INTRODUCTION

Choosing a name is the very first identity step for any business in India. Whether you are planning to incorporate a Private Limited Company or form a Limited Liability Partnership (LLP), the name reservation process with the Ministry of Corporate Affairs (MCA) is mandatory. This step ensures your chosen name is unique, compliant with the Companies Act, 2013, the LLP Act, 2008, and does not infringe on existing trademarks.

In 2025, the MCA’s online system has become even more streamlined with the SPICe+ (Simplified Proforma for Incorporating a Company Electronically Plus) and RUN (Reserve Unique Name) services. While the process is digital and simplified, rejection rates remain high because entrepreneurs often overlook the finer guidelines for name approval.

In this blog, we at Lawfinity will give you a step-by-step understanding of the name reservation for Private Limited Company & LLP, the documents you need, penalties for non-compliance, FAQs, and practical insights to avoid rejection.

WHY IS NAME RESERVATION REQUIRED?

Name reservation is not just a procedural formality—it is a legal requirement before incorporating your company or LLP. Without reserving the name:

You cannot file incorporation documents with the Registrar of Companies (RoC).
Your desired brand identity might be taken by someone else.
Banks, investors, and stakeholders will not recognize your entity legally.

Think of it as securing your business’s digital and legal identity card. Just like a passport, it makes your company recognizable in the eyes of law and commerce.

WHO ISSUES THE APPROVAL?

The authority for approving or rejecting your proposed name lies with the Registrar of Companies (RoC) functioning under the Ministry of Corporate Affairs (MCA).

The MCA portal facilitates online submission and tracking.
The RoC cross-checks your proposed name against:
Companies (Incorporation) Rules, 2014
LLP Rules, 2009
Trademark database maintained by IP India
Names already approved or registered in the MCA database

ELIGIBILITY AND DOCUMENTS REQUIRED FOR NAME RESERVATION

Eligibility

1. Private Limited Company

Minimum 2 shareholders and 2 directors (can be the same people).
Name must end with “Private Limited”.
Name cannot include restricted words like “Government”, “National”, “Stock Exchange”, unless approvals are taken.

2. LLP

Minimum 2 partners required.
Name must end with “LLP”.
Cannot resemble existing LLPs, companies, or trademarks.

Documents Required

Applicant’s Digital Signature (DSC) (for filing SPICe+ in case of company).
Proposed Name(s) (up to 2 choices under RUN, or single name in SPICe+).
NOC or approval letters (if the name includes regulated words like “Bank”, “Insurance”, “Stock Exchange”).
Trademark authorization letter (if your proposed name resembles a registered trademark but you have ownership/authorization).

STEP-BY-STEP PROCESS FOR NAME RESERVATION

For Private Limited Company

1. Login to MCA Portal – Create a Director Identification Number (DIN) account or register as a new user.

2. RUN Form (Reserve Unique Name) – File the RUN application by providing two proposed names in order of preference. The system auto-checks availability.

3. Pay Fees – ₹1,000 per application.

4. Name Approval/Rejection – RoC examines the request. Approval is valid for 20 days for new companies (extended to 60 days for already existing companies changing names).

5. Proceed with Incorporation via SPICe+ – Once the name is reserved, file the SPICe+ Part A & B for incorporation.

For LLP

1. File RUN-LLP on MCA portal.

2. Enter Proposed Names (two options allowed).

3. Pay Fees – ₹200 per application.

4. Approval Timeline – Typically 2–3 working days.

5. Validity – Approved name is valid for 90 days. LLP incorporation must be completed within this time.

Latest Amendments (2023–2025)

MCA now auto-rejects names resembling registered trademarks unless consent/NOC is uploaded.
Names containing state, central, union, board, regulatory, professional bodies require additional supporting documents.
MCA introduced auto-check integration with IP India trademark database in RUN & SPICe+.

PENALTY FOR OPERATING WITHOUT PROPER NAME RESERVATION

If you bypass the reservation and operate with an unapproved name:

MCA can strike off your company/LLP for non-compliance.
You may face penalties under Section 447 of Companies Act for misrepresentation.
If your name infringes a registered trademark, the trademark owner can sue for damages.
Financial institutions may blacklist your entity.

Hence, skipping this step can have serious reputational and legal consequences.

HOW LAWFINITY SIMPLIFIES THE NAME RESERVATION PROCESS

At Lawfinity, we understand that the process of name reservation for Private Limited Company or LLP can often feel like an unnecessary hurdle. Many entrepreneurs come to us after facing multiple rejections from the MCA portal, and almost always, the problem lies in small technical oversights—similar names already existing in the database, failure to check trademark conflicts, or lack of proper justification. These rejections cost time, money, and sometimes even the opportunity to secure your desired brand name. That’s where we step in.

Here’s how Lawfinity simplifies the journey for you:

Expert Consultation – Before filing, our specialists conduct an in-depth search across both the MCA and Trademark databases. This ensures that your proposed name is unique, compliant, and has the highest chance of approval.
Error-Free Filing – We carefully prepare the RUN/SPICe+ applications with the right justifications and supporting documents, eliminating the risk of clerical or procedural errors.
Trademark Advisory – If your preferred name resembles or matches a registered trademark, we guide you on securing necessary authorizations or suggest alternative strategies to protect your brand identity.
Timely Updates – Our team continuously monitors your application status and promptly follows up with the Registrar of Companies (RoC), so you never miss a deadline or query response.
End-to-End Support – From the initial name reservation to complete incorporation, Lawfinity stays with you, ensuring a smooth transition from idea to registered legal entity.

With Lawfinity by your side, you don’t just file an application—you secure your brand identity with confidence. This way, you save time, avoid unnecessary costs, and protect your dream name from slipping away due to technical rejections.

MUSINGS FROM THE AUTHOR’S INK

In my years of observing entrepreneurs, I have noticed one recurring pattern—most founders pour their energy into designing logos, building websites, and creating a brand image, but they often overlook the most crucial foundation: legal name reservation. Ironically, it is this step that safeguards everything else. Without securing your business name through the Ministry of Corporate Affairs (MCA), your brand remains vulnerable to rejections, disputes, or even legal challenges.

A good name is not just about creativity or sounding unique—it is about compliance and recognition. When the MCA approves your chosen name, it is more than just an entry in their register. It is an official acknowledgment that your idea has a legitimate identity, protected by law.

At Lawfinity, we see compliance not as a burden but as a launchpad for growth. From reserving your company name to filing incorporation documents and handling licensing, we stand beside you at every step.

The right name builds credibility, trust, and permanence for your business in India’s corporate ecosystem. Secure it first, then let it become the strong foundation on which your brand thrives.