The corporate name of a company must be distinct from its trade name or commercial sign. But what is a corporate name? How do you choose it, and can it be changed later? What are the differences between the three? This article will address these questions and more while exploring the specifics of the corporate name. You will also find a table summarising the main differences among the three company names towards the end of the article.
What’s in this article?
- What is the corporate name of a company?
- What types of companies are concerned?
- How to choose a corporate name and protect it
- Where does the corporate name need to appear?
- How to change a corporate name
- Trade name, commercial sign, and corporate name: What distinguishes them?
What is the corporate name of a company?
A company’s corporate name identifies it as a legal entity. It is the name under which the company is registered in the National Register of companies (RNE) and appears in the articles of association. This document details the company’s operating procedures. Choosing a corporate name is an important and mandatory step in creating a company, and it is assigned before the articles of association are drawn up.
What types of companies are concerned?
All limited liability companies (SARL), single-owner liability companies (EURL), public limited companies (SA), simplified joint-stock companies (SAS), single-shareholder simplified joint-stock companies (SASU), and general partnerships (SNC) must have their corporate names as a legal entity. The partners of the company are required to choose it together.
The sole proprietorship (EI) does not choose a company name because the entrepreneur’s professional activity is carried out in their family name.
How to choose a corporate name and protect it
The choice of a company’s corporate name has no restrictions. The partners can use the name of a founder or partner or choose one with numbers, letters, and special characters. Often, the company name refers to the commercial activity carried out.
It is important to check the availability of a company name before assigning it to your business. The National Institute of Industrial Property, or INPI, offers a free search tool to verify that your company name, trade name, and brand are unique (you can access the INPI tool here). Your company name will be protected nationally as soon as you register.
Where does the corporate name need to appear?
The corporate name must be included in the company’s articles of association, followed by the mention of its legal form: SA, SAS, EURL, etc. Our article on the subject explains the different legal forms in France. The article from the Paris Commercial Court Registry also describes the mandatory mentions in company articles of association.
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How to change a company name
It is possible to change your company name by carrying out the following:
- Modification of the company’s articles of association according to the voting and approval procedures provided for in the statutes
- Publication of a notice of modification in a legal notices journal that mentions the new name as well as the old one
- Declaration of the change of company name on the business formalities counter within one month of the day the decision is made (a copy of the updated articles of association must be attached as well as a certificate of publication of the change in the legal notices journal)
Learn more about modifying the articles of association in the French administration article dedicated to the subject.
Trade name, commercial sign, and corporate name: What distinguishes them?
The trade name of a company corresponds to the designation known to the public and can be identical to the company name or different. This name must appear on the company’s commercial and administrative documents, including the letterhead of invoices, business cards, contracts, and advertisements.
The commercial sign, for its part, is affixed to the company’s establishment. It indicates the place of sale of the commercial activity and can take the form of an inscription, a logo, or an emblem. Often, the sign uses the company’s trade name (and the corporate name if they are identical). It needs to be noted that affixing the sign is an optional step.
The company’s trade name and commercial sign are protected from the first public use (on an invoice, an advertisement, a business card, a business paper, etc.). According to the INPI, the protection of the trade name and the sign is limited to the region of the clientele (such as the city, the department, or the country). Conversely, the company name is protected nationally.
Company name
|
Trade name
|
Commercial sign
|
---|---|---|
Name entered in the articles of association | Name known to the public | Sign affixed to the operating premises |
Protected upon registration | Protected from first use | Protected from the first use |
Mandatory | Mandatory but could use the company name | Optional, but could include the trade name and the company name |
The content in this article is for general information and education purposes only and should not be construed as legal or tax advice. Stripe does not warrant or guarantee the accuracy, completeness, adequacy, or currency of the information in the article. You should seek the advice of a competent lawyer or accountant licensed to practise in your jurisdiction for advice on your particular situation.