company is registered under the Central Government's Ministry of Corporate Affairs. Trusts and Societies are registered under State Government regulations. A section 8 company has various advantages when compared to Trust or Society like improved recognition and better legal standing. Section 8 company also has higher credibility amongst donors, Government departments and other stakeholders.
To register a section 8 company in India, the process is similar to the incorporation of other companies (except an additional license is required). The applicant looking to start a section 8 company is required to file Form INC-1 for name availability. Once the name is approved, there is a further requirement of obtaining a license for a Section 8 Company, for which Form RD-1 is to be filed in order to obtain a license for such company. After obtaining license number, applicant can proceed further to incorporate a company by filing e forms INC-7, INC-22 and DIR-12 or e-forms INC-7 and DIR-12 as the case may be.