What name may be used for a company?

Great care must be taken when setting up a new company, or changing a company's name, to ensure that the proposed name meets all the statutory requirements, does not infringe the rights of others (who may bring legal proceedings involving both cost and disruption to the new business) and which is adequately protected against others who may seek to use the name in the future. Incorporation Services Limited provides an expert service for all your company formation and company law requirements, including advoce as to the proposed company name.

Companies Acts requirements (CA 1985, sec26-34)
The following restrictions apply to the registration of a company name:

1. It must not be the same as a name already registered.
There are over 1.2 million companies already registered, and each company must have a different name. For these purposes, certain things are ignored when determining whether one name is the same as another, these include:

'Limited' and 'PLC' (or public limited company) at the end of the name;
the words 'Company' and 'and Company';
'The' at the beginning of the name;
the use of capital or lower case letters and punctuation (and note that 'and' is the same as '&' for these purposes.

So, if Widget Makers PLC is already registered, none of the following names would be available:

Widget Makers Limited
The Widget Makers Company Limited
Widget-makers public limited company, etc.

If a name is only very slightly different from one already registered, it will be accepted for registration but there could still be potentially serious problems if the name is too like one already in use (see below).

To check a name for availability click here

2. It must end in 'Limited or plc
If it is a limited company, the name must end with 'Limited' (if a private company) or 'public limited company' or 'plc' if a public company. This is intended as a warning to those dealing with the company that the members' liability is limited.

3. Must not include 'limited', 'unlimited, public limited company or abbreviations of these, except at the end of the name.

4. Sensitive words
The following words can be used only with permission from Companies House or some other body:

Abortion
Anzac
Apothecary
Architect
Association
Assurance (and assurance broker and assurer)
Authority
Bank (and banker and banking)
Benevolent
Board
British
Building Society
Chamber of Commerce (or Chamber of Industry or Chamber of Trade)
Charity (and charitable)
Charter (and chartered)
Chemist (and chemistry)
Contact lens
Co-operative
Council
Credit Union
Dental (and dentist and dentistry)
Deposit
District Nurse
Drug (and druggist)
Duke
England (and English)
European
Federation
Foundation
Friendly Society
Fund
Giro
Great Britain
Group
Health Centre
Health Service
Health Visitor
Her (and His) Majesty
Holding
Industrial and Provident Society
Institute (and Institution)
Insurance (and insurance broker and insurer)
International
Ireland (and Irish)
King
Midwife (and midwifery)
National
Nurse (and nursing)
Occupational therapist
Optician
Optometrist
Patent (and patentee, Patent Office, Patent Agent)
Pharmacist (and pharmaceutist, pharmaceutical, pharmacy)
Police
Polytechnic
Post Office
Pregnancy termination
Prince (and princess)
Queen
Red Cross
Re-assurance (and reassurance broker)
Register (and registered)
Re-insurance and re-insurer)
Royal (and Royale and Royalty)
Scotland (Scottish)
Sheffield
Society
Special school
Stock Exchange
Trade Union
Trust
United Kingdom (and UK)
University
Veterinary (and vet and veterinary surgeon)
Wales (and Welsh)
Windsor

Permission is quite easily obtained for some of these words, but can be very difficult for others. Company Law Club Services Department can advise on the criteria used for determining applications for the use of sensitive words, or can make the application. See club services below.

4. Government connection
The name must not suggest connection with the government or a local authority. For example 'Home Office Supplies Limited' or 'Lambeth Housing Services Limited' could be objected to on these grounds.

5. Offensive names
The name must not be offensive (though objections raised on initial application can be overcome by presenting arguments to Companies House).

Other problems
Even when a name is accepted for registration there may be legal problems in using it. These include

Passing off
The main common law restriction on the use of a name (for any business whether sole trader, partnership or company) is that the name used for the business, or a very similar name, may already be in use by an existing business. The other business may be able to sue for the tort of passing off. (See related topic: What is passing off?).(link below).

Companies House order to change the name
Such an order can be made by Companies House (on behalf of the Secretary of State) if a company has been registered in a name which is 'too like' one which was already on the register: CA 1985, sec28(2). The order can be made only within 12 months after registration of the offending name. In practice, the order is usually made only after complaint to Companies House by the pre-existing company. Notice the trap that can beset those registering a new company: Companies House will allow a name to be registered that is very similar to that of an existing company (provided it is not the same), but subsequently order the new company to change its name because it is too like the one already there.

So, for anyone setting up a new company, it is important that the name check is done thoroughly. Alternative spellings of all the words should be checked, and names which are too similar should be avoided, or used only after careful consideration. Being threatened with litigation and having to change the company's name after stationery has been printed and business commenced in the original name can be disruptive and expensive.

To check a name for availability click here

Trade mark infringement
Care must be taken to avoid setting up a company which will infringe a registered trade mark. In many cases a trade mark search should be undertaken before registering a company name, and trade mark registration should also be considered.

Domain names
A domain name is the name by which a business is registered on the Internet. Internet business is increasing day by day and, whether the directors of the new company have any immediate plans to trade in this way or not, they should consider having their domain name registered to stop others using it.

Use of other names (business names)
A company can use a name other than its registered name, subject to the Business Names Act 1985. Such a name is not registered at Companies House. It is quite common to see companies which were bought as ready made companies trading under another name in this way. Note that the company's full registered name must appear on all notepaper, etc. and the registered office and every place of business: CA 1985, sec348-349.

Such a business name must not end in 'Limited' or 'PLC' and must not use any of the sensitive words listed above without consent.

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