Existing Company to Section 8
Existing Company to Section 8 Company
Sometimes a company evolves from a profit-driven model into a purpose-driven organisation. When the primary goal shifts toward social impact, education, research, charity or community development, converting an existing company into a Section 8 Company becomes the right step.
This change requires careful documentation because the company must surrender profit distribution rights, update its charter documents and apply for a Section 8 licence with MCA.
What We Assist With
• Eligibility check and feasibility assessment
• Drafting Board and shareholder resolutions
• Preparing and filing the Section 8 licence application (INC-12)
• Drafting revised MOA and AOA as per Section 8 structure
• Filing SPICe+/MCA forms for conversion
• Updating PAN, GST, licences and statutory records
• Guidance on 12A, 80G, CSR eligibility and other registrations
• Post-conversion compliance setup for the new non-profit company
Why Companies Choose Section 8
• Operate entirely for charitable or social purposes
• Stronger credibility for grants, donors and CSR partnerships
• Structured governance with limited liability
• Ability to reinvest all earnings into social initiatives
• Accepted legal status across government and corporate sectors
Frequently Asked Questions
Yes, if its objectives align with charitable, social, research or non-profit activities and shareholders agree to give up dividend rights.
No. They remain members, but they cannot receive dividends or profit distributions after conversion.
A Board resolution and a special resolution from shareholders, followed by filing the conversion application with MCA.
The primary form is INC-12 (licence application), along with revised MOA/AOA, declarations and SPICe+ filings for conversion.
Yes. The CIN will update to reflect the new Section 8 category.