Read about the procedure to get an NGO Certificate, its benefits, required documents, and much more.
NGOs have become an increasingly trusted and dependable vehicle of change in society. People are turning to contribute to non-profit organisations.
However, with the increasing awareness, the society expects these organisations to carry the essential credentials and have the proper paperwork in place. NGOs that run with all of the relevant legal licences are thriving more than others. One Such important credential is an Non-government organisation certification.
Non-Government Organisation – A Brief Overview
An NGO (Non-Government Organisation) is a body of individuals, institutions, volunteers, civilians, and community members who operate to better society. NGO is also referred to as NPO (Non-profit Organisation). The non-profit organisation has its legal existence. And, following its incorporation under Section 8 of the Companies Act, it obtains financial assistance from the Government of India to carry out its operations for the benefit of society.
Non government organisation (NGOs) are private organisations with a common goal of assisting local, national, and worldwide development through raising awareness of social concerns and influencing legislative changes, among other things.
If individuals wish to cooperate with Non-government organisations (NGOs) to effect societal change and welfare, they can do so without registering.
The major goal of running NGOs is not to generate revenue but to serve the welfare of society and bring about constructive changes when they are required.
Types of NGOs
The different classification of NGOs has been described below:
Based on the Level of Orientation:
- Charitable
These Non-government organisations are linked to charitable organisations. Their goal is to address the needs of the impoverished by providing food, clothing, and medications, among other things. They also impact the provisions made to provide them with refuge. In the event of a natural disaster, charitable non-governmental organisations (NGOs) also provide help.
- Participatory
Participatory NGOs are primarily concerned with community development projects. They also invite locals to contribute in the form of cash, machinery, labour, and other items. Cooperative groups are more likely to prefer these organisations, and they are in charge of the development project from start to finish.
- Service
These non-governmental organisations (NGOs) focus on societal awareness and development through providing educational, health, advising, and family planning services, among other things. They also urge individuals to adopt and receive those services, whether they are paid or unpaid volunteers.
- Empowering
Advocacy seems to be another name for these NGOs. These Non-government organisations (NGOs) concentrate on specific topics or social causes. Their main goal is to raise knowledge among the poor and illiterate about government policies, conventions, rules, regulations, and any other variables that affect their lives. These NGOs can also function as facilitators, encouraging people to join them in their efforts.
Based on Level of Operations:
- Community-Based
Communities have formed community-based non-governmental organisations (NGOs) on their initiative. These non-governmental groups help educational institutions, health clubs, women’s clubs, sports clubs, and other organisations. They also assist in raising awareness among urban poor people about all of the services available to them. Local, national, and international NGOs have helped community-based NGOs.
- Citywide based
These non-governmental organisations help and serve the disadvantaged for their benefit. Ethnic organisations, Associations of Community Organisations, Lion’s Club, and other citywide organisations are examples. Furthermore, they are used for a variety of other reasons.
- National NGO
National non-governmental organisations (NGOs) are those that operate and assist society on a national level. The Red Cross Society, the Young Men’s Christian Association, and others are examples of this type of NGO. They have multiple branches in different states and also help other Non-government organisations.
- International NGO
International NGOs include Catholic Relief Services, SOS Children’s Villages, CARE International, and Lutheran World Relief. They can also help a variety of local and national non-profit organisations.
Benefits Of Having An NGO Certificate
The following are the benefits of having the respective Certificate for NGO.
- Benefits of Acquiring ISO Certification Of NGO: ISO 9001-Non-Profit Organisation
Certification will benefit your NGOs in the following manner :
- Boost your educational system.
- Intensify your educational institution’s repute.
- Encourage all pupils to receive equal reliefs, regardless of their religious affiliation, ethnic or cultural origin, gender, or ability/disability.
- Provide tailored instruction and prompt responses to all students.
- Allow for excellence and creativity.
