Changing the name of your company is a significant decision that requires a proper legal process to be followed. Whether you want to rebrand your business, reflect a change in ownership, or align with a new business strategy, changing the company name requires approval from the Ministry of Corporate Affairs (MCA) and involves several steps under the Companies Act, 2013.
This article provides a simple and complete step-by-step guide to help you understand and carry out the name change process for your company in India.
Procedure for Changing Your Company Name
Step 1: Board Meeting and Resolution
The first step is to hold a Board Meeting with the directors of the company.
Key actions:
- Pass a board resolution approving the proposal to change the company’s name.
- Authorize a director or company secretary to check the availability of the new name and complete necessary filings.
Step 2: Check Name Availability
Once the Board approves the name change proposal, the next step is to check if the proposed new name is available.
How to check:
- Use the MCA portal to run a name check through the RUN (Reserve Unique Name) service.
- Ensure that the proposed name is not identical to or too similar to an existing company or trademark.
Important Note: The name must follow the naming guidelines under the Companies (Incorporation) Rules, 2014.
Step 3: Name Reservation via RUN
If the name is available, file the RUN application on the MCA portal to reserve the new name.
Details needed:
- CIN (Corporate Identification Number) of the company.
- Proposed new name(s) (you can provide two options).
- Justification for the name change.
- Board resolution approving the change.
Once submitted, the MCA will process the application and either approve or reject it. If approved, the reserved name is valid for 20 days.
Step 4: Hold an Extra-Ordinary General Meeting (EGM)
After name reservation, conduct an EGM to get shareholders’ approval for the name change.
What to do:
- Send notice to shareholders with an agenda and explanatory statement.
- Pass a special resolution under Section 13 of the Companies Act to amend the Memorandum of Association (MOA) and Articles of Association (AOA).
Step 5: File MGT-14 with MCA
Within 30 days of passing the special resolution in EGM, the company must file Form MGT-14.
Documents required:
- Certified copy of special resolution.
- Notice and explanatory statement of EGM.
- Altered MOA and AOA.
This form is necessary for the MCA to record the changes in the constitutional documents of the company.
Step 6: File INC-24 for Name Change Approval
The final step is to file Form INC-24 with the MCA for approval of the name change.
Key documents to be attached:
- Copy of the special resolution.
- Minutes of the EGM.
- Altered MOA and AOA.
- Copy of the approval letter for name reservation (from RUN service).
Once this form is approved, the MCA will issue a Certificate of Incorporation (CoI) with the new name.
Step 7: Update the New Name Everywhere
After receiving the new CoI:
- Update the new name on all company records, letterheads, signboards, bank accounts, PAN, GST, and government registrations.
- Inform vendors, customers, and other stakeholders.
Important Points to Remember:
- The process takes around 15 to 30 days, depending on document readiness and MCA approval timelines.
- All filings must be done online via the MCA portal.
- Ensure compliance with the Companies Act and ROC guidelines to avoid rejection or penalties…!
Conclusion
Changing a company’s name in India involves a formal legal process, and every step must be completed accurately and in compliance with the proper procedures. From board resolution to shareholder approval and filings with the MCA, each stage must be followed as prescribed by law. If required, you may consult a Company Secretary or legal expert to help you with the documentation and filing process.
This change marks a significant milestone for your business, so plan and execute it with due care.
