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How to Start School | How to Start a School Business

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School Establishment and Procedure

Classification

  • Till Class V – Approval by Municipality
  • Class VI to VIII and above – Approval by the Directorate of Education

Type of School Registration

Private entities through:

  • Societies Act, 1860
  • Public Trust Act of States.
  • Entity willing to open the institution needs to create a society or trust- along with a governing board that has five to six members. The Board should contain a president, a secretary, and a chairman- who are officially announced.
  • Section 8 Company

Necessities to Start a School

Land

  • In case a member of a school’s governing body has his or her own land and wants to build the institute over there, that individual will be required to get an NOC from the concerned state’s Department of Education.
  • The applicants are required to state the requirement of a educational institute in the area where they want to set the school up in the application for the NOC.
  • For the purchase of land from the government- for the school- it will be required to procure a no-objection certificate referred to as the Essentiality Certificate (EC) from the concerned state’s Department of Education.
  • An EC is an essential document certifying the requirement of a institute in the particular zone on the basis of which land is allotted to the society for the purpose of building a new school.
  • The Department of Education (DOE) decides the need for a school in a particular zone. By restricting the supply of schools in an area, it restricts the role of the market in assessing the demand for school education.
  • Within 3 years of obtaining the certificate, the construction of the school has to commence- failing in which the society has to apply for renewal.
  • An EC is granted after certifying- the non-proprietary nature of the society, the financial status of the society, the association of members.
  • The society needs to obtain a “letter of sponsorship” from the DoE. This is forwarded to one of the land owning agencies, like the Municipal corporation of the area, and the land is sold at subsidized rates by the land owning agency.
  • There are strict norms that have been laid down by the leading educational boards of India such as- the Central Board of Secondary Education (CBSE), the state government boards, and the Council for the Indian School Certificate Examinations (CISCE).
  • One of these rules states that the schools should have a playground.

Affiliation Required to Start a School

Normally, provisional affiliation is provided for classes 1-6 and the guidelines are provided by the concerned education board.

An inspection is conducted once all the facilities are in place and permanent affiliation is given after the inspectors are satisfied with the facilities. An educational institution needs to apply for affiliation with CBSE.

Only on affiliation with CBSE can the students of the particular school appear for public examinations. In order to get affiliated, the school needs to follow the prescribed syllabi and books (NCERT).

License/Registrations Required to Start a School

  • Registration Certificate of Society – Societies Recognition Act, 1860.
  • Essentiality Certificate - DoE.
  • Certificate of Recognition - Muncipile Corporation/ DoE.
  • Certificate of Upgradation – DoE.
  • Certificate of Affiliation - CBSE.
  • Certificate of Muncipile Corporation – Muncipile Corporation
  • Affidavit regarding proper purchase of land and no violation of master plan in the land used.
  • Muncipile Corporation/Development Authority of the Concerned State.
  • Site Plan of the Building/Sanctioned Building Plan approved by Muncipile Corporation/Development Authorities.
  • Building Fitness Certificate - Muncipile Corporation.
  • Health Certificate - Muncipile Corporation.
  • Water Testing Report - The water board of the concerned state.
  • Completion Certificate - Development Authorities.
  • Duly approved Scheme of Management - DoE.
  • No Loan Certificate against FD issued by the bank.
  • Land Use Permitted Certificate (in case of rented land) - Landlord.

Document Requirements:

  • Along with the application for EC a fee of Rs. 500/- and a set of documents are to be submitted.
  • Memorandum of Association.
  • Affidavit regarding relationship of society members.
  • Copy of Reserve Fund for Rs. 2 lakhs from the bank.
  • Affidavit from management regarding proper operation of school, as per Delhi School Education Rules, 1973.
  • Undertaking regarding fees and other charges.
  • List of members of society with full particulars.
  • Details of land and building.
  • Project report of proposed school.
  • Experience of society/members in the field of education.
  • Scheme of Management.
  • Documents regarding ownership of land allotted to school.
  • Auditor’s statement of account(s).
  • Staff statement as Performa.
  • Rates of fee and other fund charges.
  • Enrollment of students.

Under normal circumstances, it takes a year to start the school’s construction after creating the governing body but it often takes more than a couple of years as well. The infrastructure for the school can be completed within a period of 6-7 months following which the school authorities have to make applications for recognition.

Governing Statutes

  • Right to Education Act, 2009, RTE Rules/Notifications.
  • State Acts and Rules. (Government/Private/School/College/University)

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Author
Vinay Singh
Vinay Thakur is Managing Partner in Corpseed. He focused on payments, digital transformation, and financial technology for over 15 years and holds strong expertise on fintech startups, banking innovation, and investors with a keen understanding of the trends and activities of startups, banks, and investors in the space.