{"id":549,"date":"2023-08-12T07:53:08","date_gmt":"2023-08-12T07:53:08","guid":{"rendered":"https:\/\/www.legalbabu.com\/learn\/?p=549"},"modified":"2025-03-15T04:09:52","modified_gmt":"2025-03-15T04:09:52","slug":"10-points-to-remember-before-choosing-company-name","status":"publish","type":"post","link":"https:\/\/www.legalbabu.com\/learn\/10-points-to-remember-before-choosing-company-name\/","title":{"rendered":"10 Points to Consider When Choosing a Company Name"},"content":{"rendered":"\n

Before you settle on a name for your company, take into account these 10 important factors. They will help ensure that your chosen name not only follows legal guidelines but also sticks in people’s minds and fits well with your brand.<\/p>\n\n\n\n

The Ministry of Corporate Affairs has provided the following rules for selecting a company name:<\/p>\n\n\n\n

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  1. Easy to Remember:<\/strong> Your company name should not be too long or too hard to pronounce. Keep it simple. Ideally, the names should be divided into three parts. You can refer to the below-mentioned example:<\/li>\n<\/ol>\n\n\n\n
    Name<\/strong><\/td>Object<\/strong><\/td>Constitution<\/strong><\/td><\/tr>
    STAR<\/td>LEGAL SERVICES<\/td>PRIVATE LIMITED<\/td><\/tr>
    MOON<\/td>STEEL<\/td>PRIVATE LIMITED<\/td><\/tr>
    SUN<\/td>SOFTWARE<\/td>PRIVATE LIMITED<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

    2. Uniqueness Matters: <\/strong>The proposed name should not be identical to any existing company, registered trademark, or registered LLP. A different tense or spelling, the addition of punctuation or place, or a plural version will not make the name different.<\/p>\n\n\n\n

    3. Cultural Sensitivity:<\/strong> The proposed name should not include any words that are offensive and hurt the sentiments of a section of people, regardless of gender or religion.<\/p>\n\n\n\n

    4. Phonetic Variations: <\/strong>using different phonetic spellings or variations that do not distinguish one name from the existing company<\/p>\n\n\n\n

    For example, if the company name \u2018K.M. Industries Limited\u2019 is registered, then \u2018K and M Industries\u2019 or \u2018Kay May Industries\u2019 or \u2018K n M Industries\u2019 or \u2018K&M Industries\u2019 will not be allowed. Moreover, if a company name consists of a numeric character like \u20183\u2019, resemblance needs to be checked with the alphabetical \u2018Three\u2019 too.<\/p>\n\n\n\n

    5. Avoid Geographical References:<\/strong> The proposed name should not contain the name of a continent, country, state, or city, such as Asia Limited, Germany Limited, Haryana Limited, or Mysore Limited.<\/p>\n\n\n\n

    6. No Trendy Additions: <\/strong>The addition of words like new, modern, nav, shri, sri, Shree, sree, om, jai, sai, the, etc., or the addition of a name of any place or region to any existing company name will not be allowed.<\/p>\n\n\n\n

    For example, if \u2018Bata Shoe Company\u2019 exists, \u2018New Bata Shoe Company\u2019 will not be allowed. Similarly, \u2018Unique Tiles Delhi Limited\u2019 will not be allowed if \u2018Unique Tiles Limited\u2019 already exists.<\/p>\n\n\n\n

    7. Distinct from Similar Names:<\/strong> Different combinations of the same words that do not make a name distinguishable from an existing name will not be allowed, e.g., if there is a company in existence by the name \u2018 ABC Builders and Contractors Limited, then the name \u2018ABC Contractors and Builders Limited\u2019 will not be allowed.<\/p>\n\n\n\n

    8. Translations Consideration: <\/strong>If the proposed name is an exact Hindi translation of an existing company in English, especially a reputed existing company, it will not be allowed. The same applies to vice versa, where exact English translations are used for an existing company name in Hindi. e.g., \u2018Hindustan Steel Industries Limited\u2019 will not be eligible if \u2018Hindustan Ispat Udyog Limited\u2019 exists.<\/p>\n\n\n\n

    9. No Internet Classifications:<\/strong> Internet-related classifications, such as.COM, .IN, .NET, .EDU, .GOV, .ORG will not be allowed, even if (.) is spelled out as a \u2018dot\u2019.<\/p>\n\n\n\n

    10.‘Financial’ Term:<\/strong> The word \u201cfinancial\u201d will not be approved unless you are registering an NBFC company.<\/p>\n\n\n\n

    Over and above, it is also strongly advised to Check domain name availability for a cohesive online presence. Remember, a well-thought-out name can contribute significantly to your company’s success.<\/p>\n\n\n\n

    Importance of Checking Company Name Availability<\/h2>\n\n\n\n

    Checking if your chosen company name is available holds significant importance for several reasons:<\/p>\n\n\n\n