21 Oct 2017Posted By: Chaman

Name Guidelines for a Company as issued by mca - Companies Act, 2013

The name of a company is not only its identity but also one of the most important marketing strategies of that company. A company, be it private, public or one –person, must follow some set of rules for naming. Companies Act, 2013 deals with the name guidelines for a company. This article will tell you various provisions and restrictions under Companies Act, 2013 while naming the Company.


Provisions under Companies Act, 2013 regarding proposing a name of a company:


  • Under section-4, it is stated that the name of a public limited company will end with ‘Limited' and the name of a private limited company will end with ‘Private Limited'.

  • As per section 4(2) of the Companies Act, 2013, the name, which a company will select, shall not be identical with any other existing company's name. If a company uses an existing name, then its use will be considered as undesirable as well as an offense.

  • Section 4(3) says that the name of a company should not be connected with the Central Government or any State Government or local authority.

  • According to section 4(4), Form no. INC1 contains an application for the availability of name as well as the prescribed fee of Rs.1000.

  • Section 4(5) of the Companies Act, 2013 prescribes the maximum time, for which name of a company should be applicable.


Name Guidelines for a company:


The proposed name should not resemble another existing name:


Some tests are applied to determine whether a proposed name for a company resembles that of another existing company.

Plural version: If the name of an existing company is "Luxury Hotel Private Ltd.", then the proposed name for a new company can never be "Luxury Hotels Private Ltd." as the proposed name is only the plural version of the existing name.

Type, spacing, Letter case or punctuation marks: Suppose a company's name is "Luxury Hotel Private Ltd.". the proposed name as "LUXURY Hotel Private Ltd." or "Luxury Hotel Private Ltd." or "Luxury-Hotel Private Ltd." cannot be allowed.

Similarly, the use of different tense or number or phonetic spellings, intentionally misspelled words do not make a name unique. Even, an addition of internet related designation (e.g. Luxury Hotel.com Private Ltd.); common names or titles (e.g. New Luxury Hotel Private Ltd.); the name of a place(e.g. Luxury Hotel India Private Ltd.) do not make a name unique.


The proposed name should be considered as undesirable if it violates-

  • Section 3 of the Emblems Act, 1950

  • The Registered trademark


Other conditions for approval of a name for a company:

  1. The name should be in accordance with the main object.

  2. Name of a company, which is identical to a separate type of business constitution, can never be allowed.

  3. A name containing ‘British India' will not be allowed.

  4. Name having a connection with an embassy of a foreign government cannot be allowed.

  5. Name associated with a national hero or persons held in important positions in government, will not be allowed.

  6. Name of a company having a resemblance to the name of another company, which is dissolved due to liquidation proceeding, can be allowed after 2 years of dissolution.

  7. Names containing the names of a country, continent, state, and city will not be allowed.

Conclusion: Along with the above-mentioned name guidelines, the company might follow the basic guideline. Bear in mind, the name of a company consists of 3 parts; Name; Object; Constitution part. For instance, in Hindustan Lever Private Limited, Hindustan is the name; Lever is the object, and Private Limited is the constitution part.


 In case you need assistance for company formation you can fill out our inquiry form and arrange a call from E-Startupindia business advisors or you can connect with us at 8881069069 


Posted By Sandhya
Posted Date 2018-01-17 15:29:58

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