Once you decide to start a Private limited company, the first question which arises is the name of the Company. Every person desires to have a unique name for Private Limited Company. But question arises How to Choose Private Limited Company Name in India.
But there are Company Naming Guidelines As Per Companies Act 2013 regarding choosing the name of the Company and the name availability as per the Companies Act, 2013 and Companies Incorporation Rules. Section 4, Companies Act, 2013 read with Rule 8 of the Companies (Incorporation) Rules, 2014, lays down conditions to be followed for choosing the name of the Company. Private Limited company name suggestions as below
There are few basic key words which can be used specifically only by that Company as per the Section 4, Companies Act, 2013 read with Rule 8 of the Companies (Incorporation) Rules, 2014.
|Sr. No||Word||Use of Word for a particular type of Company for availing Private Limited Company Name|
|1||Private Limited||The proposed word “Private Limited” can be used only in case of Private Limited Companies|
|2||Public Limted||The proposed word “Public Limited” can be used only in case of Public Limited Companies|
|3||State||The proposed word “State” can be used only in case of Government Companies|
|4||Corporation/ Financial||The proposed word “Corporation/Financial” can be used only in case of Semi Government or Finance Companies with prior approval of Reserve Bank of India and Regional Director of ROC.|
|5||OPC||The proposed word “OPC” can be used only in case of One Person Company|
|6||LLP i.e Limited Liability Partnership||The proposed word “LLP” can be used only in case of Limited Liability Partnership|
|7||Sec 8 Company||The proposed word(s) “Trust, foundationetc” can be used only in case of Sec 8 Company.|
Following are some Do’s and Dont’s while choosing a Private Limited Company Name
The last word while choosing name of the Company shall be “Limited” in case of a public limited company and “Private Limited” in case of Private limited company or any other as per the type of Company.
As per Rule 8, the name should not include restricted words like foundation, forum, association, federation, chambers, confederation, council, electoral trust, etc unless Central Governments permission is taken in case of selection of Private limited company Name except in case of Sec 8 Company.
Every Company incorporated as a “Nidhi” shall have the last word ‘Nidhi Limited’ as part of Private Limited Company Name.
If the proposed Company has its main business activity as financing, leasing, chit fund, investments, securities or combination there of, the Private Limited Company Name should be indicative of such related financial activities.
Use of the word “Insurance’, ‘Bank’, ‘Stock Exchange’, ‘Venture Capital’, ‘Asset Management’, ‘Nidhi’, ‘Mutual fund” may be allowed only where a declaration is submitted by the applicant that the requirements mandated by the respective regulator, such as IRDA, RBI, SEBI, MCA etc. have been complied with by the applicant.
The Private limited company Name should not be identical or resembling with the similar name of the existing company or a Limited Liability Partnership whether incorporated in India or outside India and the name is reserved with the Registrar.
Earlier before amendment, the company was required to select the name which is in line with the Business activity only, but now there is no such requirement.
The use of the name shall not constitute an offence under any law.
The name should not contain any word or expression which gives the impression that company is connected to the Government, unless the permission of Central Government has been obtained.
The Private Limited Company Name should not use existing name in the following manner: Joining or separating words, using different tense, using different phonetic spellings or spelling variations , misspelled words, addition of ‘.com’, ‘.net’, ‘.edu’ etc internet related designation, addition of words like ‘New’, ‘Modern’, ‘Shree’ etc, different combinations of the same words (as in the above mentioned example), Hindi or English translation of the same name.