Skip to main content

How to Choose a Name for Your Business, Company or Association

Many people wonder why CAC refused their chosen names for registrations. Some are distraught when they find out that the names that they have been using for years for their business or association is suddenly refused when they finally decided it was time to register it. Some have a particular word that they would like to retain in their businesses and associations and then find it difficult to use the name because there have been several registrations using that same word.

There are several reasons why the CAC refuses a name for registration. And there are steps that you can take to choose names or refine your name before proceeding to register your business, company or association.

Reasons for name disapproval by CAC

The CAC has several reasons for denying names submitted for reservations. These reasons are contained in section 852 of the Companies and Allied Matters Act, 2020 (otherwise called CAMA). They are prohibited and restricted names which the CAC will refuse to approve. They are any name or trade mark which:

(a) is identical with that by which a company or limited liability partnership in existence is already registered, or so nearly resembles that name as to be calculated to deceive;

(b) contains the words “Chamber of Commerce” unless it is a company limited by guarantee ;

(c) in the opinion of the Commission, is capable of misleading as to the nature or extent of its activities or is undesirable, offensive or otherwise contrary to public policy ;

(d) in the opinion of the Commission, would violate or conflict with any existing trademark or business name registered in Nigeria or body corporate formed under this Act unless the consent of the owner of the trade mark, business name or trustees of the body corporate has been obtained ;

(e) contains any word which, in the opinion of the Commission, is likely to mislead the public as to the nationality, race or religion of the persons by whom the business is wholly or mainly owned or controlled ;

(f ) is, in the opinion of the Commission, deceptive or objectionable in that it contains a reference or suggests association with any practice, institution, personage, foreign state or government, international organisation or international brand or is otherwise unsuitable ; or

(g) is capable of undermining public peace and national security.

The CAMA further gives names which cannot be registered unless with the consent of the CAC. They are names which contain or include the words:

(a) “Federal”, “National”, “Regional”, “State”
(b) “Government”, “Municipal” or “Chartered” 
(c) “Cooperative”; “Building Society” 
(d) “Group” or “Holding”. 

Steps you can take to ensure that your name will not be refused

Many people are often anxious about their names getting denied, especially when they have been using the name for a very long time and now decide to register it with the government. But it is possible to know if your chosen name will be approved or not. Here are some steps that you can take to know if your chosen name(s) will be approved by the CAC.

Step 1: Ensure that the name does not fall within the prohibited and restricted names listed in section 852. You can check the list above to confirm that.

Step 2: Visit search.cac.gov.ng/list and type in your chosen name or any part of it in the search box. The site is a CAC public search site that contains an up-to-date record of all CAC registrations. It gives you, at a glance, a list of names either resembling yours or exactly like yours. Otherwise, you will find that your name is particularly unique. 

Step 3: If you find out from the search that your name is unique, then you can proceed with your registration. But, if you find names very similar or exactly like yours, just chose another name. Some people think that changing, for instance, “Favour Cite Ltd” to “Favour Site Enterprises Ltd” will give it enough distinction for CAC to reserve it. However, in the eyes of CAC they are still very similar, both in words and in sound. 

Step 4: If you are finding it difficult to still go around the name problem, it would be best to consult an expert for advice. 

Articles on this site are meant for general knowledge only, not as professional advice. If you need personal advice on matters contained herein, you are advised to contact a professional.

We are a firm of legal practitioners and CAC certified agents. We help business owners, entrepreneurs and associations register their businesses, companies and associations with ease. If you need our help with any of the matters contained in the article, feel free to send us a mail at niyiama@yahoo.com or reach us on WhatsApp at +234-08126194751
Labels:

Comments

Post a Comment

Popular posts from this blog

Requirements for Registration of Companies

This discussion focuses on requirements for the registration of a Private Company Limited by Shares, otherwise called Private Limited Liability Company or Ltd for short. The reason is not farfetched. It is the major brand of companies registered with the CAC in Nigeria. Apart from that, except for a few differences, the requirements are largely the same with other brands of company registrations. 1 - Proposed Names You must supply at least two proposed names for the company. They are called proposed (options) because until either of the names is submitted and reserved by the CAC for registration, you can’t use them for registration. Only the CAC can decide which name is appropriate for registration. Always state your preferred name first, because CAC looks at the first name stated, before considering the second. If approved, a name is reserved for 60 days. To know more about choosing a name for your business, read this article .  2 - Objects of the Proposed Company The objects of the
Post a Comment
Read more

Be Wary of these Scams (2) - The Crypto Investment

Crypto currencies have become very popular. Although their acceptability as a means of exchange is still widely debated, it has come to be one of the greatest sources of investments in the world today. Since the advent of Bitcoin in 2009, there now exists over 20,000 crypto currencies in the world. As of August 15, 2022, the number of cryptocurrencies tracked by CoinMarketCap stood at 20,575. According to Finbold , this figure represents a growth of 709 new digital assets or a 3.5% increase from the 19,866 recorded on June 15. Nigerians are not left out in the craze to invest in cryptos. This is particularly true for teens and youths. And that’s why there is a need to watch out for crypto scams, because fraudsters have also gotten on the game. The United States’ Securities and Exchange Commission in a recent article posted on its website stated: We are concerned that the rising use of virtual currencies in the global marketplace may entice fraudsters to lure investors into
Post a Comment
Read more

Requirements for Registration of Incorporated Trustees (NGOs, Associations, Foundations, Clubs)

Unlike business name and company registrations, registration of Incorporated Trustees (IT) is in a class of its own. This is because Incorporated Trustees are non-profit organisations (NGOs) and often end with Associations, Clubs etc. Since the coming into place of the CAC’s Company’s Registration Portal (CRP), the procedure for registration has become really simplified and less time-wasting. ITs are often registered for religious, educational, literary, scientific, social, development, cultural, sporting or charitable purpose.  1 - Proposed Names As in business name and company registration, you must provide proposed names. But unlike the former, Incorporated Trustees now allows for 4 proposed names. This is because the cost of reserving a name for IT registration is ten times more than that for reserving a business name or company. Application for Reservation of name for registration of an IT is called an application for consent to register the association with the CAC. A
Post a Comment
Read more