Starting a company is never easy. It requires deep research into the proposed area of operation, financial management and through groundwork. However, all done, it is also important that a good name be chosen in order to build a brand or service out of the name.
A name is a true reflection of what the company does. While many brand name generators like names4brands.com are available in order to come up with creative solutions, there is also the need to supplement creativity with a legal opinion, to ensure that nothing can go wrong intellectual property wise, either now or in the future.
Some of the legal aspects considered are discussed below.
Any company name in India will generally consist of 2 parts – first, the name itself, second the object and third, the constitution.
The name should comply as per the requirements of the Companies Act, 2013 or LLP Act, 2008 and it is important that the government MCA website be checked before filing, to ensure availability and also if all aspects are complied with. The link for the same is http://www.mca.gov.in/DCAPortalWeb/dca/MyMCALogin.do?method=setDefaultProperty&mode=16
Object basically states the field of activity or purpose or type of company. For example, technology solutions, security services etc. Similarly, there are specific keywords indicating the authorized capital. These include words like Corporation, Industries, Udyog etc. For example, for using the word Corporation, the authorized capital must be a minimum of 5 crore rupees.
When the above are basically considered, it will mean that the naming of the company will be on a sound legal footing. Once this is through, the business can be started and operated without any hassle. Further, in future cases, when there is a conflict from another company, be it in business operations or branding, compliance with legal aspects from the initial stages will empower the business to fight back effectively.