Legal name of the entity
Starting a new business is related to the choice of the entity legal name. For some it’s a question of a few minutes, some think more deeply. They consider it not only as the name of the company, but the idea that this name demonstrates and how it can affect business marketing. Besides, the name of the legal entity is both its commercial name.
Despite the hassle of choosing legal entity name, there are also some formal issues. The legislation of Ukraine establishes certain requirements that company name may include.
Therefore, the legal name of the entity:
– Cannot duplicate your (or another) legal form (for example LLC „LLC …”);
– Duplicate legal name of other entity;
– Legal entity name can contain names or aliases of individuals, names and dates of historical events and holiday dates, only under procedure established by the Law of Ukraine “On conferring to legal persons and objects ownership names (aliases) of individuals, anniversaries and holiday dates Names and dates of historical events”;
– Name of the company should be in Ukrainian Cyrillic, and, if available, also in English, and Russian languages;
– Legal names of entities cannot use full or abbreviated names of state bodies or public historical names. This requirement is really urgent because of the large number of various promote committees, etc.;
– Companies that are not relevant financial institutions cannot use in its name words „bank”, „credit union”, „Corporate Investment Fund”, „insurance company” and so on;
– There is quite an unreasonable restriction on the use of certain characters in legal names. Only the following punctuation marks and symbols are allowed: quotes, period, comma, colon, parentheses, apostrophe, hyphen, dash, slash, exclamation mark, question mark, number, plus, equal sign, star, at commercial (Email sign). But sign “&” (ampersand) and many others are forgotten without any explanation; despite the fact many foreign entities use them in their names. It turns out that because of this they have to change their age-old tried and tested commercial names. We consider this a quite illogical restriction.
Currently, the legal name of entity reservation is canceled. Until recently, the founder of the legal entity was entitled to reserve the name of the legal entity for two months. But this need for redundancy of legal entity name became useless, since there is an open access to the register of legal entities and individuals – entrepreneurs, where everyone can check if the company name is already used.