January 18, 2020 Last updated March 5th, 2020 551 Reads share

Everything You Need to Know About NGOs in India

Image Credit: DepositPhotos

Overview

A Non-Government Organization (NGO) is a non-profit organization that is established to fulfill the basic requirements of the underprivileged sections of society.

Some causes they work on are poverty, human and children’s rights, homelessness, female empowerment, animal rights, healthcare, the environment, and rights for senior citizens.

 

Objective

NGO’s play a crucial role in providing support to the poor and the needy people in India.

They function to promote the welfare of the community.

They work on various social issues that intend to eliminate these issues from society.

 

Characteristics

  • The aim of the establishment of an NGO is not to earn profits.
  • NGO’s are voluntary. The individuals come together to contribute without any compulsion.
  • NGO’s are independent as an establishment. They run without any support from the Government.

Types of Non-Government Organizations

 The type of Non-government organization in India plays an essential role in deciding the future of the NGO. The individuals need to choose the appropriate type, considering their goals.

 

NGO Classifications:

  • Business-friendly International NGO
  • Environmental NGO
  • Government-Organized Non-Governmental Organization-
  • Quasi-Autonomous NGO

As Per Activities

  • Service-oriented
  • Research
  • Supportive
  • NGO for policy advocacy
  • Funding NGO
  • Co-coordinating NGO

As Per Orientation

  • Charitable Orientation 

Their primary focus is on the issues related to housing, food, shelter, medicines, transport, and many more.

  • Service Orientation

The main focus of services NGOs is on education, family planning, health services, etc.

  • Participatory Orientation

NGOs with a participatory element in them are the ones that involve individuals in taking an active part in short-term projects, for instance, building a school or a clinic. They extend their contribution by

  • Empowering Orientation

There is a requirement for the poor people to be aware of necessities that are lacking in their lives and their rights as individuals of the country. The empowering orientation focuses on educating them on the social, political, and economic factors affecting their lives.

  • Community-based Organizations 

Some great examples of CBO’s are women organizations, sports clubs, health clubs, religious organizations.

  • City-wide Organizations

Associations of community, chambers of commerce, and industry are citywide organizations.

  • National NGOs

Red Cross is one of the well-known national NGOs.

  • International NGOs 

World Wide Fund for nature, UNICEF are two renowned organizations with the primary objective of the welfare of the society.

Non-Government Organizations in India

 India has around 3.2 million registered Non-Government Organizations in India.

The NGO’s that are doing well in the country are:

  • Smile Foundation,
  • Nanhi Kali
  • GiveIndia Foundation
  • Goonj
  • Help Age India

Incorporating an NGO requires individuals to follow some steps.

NGO Registration Process 

After deciding the type, the next step is to understand the registration process for an NGO.

It can be established as either a Trust, a Society, or a Company.

The laws applicable to NGO registration are-

  • Trust registration, under the Indian Trusts Act, 1882
  • Society registration under The Societies Registration Act, 1860
  • Section 8 Company registration under The Companies Act, 2013

Trust Registration Process in India

As per the Indian Trust Act, the following points are a necessity before registering a Trust in India-

  • The purpose behind the creation
  • Definition of the receiver
  • Trust property assigned by the assignee

Steps to Register

The steps to be followed for trust registration:

  • Draft the Trust Deed
  • Choose an appropriate name for your NGO
  • Determine two trustees and decide on the beneficiary.
  • Prepare the MOA and execute a trust deed that contains the key provisions and clauses.
  • The execution of the Trust Deed must be done on stamp paper of value based on the value of the property assigned to the Trust.
  • Lastly, the Trust Deed should be signed by the trustees and registered with the Local Registrar of the region in which NGO’s registered office is located.

Documents Required for Trust Registration 

  • Details of Trustees like name, designation, contact information, email address, father’s name of trustees, photographs.
  • Address proofs of the trustees and settlers, which includes documents like driving license, passport, etc.
  • Electricity, house tax, water bill, or ownership proof of the property.
  • If the trust is set up on a rented property, the documents required are rent deed or agreement, NOC from the landlord on a stamp paper, name of the landlord, father’s name, address.
  • Also, the physical presence of settlers and two witnesses is mandatory with original ID proofs at the time of registration.

Society Registration in India

  • Choose a name for the NGO.
  • The State Governments regulate the formation of the society as an NGO and takes of the society registration process in India. Thus, two copies of all the required documents must be submitted to the Registrar of the Societies of the State Government.
  • After the evaluation of all the documents submitted, the Incorporation Certificate along with an NGO Registration Number will be allotted.
  • The process of allotment of the Incorporation Certificate usually takes about a month to complete.

Documents Necessary for Society Registration

  • Cover letter to the Government requesting for permission to form a society
  • Memorandum of Association {MOA}
  • Document comprising all the rules and regulations of the Society
  • Names of the members of the Society
  • Office bearer’s Affidavit
  • Residential proofs of all the members
  • NOC from the landlord or address proof of the rented building.

Section 8 Company Registration

The Government has laid down some steps which need to be followed for a seamless registration of a Section 8 Company in India.

  • Choose a name for the NGO. The proposed named must be filed for reservation through the Reserve Unique Name facility available on the MCA portal.
  • The next step is to prepare the MOA and AOA of the organization along with some essential documents like the Profit and loss statement, statement of assets and liabilities, description of work, etc.
  • File incorporation application in the SPICe Form along with the required documents.
  • After proper verification of the application, a Certificate of Incorporation along with the license will be issued.

Documents Necessary for Section 8 Company Registration

  • PAN and ID proofs, for instance, Passport, driving license, Voter ID of all the directors
  • Address proof or any of the mentioned documents: Telephone Bill, Electricity Bill, Bank Statement
  • Passport size photographs of all the promoters/directors
  • Rent agreement if the office is situated in a rented building
  • NOC from the owner of the office
  • Utility bills of the office
  • Other necessary details of the directors

Conclusion

An NGO is a requirement, not only to help the needy but also to spread awareness that in a country where the rich are getting richer, a large group of individuals are still finding it hard to survive.

NGO business team – DepositPhotos

Mahiya Ahmad

Mahiya Ahmad

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