RUN or Reserve Unique Name facility is a service offered by the Ministry of Corporate Affairs (MCA) to simplify and speedup the company name approval process. Prior to the introduction of RUN form, any person wishing to obtain a name approval from the MCA must first obtain Director Identification Number (DIN) and then make a name reservation application in Form INC-1.
Now, any person having a MCA login can easily reserve a company name for a period of upto 20 days by applying on the MCA portal. The fee charged by the Government for verifying and approving or rejecting a name approval application made using RUN form is Rs.1000. The average time taken by the Government for processing a RUN name application is less than a day. Legalsuvidha.com can help you in obtaining in RUN name approval and incorporate a company in India for just Rs. 6,999, all inclusive fee. Name approval fee of INR 1000 and Stamp duty as per state of registration shall be additional.
An acceptable company or LLP name must not be identical or similar to an existing company or LLP name or trademark. The MCA RUN name application form automatically detect and prevents users from applying for a company name that is identical to an existing company or LLP name. However, the RUN name application form does not verify if the suggested name is identical to an existing trademark. Using the free services of Legal Suvidha team, you can get the verification of the availability of name against the MCA and trademark database.
If the name is not identical, the system would allow for submission of the name. On payment of the fee, the application would be forwarded to the MCA Centralised Registration Centre and a MCA Officer would verify if the name is similar to an existing company name or LLP name or trademark. In case the MCA officer feels the name is similar to an existing company name or LLP name or the name is not acceptable as per MCA Incorporation Rules, the RUN name application would be rejected. If the name is acceptable, the name reservation approval would be granted for a period of 20 days. Before the expiry of the 20 days mentioned on the name approval, the applicant must file the application for incorporation of the company.
Proposed company name cannot be identical or similar to an existing company or LLP or trademark. Plural version, joining or separating words, spacing, different tense, different spelling, addition of place, addition of titles and other minor difference would not make a name unique.
Proposed company name cannot infringe on a registered trademark or an application for registration of a trademark, unless the consent of the registered trademark owner or trademark applicant is submitted along with the name approval application.
Proposed company names cannot include words indicative of a separate type of business constitution or legal person or any connotation. For example, words like co-operative, sehkari, trust, partnership, proprietor, society, HUF, firm, Inc., GmbH, SA, PTE, Sdn, AG cannot be a part of company name.
Proposed company name cannot imply association or connection with or patronage of a national hero or any person held in high esteem or important personages who occupied or occupying important positions in Government. Proposed name cannot imply association with Indian or Foreign Government.
Proposed company names that include words like insurance, bank, stock exchange, venture capital, asset management, mutual fund or other financial activity may require approval from Regulatory Bodies like RBI, SEBI, IRDAI, etc.,
Proposed company names that include words like international, globe, universal, continental, asiatic, asia, industries, udyog, hindustan, india, bharat, enterprises, products, business and others may require the company to have a minimum authorised capital of Rs.5 lakhs and above.