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The legislation imposes some limits on the names that companies can register. The aim of the provisions is to protect companies’ goodwill being exploited by other companies trying to pass themselves off as them, and to protect the public. The restrictions include the following. Sensitive Words Certain words are forbidden to be included in a company name because they imply some authority, association with a legal or government body or a regional relationship which might not exist. The use of these words is not prohibited, but regulated, such that a company must satisfy certain criteria if they wish to use them. Too Similar or Same As A company cannot register a name which is deemed as too similar to a company name already on the register. Offensive Names Company names which are deemed to be offensive will be prohibited from registration. Misleading or Inappropriate Names Companies cannot use the letters LLP or PLC if it is not in fact a limited or public company, respectively. That is, the company cannot, by its name, imply that it is something it is not. Finding a suitable company name that will not breach the rules can be difficult. Using a company and commercial solicitor throughout the establishment and registration of your company means that they can investigate such issues. Using some types of prohibited names can be a criminal offence. If Companies House takes issue with your company’s name, you should consult a company and commercial solicitor. There are also related requirements to disclose certain information about your company. Harsh penalties can apply for failing to meet these requirements. If you are investigated by Companies House for such offences you should consult a company and commercial solicitor.
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