When setting up a company, there is a lot which has to be done so that you can start trading. Not only will you have to determine a registered address, appoint directors and find shareholders but you’ll also have to come up with a name for your company as well. When a valid company name is provided when registering a company, there won’t be any delays because the company name will be accepted. It is very important that the necessary steps are taken in order to determine whether a particular company name can be used or not. Firstly, there are many rules which a company name has to abide by.
What shouldn’t be in a Sole Trader company name?
The type of company which will be formed should be carefully considered when coming up with a company name. A Sole Trader is a unique type of company because only one person is employed which is normally the individual who formed it. Sole Trader companies are typically run by people who work for themselves that do not employ others. Such people that form Sole Trader companies include freelance writers, consultants and graphic designers. The company name which is used by a Sole Trader is normally the name of the person who formed it which is then followed by the type of business they specialise in e.g. ‘Amelia McKinley Graphic Design’.
The name which is used for a Sole Trader business doesn’t have to be registered with an organisation. This is because it can be informed to HRMC (Her Majesty’s Revenue and Customs) when a person starts to receive money for their services. However, there are restrictions for company names that are used by other types of businesses.
What should be done when creating a name for a limited company?
The name which is used by a limited company must end with ‘ltd’ or ‘Ltd’. However, there are many rules which govern what should be in a limited company name:
– No reference to a governmental office or Her Majesty’s government.
– A limited company name must not contain obscene terms or words which might cause offence.
– A limited company must reflect the services which will be provided.
– The location which a limited company is in can be in a name. The place where a limited company is can help to promote services through Search Engine Optimisation.
– Www, .co.uk and .com should not be in a company name.
When a limited company name has been created, what’s next?
The only way in which a company name can be registered is through Companies House. However, as already discussed, it should be checked so that it is valid. Only when Companies House has given authorisation can a company start to use its preferred name. The registrar’s index of company names will also enable a limited company to know whether their name exists. If a company name is the ‘same as’ another, Companies House will reject it. For example, if an application is made for ‘Kev S Roofing’ and another company already exists under ‘Kev’s Roofing’, it will not be accepted.
A company name can also be checked via the UK Intellectual Property Office. Here, you can find out whether a Trade Mark will be infringed by your preferred company name. If a Trade Mark is infringed, a costly legal case might be brought against you. Therefore, when you check a company name on this website, it will save you a lot of hassle as well as time and money.
When a company name has been checked, it can be submitted to Companies House and you won’t worry about whether it will be rejected nor will a legal case be made by another company against you.