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Corporate & Legal

Non-Profit Registration

Setting up a not-for-profit in Pakistan happens in two stages and is judged in a third. SECP first grants a licence under section 42 of the Companies Act 2017, which lets a company drop the word Limited from its name and requires it to apply its income to its objects rather than distribute it. Incorporation as a public limited company follows. The third stage is Pakistan Centre for Philanthropy certification, and that is the one an institutional donor or the FBR will ask to see. We run all three.

Start a projectWhat’s included

Scope

What'sincluded

Everything below is in the standard engagement. Anything outside it is agreed in writing before the work starts, never after.

  • Section 42 licence application to SECP, including the statement of proposed activities
  • Memorandum and Articles drafted to non-profit objects, with the income-and-property clause SECP requires
  • Incorporation as a public limited company within the window the licence allows
  • Governance pack: board composition, conflict of interest policy and the registers a regulator expects
  • Pakistan Centre for Philanthropy certification, the only FBR-authorised NPO evaluation
  • Licence renewal diarised ahead of the three-year expiry

Who this is for

Built for three situations

  • Founders setting up a charitable organisation
  • CSR foundations inside a company group
  • Existing NPOs seeking donor certification

Process

How thisactually runs

  1. Eligibility and structure

    We confirm the objects qualify as non-profit under Section 42, assemble at least three promoters, and tell you honestly whether the activity fits before any fee is spent.

  2. Licence application

    Draft memorandum, articles, activity statement, director affidavits and the prescribed fee filed with SECP for the Section 42 licence.

  3. Incorporation

    Once licensed, the company is incorporated as a public limited company, then the NTN and bank account are opened in the organisation’s own name.

  4. PCP certification

    Governance, financial management and programme delivery documented and submitted to the Pakistan Centre for Philanthropy for evaluation.

Deliverables

What you end up holding

  • SECP Section 42 licence
  • Certificate of Incorporation as a public limited company
  • Memorandum and Articles with the non-profit clauses SECP requires
  • Organisation NTN and a bank account in the organisation’s name
  • PCP certification, where the evaluation is passed

What we need from you

Documents required

  • CNIC of all promoters and proposed directors, minimum three
  • Three proposed names in order of preference
  • A written statement of proposed activities and how they will be funded
  • Affidavits from each director confirming they are not disqualified
  • Proof of registered office address
  • Programme and financial records for the PCP evaluation, where the organisation is already operating

Missing something? Tell us anyway. We can usually work around a gap, and it is better to know before we start.

Next step

Tell us your situation and we will scope it.

Talk to us about it

Scope, fee and dates confirmed in writing before anything starts.

Questions

AboutNon-Profit Registration

  • What does a Section 42 licence actually allow?

    It permits a company formed for a charitable, scientific, educational or similar purpose to drop "Limited" from its name and to apply its income only to its objects rather than distributing it to members. The licence is granted for a definite period, normally three years, and must be renewed on application before it expires.

  • Do we need PCP certification, or is SECP registration enough?

    SECP registration makes the organisation legal. PCP certification is what makes it fundable. The Pakistan Centre for Philanthropy is the only certification agency authorised by the FBR to evaluate NPO performance, and institutional donors, corporate CSR budgets and the tax relief available to your donors all commonly turn on it.

  • How many people do we need to start one?

    At least three promoters, and in practice you want a board that is genuinely independent rather than three members of one family. SECP looks at the composition, and PCP looks at it much harder, so it is worth getting right at the start instead of restructuring after a failed evaluation.

  • Do you register trusts or societies as well?

    No. We register not-for-profit companies under Section 42 with SECP, and we do not take on trust deeds with a registrar, provincial charity commission registrations, or FBR approval work for those structures. If a trust is genuinely the better vehicle for you, we will say so and point you elsewhere rather than steer you into a company.

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