Company Registration

How to Check Company Name Availability?

The concept of company name availability is that the name proposed for registration. It must not resemble an existing Company or LLP name. Also, the proposed name shall be within the rules framed by the Government of India from time to time.

What is Incorporation of a Company and Company Name Availability?

Incorporation means forming a new company. The company may be a business, non-profit organization, a startup, a micro, small, or medium scale business (MSME). The company is incorporated by filing various forms and documents under the MCA (Ministry of Corporate Affairs).

The first and foremost rule regarding company registration is selecting a name and running an MCA check to see company name availability.

Guidelines for Company name (Company Name Availability)

The Registrar of Companies (RoC) across India expects the applicant to follow the guidelines. Some of them are subjective, which means approval or rejection will depend on the officer’s opinion handling your application.

The applicant must follow the guidelines to choose the company name:

• The name chosen for the company must not be identical or similar to an already existing company.
• The use of articles (a, an, the) will not be considered a unique name.
• The applicant must avoid the use of phonetic words.
• The applicant must avoid the use of offensive words.
• The applicant must also do a Trademark search (https://ipindiaonline.gov.in/tmrpublicsearch/frmmain.aspx) to ensure that there is company name availability and avoid duplication.
• If the name meets the conditions mentioned above, then the applicant should block the Domain Name.
• Company names with the words insurance, bank, stock exchange, mutual fund, asset management, etc., may require regulatory approvals from IRDAI, SEBI, RBI, etc.
• Company names that include International, Globe, Asia, India, etc., should have a minimum authorized capital of Rs. 5 lakhs and above.
• Lastly, the applicant must check the company name availability to avoid rejection from the ministry. 

Process to check Company Name Availability

To check company name availability, the applicant must visit the MCA portal and the Trademark portal.

The following steps must be followed by the applicant:

• Go to: www.mca.gov.in.
• To check company name availability on MCA, open Check Company Name on the website.
• Enter the name and primary business activity of the company to have accurate results.
• It will show all the results with a similar name. If the proposed name is available, it will show an error as ‘Entered Company /LLP name does not exist.’
• To check company name availability, one should only enter the first or first two words.
• As per the rules, the applicant must check the Trademark portal as well to check the company name availability.
• The proposed name must not resemble any trademark, except that the trademark owner provides NOC to use such a name.
• To do a Trademark search, visit www.ipindia.gov.in, open trademark search and then enter name and class.
• The applicant must also check the phonetic names to avoid objections.
• Lastly, if the name is available, the applicant can move ahead with it.
• If the proposed name is so unique, the applicant can directly apply after filing requisite forms on the MCA website.
• If the chances of name availability are less, then the applicant can file a separate name application. In this application, one can apply for two names maximum. If any of these names are not approved by MCA, then the applicant will get one more chance to apply with the other two names.

Grounds for rejection of the name

The MCA (Ministry of Corporate Affairs) has a regulatory framework set up for naming the company. If your company name does not fall under the set of MCA rules, your application might be rejected. 

 The following grounds are available for rejection of the name:

• The applicant is asked not to use abbreviations, adjectives, generic terms, which amounts to rejection.
• Description of the company name should have significance.
• If the addition of place name will make the company name different from an already existing one, it will be rejected.
• The word ‘state’ can only be used by the Government, and no one else.
• The proposed name should not contain any offensive words against public morality or should not contain any profanity.
• The mere translating of the name from English to Hindi of an already existing company amounts to rejection. (For Example, Ace Aam Producers will not be approved if a company named Ace Mango Producers already exists.)
• Don’t add common used words in the proposed company name.

The applicant must keep in mind the grounds following which MCA can reject the name.

Conclusion

To examine the name availability is a crucial step involved in company registration. The applicant can check the company name availability on the MCA website. The final authority to approve or reject the company name is with MCA.

Read our article: Role of Registrar in Company Registration