How do you register a company name?
One of the key steps in setting up a limited company is securing a unique company name to prevent competitors from using it. This article explores the essential process of registering a company name, along with important considerations when selecting the perfect name for your business.
What is the procedure to register a company name?
To register a company name, you must form a limited company, as a company name cannot be reserved or held independently. The process of registering a company name is identical to registering a limited company with Companies House.
The first step in forming a limited company is selecting the company name. To do this successfully, you must adhere to specific rules:
Identical and similar names
Each company name must be unique, and it’s not possible to register two companies with the same name. You can search the existing register to check if a name is already taken. Additionally, a name cannot be too similar to an existing one, especially if the other company is a competitor, as this could lead to your registration being rejected. Use our company search tool to ensure your chosen name is distinct and compliant.
Offensive or sensitive words
A company name cannot include offensive words, such as swear words or discriminatory language. Additionally, certain words are considered sensitive, like “bank” or “government,” and cannot be used without proper authorization. For more information, check here!
Limited
Unless exempted, all private limited company names must end with “Limited” or “Ltd” (or their Welsh equivalents). Besides selecting the company name, other key steps in setting up a limited company and registering its name include:
- Appointing one or more company directors
- Designating at least one shareholder and issuing shares to them
- Identifying individuals with significant control
When forming a company primarily to secure a name for future use, the business owner usually appoints themselves as the sole director and shareholder. After the company begins trading, they can appoint additional directors and bring in new shareholders.
How do you choose a company name to register?
Choosing a company name requires careful consideration. While everyone may approach this decision differently, there are common factors to consider. Typically, company names are selected for one of three main reasons:
- Descriptive of the product or service, e.g. Burger King
- Named after the founder, e.g. McDonald’s
- Branding reasons, e.g. Virgin or Apple
Descriptive names can boost online visibility as search engines tend to pick up relevant keywords. However, if the name includes very common words, achieving a high search ranking may be challenging due to increased competition.
Choosing a unique company name can help distinguish your business from competitors and build a strong brand identity, much like companies such as Google. However, it’s crucial to ensure the name isn’t too difficult to say or spell, as this can hinder word-of-mouth recommendations and make it harder for customers to remember and share your brand.
Avoid selecting a name that closely resembles a competitor’s, as it could lead to legal issues for passing off. Additionally, ensure that the name doesn’t have unintended or controversial meanings in other languages or as slang, which could negatively impact your brand.
Including a geographical location in your company name can be a double-edged sword. On one hand, it can boost local appeal and improve search engine optimization (SEO), especially for businesses targeting a specific area. On the other hand, it might limit your business’s ability to expand beyond that region and could be less effective for an online business aiming for a broader audience.
Where else should you register a company name?
Domain names
Securing the right domain name is nearly as vital as registering your company name.
It’s generally wise to check the availability of your desired domain name before registering your company name.
Trademarks
A trademark is a symbol or sign that allows a business to differentiate its products or services from those of others. While it’s primarily used for branding, it can also help protect a business name, preventing competitors from using similar names. Trademarks often function separately from a company’s registered name but can offer additional protection for the business’s identity.
Before registering a company name, it’s wise to conduct basic trademark searches to ensure the name doesn’t infringe on an existing registered trademark.
Do you have any other questions?
Registering a company name is a crucial step in forming your business. It’s important to choose a name that not only represents your brand but also complies with UK regulations. The process involves checking the availability of the name, ensuring it doesn’t infringe on any trademarks, and completing the necessary paperwork with Companies House.
If you’re uncertain or need assistance, consulting a professional can be beneficial. Startxpress is here to help with expert advice and support.
For more detailed steps, visit the Startxpress Help Center and Blog. For further help, reach out at support@startxpress.io!
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