Foundation Articles of Incorporation are essential founding documents required when establishing a non-profit organization in India. This document is typically used when founders wish to create a formal charitable organization with perpetual succession and limited liability under Indian law. It must comply with the Companies Act, 2013 (for Section 8 companies) or relevant trust/society laws, depending on the chosen structure. The Articles detail the foundation's charitable purposes, governance framework, membership rules, and financial management protocols. They serve as the organization's constitution, guiding all future operations and decision-making processes. The document requires approval from the Registrar of Companies or relevant state authorities and forms the basis for obtaining various registrations including tax exemptions under Section 12A of the Income Tax Act and FCRA registration if foreign funding is anticipated.
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1. Name Clause: States the proposed name of the foundation and compliance with naming regulations
2. Registered Office Clause: Specifies the state where the registered office will be situated
3. Objects Clause: Details the charitable/non-profit objectives of the foundation, separated into main objects and ancillary objects
4. Limited Application of Profits: Declaration that profits will be used only for promoting foundation's objectives with no dividend payments
5. Liability Clause: States the limited liability nature of members
6. Capital Clause: Details about the foundation's authorized share capital structure
7. Governance Structure: Establishes the board structure, appointment procedures, and decision-making processes
8. Membership: Defines categories of members, rights, and admission procedures
9. Board of Directors: Specifies composition, qualifications, appointment, removal, and powers of directors
10. General Meetings: Rules for conducting annual and extraordinary general meetings
11. Financial Management: Provisions for accounts, audits, and financial controls
12. Dissolution: Procedures for dissolution and asset distribution to other charitable entities
1. Foreign Contributions: Required if the foundation plans to receive foreign funding, including FCRA compliance procedures
2. Branch Offices: Include if the foundation plans to operate multiple offices across different locations
3. Advisory Board: Optional section for establishing an advisory board structure and functions
4. Specific Program Committees: Include if specific programs or initiatives require dedicated governance committees
5. Conflict Resolution: Detailed procedures for resolving internal disputes, recommended for larger foundations
6. Investment Powers: Detailed investment guidelines and restrictions, important for foundations with substantial endowments
7. Collaboration Framework: Guidelines for partnerships with other organizations, relevant for foundations planning extensive collaborations
1. Subscriber Sheet: Details of the founding members/subscribers including their names, addresses, and signatures
2. Initial Board Members: List of first directors with their DIN, addresses, and contact details
3. Objects Classification: Detailed classification of charitable objects as per Income Tax Act categories
4. Asset Schedule: Initial assets or endowment details contributed to the foundation
5. Governance Policies: Key policies including conflict of interest, financial controls, and grant-making procedures
6. Organization Structure: Detailed organizational hierarchy and reporting relationships
7. Power Matrix: Delegation of authority and approval limits for different levels of management
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Education
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Rural Development
Poverty Alleviation
Disaster Relief
Religious Organizations
Community Development
Sports Development
Relevant Teams
Legal
Compliance
Finance
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Corporate Secretarial
Risk Management
Operations
Executive Leadership
Administration
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Relevant Roles
Chief Executive Officer
Managing Trustee
Board Chairman
Company Secretary
Legal Counsel
Compliance Officer
Chief Financial Officer
Director of Operations
Foundation Secretary
Trustee
Board Member
Executive Director
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Risk Manager
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