Ministry of Corporate Affairs (MCA) is the official government website which aims at securing the Private Limited Companies name and its name approval process. The Ministry is primarily concerned with the administration of the Companies Act 2013, Limited Liability Partnership Act, 2008, the Companies Act 1956, and other allied Acts, as well as the rules and regulations framed there under, primarily for regulating the legal operation of the corporate sector.
How to secure the process of private limited company name approval?
In order to secure private limited company name approval process the companies or individual owners are required to follow these easy 5 steps:
Step 2- Go to the MCA services tab and click on the company name approval option to begin the process
Step 3- In the provided dialog box enters the name you must wish to propose for your Private limited company and Check Company Name Availability Online. You can also search for similar trademarks and name to make sure that chosen name for your company does not infringe on the intellectual property rights of others.
Step 4- Once the availability of companies name is checked, the name could be forwarded ahead for the approval process by filling out all the necessary details asked on the mentioned website along with paying the asked fees for such process.
Step 5– After the payments are done and the required details are been filled and confirmation mail, call or text message is sent regarding your application submitted. After checking for all the necessary criteria, the MCA would now review your application and name proposed for company and further initiates the process ahead with due security and care.
Once your company name has been approved by the secured initiations of MCA, you can begin the registration process by submitting the required documents and completing other formalities in accordance with the MCA’s guidelines.
Note: It is crucial to note that the name approval process can take desired time, so plan ahead of time and begin the process well before your desired registration date.
Private Limited Company Name Approval process
Private limited organizations are required to choose the name which is unique and relevant for their company. The name thought of must compile with all the necessities and guidelines mentioned or stated by MCA- Ministry of Corporate Affairs. The primary guidelines that must be considered is name must not be identical or similar to the trademark or existing companies name. Here is the process for name approval in case of Private Limited Company.
The company or their individual owners are firstly required to login with the MCA portal via its official website link using their credentials like ID password. Then moving on, the individual is required to click on RUN (Reserve unique name) option stated in the service tab of MCA. Then enter the proposed name, you have thought of for your company and choose the relevant industry or business activities you would be dealing into. After this, check on to the availability section, check whether the name you proposed is available or not within the MCA database.
In case the name is not available, go for the second option. After checking the availability of name fill the required details which primarily includes name of companies’ shareholders, directors etc. Then moving on ahead, payment is to be done in order to submit with the proposed application for you private limited company name. The application submitted then would either be rejected or approved on the basis of MCA guidelines that are required to be followed while opting for the company’s name. In case the name is approved it would further take 20 days of time to get reserved by MCA in its database. On the other hand in case the name is rejected the applicant has to go through the entire process again by submitting fresh application and new name. Continuing on, if the name is approved, while it is getting reserved the applicant of such name could begin with the approval process.
Note: It is advisable that the applicant must first consult to the professional while choosing the name for their private limited company. As the guidelines proposed by MCA are very strict and complicated. In case of lack of proper guidance the applicant could also lose money and time in such process. The entire process take minimum of 2 to 3 days of time spans thereby, it is suggested to plan and act accordingly.
How to search online private limited company name?
In order to Company Name Search Online for checking Pvt Ltd Company Name Availability the company is required to visit on the MCA website i.e. Ministry of Corporate Affairs. Then click on the MCA service tab and visit on the ‘View Company or LLP Master Data’ sector to enter the MCA database. Here enter the name you wish to keep for your private limited in the ‘Company/LLP Name’ field and enter the search button for the results. This search result would bring you to the names of the companies, trademarks which are identical to your proposed company’s name. The results appeared could be filtered on the basis of registration date, state, industry or status of that particular company.
Further if one wishes to see the detail information of the resulted company, click on view to the master data of that particular company option. This master data primarily includes the information such as financial statements, registration address, directors and shareholders details etc.
It is important to note that the MCA database is not always up to date, so it is best to conduct multiple searches over time to ensure that the name you want is available. It is also advisable to conduct a trademark search to ensure that the name has not already been registered as a trademark.
What are the rules to keep in mind while selecting company name?
As per MCA company name guidelines there are various strict measures that must be considered by individual while thinking of or proposing the name for their private limited company. Here are some of the major rules that must be kept in mind while proposing name for company-
- The name must not be identical to existing companies name
- The name must not be desirable
- The name must not hurt any sentiments such as religious, caste or any such other
- The name proposed must not be plural form of any existing name.
These are only few of the rules to keep in mind. There are many such more which one must consider while naming their company or filing application for its approval.
What are some of the conditions for name approval?
When the application is submitted by applicants after the final payment and other necessary information filling, the name goes for final approval. Under this approval process the MCA looks after various conditions that are to be fulfilled or satisfied by the companies in order to get their respective companies name approved. Here are some of the conditions mentioned below
- With the principle object of the company the name of the company must be consonance of the company’s memorandum of association.
- The name of the company must indicate the key operating area of the business. In other words it could be mentioned that the business operation must be indicated by the company’s name. For instance the company deals with financial activities, the term financial must comes in its name.
- The term “British India” must not be the part of company’s name.
- The abbreviated name for the company sent for approval will be immediately rejected. For instance names like ABC limited, BHK limited etc.
- The word in companies name indicates the other business activities or other industry related activities would not be approved by MCA as per its guidelines.
These are few of the key pointers to keep in mind while naming the private limited company. In case the company fails in fulfilling these conditions the application submitted would be rejected on immediate basis and the other new application with new name is to be filled.
Conclusion
The Ministry is primarily concerned with the administration of the Companies Act 2013, the Companies Act 1956, the Limited Liability Partnership Act, 2008, and other allied Acts, as well as the rules and regulations framed there under, primarily for regulating the legal operation of the corporate sector. The Ministry is also in charge of enforcing the Competition Act of 2002 in order to prevent anti-competitive practises, promote and sustain competition in markets, and protect consumers’ interests through the commission established by the Act.