Published by Corpzo | www.corpzo.com
? Introduction
Microfinance has emerged as a powerful tool to uplift financially excluded sections of society, particularly in rural and semi-urban areas of India. Registering a Section 8 Microfinance Company is a socially impactful and legally compliant way to offer small loans and financial support without the need for RBI licensing, provided certain conditions are met.
If you're looking to start a not-for-profit microfinance business, a Section 8 Company is one of the most affordable and credible structures in India. In this blog, we break down the registration process, legal fees, and how to apply online through Corpzo.
?️ What is a Section 8 Microfinance Company?
A Section 8 Company, governed by the Companies Act, 2013, is a non-profit organization formed with the objective of promoting social welfare, education, poverty relief, and other charitable causes.
In microfinance, Section 8 Companies can offer collateral-free small loans to underserved populations for:
Livelihood generation
Women entrepreneurship
Small-scale businesses
Unlike NBFC-MFIs, Section 8 Companies are not required to obtain RBI licenses if they remain within the defined limits and objectives.
✅ Benefits of Section 8 Microfinance Company
No requirement for minimum capital
No RBI approval needed (if lending within prescribed limits)
Quick and easy incorporation
Credibility with government and donors
80G and 12A eligibility for tax exemptions
Ideal for NGOs and social entrepreneurs
? Documents Required
To register a Section 8 Microfinance Company, you’ll need the following:
PAN & Aadhaar of directors
Passport-size photos
Address proof (Utility bills or bank statements)
Registered office proof (Rent agreement/NOC)
Digital Signature Certificates (DSC)
Director Identification Number (DIN)
MOA and AOA (drafted by experts)
? Step-by-Step Registration Process
Obtain DSC and DIN
Reserve company name via the RUN portal
Draft Memorandum and Articles of Association
File SPICe+ form with MCA
Approval from Regional Director (for Section 8 License)
Certificate of Incorporation is issued
Entire process takes around 20–30 working days, depending on document availability and regulatory timelines.
? Registration Fees – Complete Breakdown
While the government charges for Section 8 companies are minimal, the professional and legal fees include:
| Component | Approx. Cost (INR) |
|---|---|
| Government fees & stamp duty | ₹2,000 – ₹4,000 |
| Digital Signature Certificate (DSC) | ₹1,000 per director |
| Name reservation & SPICe+ Filing | ₹1,000 |
| Professional & legal service fees | ₹15,000 – ₹25,000 |
| MOA/AOA drafting + support | Included in above |
| Total (All-Inclusive) | ₹20,000 – ₹30,000 |
Note: Fees may vary depending on the number of directors, state of registration, and services availed.
? Apply Online with Corpzo
With Corpzo, you can register your Section 8 Microfinance Company 100% online. From drafting legal documents to end-to-end MCA filing, our team handles it all.
Corpzo’s Services Include:
Free consultation to assess eligibility
Name approval & documentation
Section 8 License filing
Complete MCA compliance
12A/80G registration (optional add-on)
? Contact Us Today
Starting a microfinance business is now just a click away.
? Email: reach@corpzo.com
? Call: +91 9999 139 391
? Website: www.corpzo.com
? Pan-India Online Services Available
Corpzo – Empowering Compliance, Enabling Impact.
Launch your Section 8 Microfinance Company with expert guidance and affordable pricing. Apply online now!
