01 Mar A Guide to Company Name Change: Procedures, Necessary Documents, and Timelines
Changing a company’s name is a significant undertaking, involving alterations to legal documents such as the Memorandum of Association and Articles of Association. Under the Companies Act 2013, the process involves passing a special resolution in a general meeting and obtaining approval from both the Registrar of Companies (RoC) and the Central Government.
It’s important to note that changing the name does not create a new entity; rather, the existing company continues its operations under the new name without affecting its rights, obligations, or ongoing legal proceedings.
Reasons for Changing a Company Name:
There are several reasons why a company might opt to change its name:
- Voluntary decision by the company board.
- Changes in business activities or objectives.
- Marketing or rebranding initiatives.
- Change of ownership or management.
- Addressing intellectual property rights (IPR) concerns.
- Compliance with directives from the RoC.
- Capitalizing on the popularity of a specific product or service.
Process of Changing a Company Name:
Here’s a step-by-step guide to changing the name of a private limited company:
- Passing a board resolution to approve the name change and authorize necessary actions.
- Checking the availability of the new name through the Reserve Unique Name (RUN) facility of the MCA.
- Obtaining approval from the RoC for the proposed name.
- Holding an Extraordinary General Meeting (EGM) to pass a special resolution for the name change and amend the Memorandum of Association and Articles of Association accordingly.
- Filing necessary forms, including MGT-14 and INC-24, with the RoC along with required documents.
- Obtaining approval from the central government for the name change.
- Upon satisfaction of the RoC, receiving a new certificate of incorporation.
Documents Required for Name Change:
In addition to forms MGT-14 and INC-24, the following documents are typically needed:
- Certificate of Incorporation.
- Altered Memorandum of Association and Articles of Association.
- List of shareholders and directors.
- Digital Signature of the authorized director.
- Proof of registered business address.
Timeline for Name Change:
The entire process usually takes around 10 to 15 working days, considering the involvement of multiple departments and approvals.
Compliance After Name Change:
After receiving the new certificate of incorporation, the company must update its name across various documents, including official seals, bank accounts, tax authorities, licenses, contracts, and company stationary.
Changing a company’s name is a significant administrative task, but with careful planning and adherence to the outlined procedures, it can be accomplished efficiently, allowing the business to adapt to evolving needs and strategies.
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