Form a Company

Some businesses are unlucky enough to receive a trademark infringement letter requiring them to 'cease and desist' from using their company name. They are invariably baffled how such a thing could happen to them given that the name was available when they formed their company.

It is not well understood that the availability of a corporate name means only that there is no other legal entity with the identical or near identical same name. It does not mean that no competitors are trading under that name, and this is what you need to establish in order to be able to USE a business name. So, for example, a partnership or sole trader, or even a company with a different name may be trading under the same or a similar name to that of your new company, and if they are in a competing business to the one you are starting up, they will be able to stop you using your name, invariably AFTER you have built goodwill in it.

If you proceed to use your new company name as your trading name without first clearing the name, then you will be building your business on shaky foundations.

We can advise on business names before incorporation and help you to make the most of the many benefits of forming a company that are not available to sole proprietors or partnerships. For example, you can protect your personal assets, because the company will be a separate legal entity, and for many people there will be tax benefits too, although each case needs to be considered on its merits.

Whether you require advice on business names, or the most appropriate structure for starting up your business, or simply want us to form a limited company for you, tailor articles and memorandum of association, or draw up a shareholder agreement or director’s service contract please contact us. Before you settle on a name, please see Business names.

See also: Domains, Trademarks