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Posted By admin on December 25, 2013 2 Comments
BASIC DOCUMENT Memorandum of AssociationArticles of Association Memorandum of AssociationArticles of Association with rules & regulations. Trust Deed – which contains objects of the trust (bye-law)
FORMATION Little Hard Simple Easy
JURISDICTION Registrar of Comapnies Registrar of Societies – (Maharastra Charity Commissioner) Deputy Registrar / Charity Commisioner
LEGISLATION / STATUTE Indian Companies Act 1956 Societies Registration Act 1860 Relavent state Trust Act
OBJECTS Nonprofit Activities Literary, Charitable, Scientific and resource oriented Social benefits & Charitable
MODIFICATION OF OBJECTS ComplicatedLegal Procedures EasyLegal Procedures Alteration can be undertaken only by the Founder.If the founder is deceased alteration of objects is impossible
REQUIRED MEMBERS Minimum = 7Maximum = No limit Minimum = 7Maximum = No limit Minimum = 2Maximum = No limit
REGISTRATION As per Companies Act under Section 25 As Society with Society Registrar As Trust with the Registrar.
STAMP DUTY No Stamp paper required for Memorandum of association and articles of association. No stamp paper required for Memorandum of association, and rules and regulations. 4% of Trust property Value will be executed in non judicial stamp paper with the registrar
NAME Prior approval required from Registrar of Companies. Very easy to choose Very easy to choose
MANAGEMENT BOARD Board of Directors &  Management committee Governing Body Trustees
SUCCESSION IN MANAGEMENT By Appointment By Election By Election
MEETINGS Quite Extensive as per the provision of Company Law Annual Meeting As per Law. Governing Body meeting as per the rules of Society. No provisions
LEGAL STATUS Full Legal Status Limited Legal Status Limited Legal Status
STATUTORY REGULATIONS Exhaustive Limited Nominal
MEMBERSHIP TRANSFER Free or Control as per desire. Impossible Impossible
MEMBER ADMISSION General Body or Board Control through issue of Capital. Governing Body Control Not applicable
DISSOLUTION OR TAKE OVER BY STATE Very risky and difficult Possible Possible
PAYMENT TO MEMBERS As approved by Company & State. Not restricted As notified in Trust deed

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