Name Criteria for Private limited and One Person Company
How
to Choose a Name for Private Limited Company?
Name of a company is something which needs to be unique,
desirable and one of its kinds to make it stand out from the rest. Hence, there
are specific guidelines for choosing a name for Private Limited Company.
Before you finalise the
name for your company it is recommended to conduct a search in the Company database for companies with a
similar name. The process of getting name approval costs 1000 INR with
a single application.
and hence,
a search is conducted for
registering a valid company name :
1. Check the availability
of the Company name
Name of the company needs
to be unique for it to obtain approval from the registrar of
the companies. Say if you want to register a company with a name Raj
Private Limited company; the name will be rejected based on the fact
that it is not a unique enough name and hence you will get resubmission from
the registrar.
Note: In a single RUN service you
can file a maximum of 2 resubmissions.
2. To check Similar or
Exact matches with Existing Trademark
Company name registration
is not possible if there is an existing trademark with a similar name
For instance, if you want
to register a mark with name Apple private limited company and the same is a
registered trademark it will be rejected as a proposed name.
What to consider before
selecting the name?
The unique component needs
to be creative, imaginative, and distinct in nature.
The descriptive name
defines your business in brief and gives perks of your work/business. It is
much simpler now and convenient to decide a name for your company.
Once you choose the name,
MCA will ask for the significance and the main objective behind that name which
is to be submitted in one or two sentences.
However, you can suggest
two names in order of preference for your enterprise if you are registering
through RUN but in the case of the newer & faster process under SPICE-32, you can only suggest one
name.
What is in a Company Name?
Well, a company name need
not be a brand
name but
it is a name that is the base of the brands that the firm manufactures. Do you
know what is Jasper InfoTech Private Limited? But you know Snap deal. So, this
denotes that the company name can be different from the brand names which makes
it much easier to decide the company name for Private Limited.
But, there are definitely
some conditions that need to be followed, to start with the Don'ts that are to
be taken care of:
- Do
not choose names that are identical or similar to other existing names.
- Do
not choose an undesirable & offensive name.
- Make
sure that the name is not Generic.
- The
name should not contain another country's name, and also, the word
"state" is not permitted.
- Do
not use the word "British India" as it is not approved by MCA.
- The
names that imply patronage are not allowed as well.
- Do
not use any name that is associated with the Embassy or consulate or foreign government.
- Do
not use short-forms or Abbreviations in the name.
How
to Choose a Name for One Person Company?
It is of fundamental importance to decide
the name of the company, which needs to be unique, desirable and one of its
kinds to make it stand out from the rest. Hence, there are certain guidelines
for choosing a name for One Person Company. The Companies Act 2013, defines
certain guidelines for selecting the name of the company.
The company name can be
different from the brand names which makes it much easier to decide the company
name for One Person Company. But, there are definitely some conditions that
need to be followed, to start with the Don'ts that are to be taken care of:
What to consider before
selecting the name?
Firstly, you need to
conduct a thorough research on the existing trademarks and then decide your
name, remember that your Company name may not be your brand name, and the Rules
are to be known to you: There is a preferred format in which the MCA wants you
to name the company;
Creative
Name + OPC(Suffix)
The name needs to be
creative, imaginative, and distinct in nature. In case of a descriptive name it
should define your business in brief and gives perks of your work/business. It
is much simpler now and convenient to decide a name for your company. Once you
choose the name, MCA will ask for the significance and the main objective
behind that name which is to be submitted in one or two sentences. However, you
can suggest six names in order of preference for your enterprise if you are
registering under MCA.
- Do
not choose names that are identical or similar to other existing names.
- Do
not choose an undesirable & offensive name.
- Make
sure that the name is not Generic.
- The
name should not contain another country's name, and also, the word
"state" is not permitted.
- Do
not use the word "British India" as it is not approved by MCA.
- The
names that implies patronage are not allowed as well.
- Do
not use any name that is associated with the Embassy or consulate or foreign
government.
- Do
not use short-forms or Abbreviations in the name.
For more information on this visit TAXAJ.
Posted By Twinkle
Team TaxaJ
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