NPO Registration and Licensure
Registration is the process of incorporating an organization with the Registrar of Companies as Companies Limited by Guarantee as per the Companies Act,2019,(Act 992).
Licensure is the process by which the Non-Profit Organization Secretariat (NPOS) grants an organization authorization to operate as an NPO
Organizations seeking to be recognized and documented as an NPO and operate as such shall:
- Register with the office of the Registrar as Company Limited by Guarantee as per Companies Act,2019 (Act 992)
- Apply for Licensing from the NPOS as per NPO Directive 2020.
- A licensed NPOs shall submit an annual audited financial statement Three(3)months after the expiration of the financial year.
Licensing with the NPOS will qualify an NPO to access government benefits if the NPO:
- has operated for a minimum of twelve months.
- Submit audited annual financial statement and reports three (3) months after the expiration of the financial year on its activities to the npos.
- Submits updates on the above items whenever changes occur.
APPLICATION AND LICENSING
1. An individual or organization seeking to operate as an NPO shall:
a. complete and submit the appropriate registration forms to the NPO Secretariat.
b. pay a non-refundable fee determined by the NPO Secretariat.
c. be subject to a fit and proper test.
d. provide further information in support of the application if required by the secretariat.
2. The NPO Secretariat shall issue a Provisional License to an applicant upon meeting criteria(1) above
3. The Provisional License issued under (2) above shall be valid for a period of three months and shall be renewed.
4. The final license shall be issued upon satisfactory outcome of the fit and proper test.
5. Upon expiration of the provisional license, where the applicant has not received any written communication from the Secretariat, a final license shall be issued.
DURATION OF LICENSE
A license issued under these Directive is valid for one year.
RENEWAL OF LICENSE
1. An NPO licensed under this Directive shall renew its license annually in accordance with established procedures.
2. An NPO seeking to renew its license shall submit;
a. an annual audited (NPOs) and unaudited (CBOs) financial statement,where applicable, and an operational report.
b. a proof of payment of the renewal fee.
c. a record of any changes in its mandate(where applicable)
d. a tax clearance certificate
3. The renewal forms shall be submitted at least one month before the expiration of the license.
4. Failure to renew a license within three months of expiry will amount to suspension of license.
For the purposes of licensing, an individual or organization applying to operate as an NPO must;
1. a)be incorporated under the Companies Act, 2019(Act992) as a company limited by guarantee, or
b)Registered as a Community Based Organization(CBO) with the Metropolitan, Municipal and District Assemblies(MMDAs)
2. have a clear mandate, mission statement,vision outlining its purpose, objectives,target beneficiaries andconstitution which is in conformity with the developmental goals of the country,
3. have an identifiable office with a signboard visibly displayed, an accessible postal address,an email address and digital address
4. have clear policies to promote accountability, integrity and public confidence in the administration and management of the organization,
5. have an oversight body or its equivalent policy making body
6. have a certificate of registration of its parent body with the relevant authoroty to operate in the country where the organization applying to operate in the country where the organization applying to operate as an NPO is a subsidiary/affiliate of an international non-profit organization