- Increasing the accessibility of existing education
- ISO 9001 Certificate- Quality Management System
It is a globally recognized benchmark that lays out the requirements for all firms’ Quality Management Systems. It provides Customer Satisfaction, Leadership Quality and Growth, Evidence-based Decisions Making, Relationship Management, as well as Integrity Education, Training Centres, and Non-government organisations Sector Strengthening.
- ISO 21001
Getting the ISO 21001 Certificate will help your NGO in:
- Sustainable Supply Chain Management
- Getting Rid of Waste and Reducing the Environmental Impact Reducing Energy Consumption
- Complying with environmental laws.
- Waste, recycling, and consumption cost containment
How to Obtain an Non-Government Organisation Certificate?
To get the NGO certification, these steps are must:
- Getting DSC and DIN
Obtaining Directors’ DSC is the first step to getting an NGO Certificate in India (Digital Signature Certificate). After receiving DSC, they must file Form DIR-3 with the Registrar of Companies and request a DIN (Director Identification Number). RoC will authorise and assign DIN to the directors when verified the paperwork and forms.
- Name Approved by the Concerned Authority
The applicants must then file form INC-1 or RUN with the RoC to get the prospective Company’s name approved. They can fill in two name recommendations in the order of preference. However, the RoC will only accept one of the two names depending on availability.
- Submitting INC-12
Form INC-12 must be filed with the RoC when the Company’s name has been approved. This is an application to work as a non-governmental organisation (NGO) in India. Every subscriber must sign the MOA and AOA in the presence of at least one witness when filing INC-12.
- Verification
The form will be scrutinised and verified by the ROC. If there is no discrepancy, they provide an NGO licence under Section 8 of Form INC-16.
- Submitting SPICe INC-32 with RoC
Following receipt of the License, the applicant must file a SPICe INC-32 with the Registrar of Companies to incorporate the business. The following documents must also be attached:
- An affidavit from each director and subscriber by INC-9
- Directors (KYC)
- The deposit declaration
- The director’s consent letter
- Directors’ identity proof and address proof on Form DIR-2
- Utility bills must be no more than two months old
- A letter of authorization from the landlord
The Procedure Of An NGO Registration
When it comes to NGO Registration documented procedures, ISO 9001 certification for non-profit organisations gives discretion to the NGOs. There are no legally required written procedures; however, the majority of non-profit organisations believe that some type of documented data should exist — for example, depending on process complexity, individual turnover, or product quality.
The ability to build organisations that are less captured by people’s moods can be achieved by implementing established procedures that are aligned with each organisation’s plan of best practices. Documented procedures and records, in some cases, produce a kind of organisational memory that is much clearer: who has authority, who is accountable, what needs to be done, and how it should be done. This makes admissions coaching, for example, significantly more successful.
Benefits of NGO Registration
In India, registering a NGO brings many benefits. Some of these are
- NGO trusts: https://ngodarpan.gov.in/ can obtain land from the government at a quite concessional rate, if they are registered as trusts.
- In addition, the Income Tax Act of 1961 provides a variety of tax benefits.
- There is also the Section 80G Certificate benefit, which can be accessed by donors of such non-profit organizations
- And last but not least, the state government offers entertainment tax and service tax benefits.
Documents Required for NGO Registration
These are the documents required for an NGO certification:
- PAN (Permanent Account Number) and Identity Proof of Board Members and Shareholders
- Identity Proof such as Aadhar Card, Voter ID Card, or Driving Licence, you can submit any one of them.
- Recent passport size photograph of all the Board Members and Shareholders
- Address proof of registered office of the NGO ( Electricity bill or lease agreement that provides the address proof).
Final Thoughts
Getting the certificate for ngo is a simple process that does not necessitate a lot of paperwork; nevertheless, getting permission from the ROC might be difficult. As a result, hiring professionals to register your NGO is preferable. Contact Vakilsearch to get your NGO certificate with the assistance of the best legal consultant.
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