How to start an NGO

July 04, 2025

Registrationwala

A Non-Governmental Organization is a type of not-for-profit entity registered under any of these Acts: (i) Companies Act, (ii) Societies Registration Act or (iii) Indian Trusts Act. The goal of an NGO is to work towards charitable, educational, religious goals or other public benefit goals rather than generating profits for its members.

Therefore, if you want to do good for society, you can consider setting up an NGO. In this blog post, we shall explain how to start an NGO in India.

What is an NGO?

Non-Governmental Organization (NGO) is a voluntary association of people who desire to come together and work for the development and welfare of society. Unlike conventional profit-making business units, the NGOs are basically non-government entities that don’t work for any profit.

Any person who desires to work for the betterment of the society can incorporate an NGO as per the Indian laws. One important thing to be noted here is that as the NGO is a non-profit organization thus any profit earned by it can only be applied in the promotion of its objects only.

Some popular NGOs in India are: (i) PETA, (ii) WWF, (iii) Child Rights and You, (iv) Smile Foundation, (v) Indian Red Cross Society and (vi) Pehchaan The Street School.

Things to Keep in Mind Before Starting an NGO

Starting an NGO in India can be pretty challenging. However, the potential for societal contribution makes it worthwhile. Here are some things to keep in mind before starting an NGO. Going through them will mentally prepare you to start an NGO and make the process smoother:

Before you jump straight to the NGO registration process, grab a seat. Now, think about why you want to start an NGO. What are your goals? Based on your answer, you must choose the appropriate structure from available options i.e., trust, society or section 8 company.
Before choosing the appropriate structure, make sure to conduct a proper research regarding all the pros and cons of each structure.
If you are not sure about the appropriate structure, we recommend getting help from a professional NGO registration consultant for guidance.
You’ll have to set up a governing body that’ll be responsible for handling all the decisions taken by the NGO. The function of the governing body will include long term and short term planning, the management of financial affairs and human resource management. Make sure you choose the right people for your governing body who will work towards achieving your NGO’s goals.
Social media marketing is extremely important in today’s time. Therefore, you must create a marketing team to promote your NGO on online platforms. This will make it easier to get funding and volunteers.

Key Requirements to Set Up an NGO in India

To establish an NGO in India and run it smoothly, you need to fulfill certain requirements including:

1. NGO Registration

In India, an NGO can be registered under three acts which state certain rules and regulations to facilitate the management of the company. The three Indian laws for NGO registration includes the following:

(i) Indian Trust Act 1882

Wherein the use of property or infrastructure is concerned with hospitals and schools, trust registration under the Indian Trust Act must be obtained. Most of the states have their own trust acts under which the NGO must be registered. However, for the states who do not have their own act, Indian Trust Act 1882 is applicable.

When an applicant desires to register his NGO under this Act, he is required to file all the essential information about financial management and funds collection. For filing the application, a specific form is required to be filed with the Registrar of Trusts.

Along with the form, the applicant is required to affix a court fee stamp and a nominal registration charge is to be paid depending upon the value of the property and the state/UT. The application form filed should be accompanied by the trust deed.

(ii) Societies Registration Act 1862

If you wish to reduce regulatory requirements, registering your NGO under the Societies Registration Act of 1860 is the ideal option for you. The NGO registration under this Act can be obtained at the district level or the state level. For registering the NGO under this Act, it is mandatory for the proposed NGO to have a minimum of 7 members who will make up the governing body. The governing body should have a president, vice president, financial officer, director and other members.

As the registration of society is done at the state or district level, the exact procedure of registration varies from state to state. However, one of the basic requirements of registration of NGO under the Act includes the filing of the Memorandum of Association, the applicability of rules and regulation, consent of every member with identity proof and an affidavit from the President.

(iii) Companies Act 2013

An NGO can be registered under Companies Act 2013 as a “Section 8 Company” with the objective of promoting commerce, art, science, religion, charity or any other useful objective. To register a section 8 company, a minimum of two members and two directors are required.

Earlier, to register a section 8 company, Form INC-12 was required. However, the Companies (Incorporation) Sixth Amendment Rules 2019 eliminated the requirement to file Form INC-12 for Section 8 company incorporation and made the entire process more streamlined.

Section 8 companies can now be incorporated via two methods i.e., (i) by either reserving a name through Part A of SPICe+ followed by filing Part B, or (ii) by directly filing SPICe+ form. The license number is provided to the section 8 companies during the incorporation process using SPICE+.

2. 12A Registration

12A registration is one of the key requirements for an NGO. It is a one-time registration that the Income Tax Department grants to trusts and other non-profit organizations to make them tax exempt.

Generally, it is applied for right after NGO registration. 12A-registered entities do not have to pay income tax on their surplus income. To know the complete process for securing tax exemption certificate for trust, Click Here

3. 80G Registration

From the beginning of an NGO’s establishment, funding is extremely important. To attract donors to provide funds, it is essential for the NGO to secure an 80G certificate.

This certificate is granted by the Income Tax Department to a non-profit organization to allow its donors to avail tax deductions on donations they make.

4. FCRA Registration

If you want to receive foreign donations for your NGO, obtaining FCRA (Foreign Contribution Regulation Act) registration is a mandatory requirement. To register, you must file an FC-3 form online via the official FCRA portal run by the Ministry of Home Affairs.

After filing the application, the Ministry will review it. The approval of the application may take up to a few months. Once an NGO gets registered under the FCRA Act, it becomes eligible to receive foreign funds in the FCRA account. It can use the foreign-source funds to achieve its primary mission and goals.

Conclusion

Starting an NGO allows you to make a positive change in the society and contribute to its development. To start an NGO and run it smoothly, make sure you fulfill all the legal and regulatory requirements. For assistance in the NGO registration process, you can connect with Registrationwala. We’ll help you prepare all the required paperwork and file the registration application with the concerned authority on your behalf!