Decoding the Company Name Registration in China
- Apr 25, 2024
- Posted by: sinovestconsulting
- Category: Legal & Regulation
Company Name Registration in China
The State Administration of Market Regulation (SAMR) in China, has released new measures on the company name registration, so as called “Implementation Measures for the Provisions on the Administration of Enterprise Name Registration” which has taken effect on October 1, 2023.
To decide on a Chinese company name is a preliminary and essential step to set up a legal entity in China. This company name needs to be formulated and be registered according to the statutory rules and will be shown not only on company’s business license, but also on company’s seal, bank account, and all legal documents that the company enters into.
Rules for your Company Name
Here we listed some important rules you might pay attention when you format your Chinese company name
- Company name’s structure: the name of a company is composed of four parts, arranged in sequence as below, Administrative division + Trade name + Industry or business characteristics + Organizational form
- Administrative division: the administrative division included in the company name should be the local administrative division at or above the county level in which the company is located. If, due to practical needs, the name of the administrative division in the company name needs to be placed after the trade name and before the organizational structure, then brackets should be added. If a registered company establishes companies with the same trade name as itself in more than three provincial-level administrative regions and has been operating for more than one year, then its name may no longer contain the name of the administrative division.
- Trade name: Company trade names generally must use standardized Chinese character. The personal name of an individual investor may be used as the trade name. Company name shall use Chinese characters that conform to national norms, and shall not use foreign characters/letters, Chinese pinyin letters and Arabic numerals. If the name of an enterprise needs to be translated into a foreign language, it shall be translated and used by the enterprise itself in accordance with the principle of text translation, and it is not necessary to report to the administrative authority for industry and commerce for approval and registration.
- Industry or business characteristics: the terms used for the industry or business characteristics in a company’s name must be determined based on the company’s main business operations and the standards set out in the Industrial Classification for National Economic Activities.
- Organizational form: the terms of the organizational form are consistent with the organizational structure or the form of responsibility.
- The company shall indicate in its name the words: “limited liability company”, “limited company” or “company limited by shares” or “joint-stock company”;
- The partnership enterprise shall indicate in the name the words “general partnership”, “special general partnership”, “limited partnership”;
- A sole proprietorship enterprise shall be marked with the words “sole proprietorship” in its name.
Registration of a Company Name
How to register my company name?
The company name self-declaration online platform is open to the public. Applicants can submit relevant information through this system. Pls note that different each market province, autonomous region, or municipality has its own company registration system. If the administrative contain
The information and materials that need to be submitted include the company name, the address, and the names or personal information of the investors. The system will automatically compare the company name submitted by the applicant to other existing company names. It will then provide an explanation of restricted or prohibited names or warn of any risks with the chosen name, based on rules for restricted and prohibited names and name similarity.
The registration system will retain normally the company name that has been submitted for a period of two months. Applicants should complete company registration before the reservation period expires. Company names reserved during the reservation period may not be used for business activities.
