RUN (Reserve Unique Name) Company Name Approval Process.

RUN (Reserve Unique Name) Company Name Approval Process.

The Ministry of Corporate Affairs has simplified the Company Name Approval Process from 26th January 2017 by introducing a new simple web-based application called RUN (Reserve Unique Name) for Company Registration. RUN (Reserve Unique Name) is a simple and easy process for reserving a name for a new company or for change of name of an existing Company.

This facility can be availed only by a registered user of MCA portal. The complete name of proposed name, including suffix like (OPC) Private Limited / Private Limited / Limited, should be submitted at the time of application for approval. Also, the object of the proposed Company is also to be submitted through RUN application.

In case of change of name of an existing Company the Corporate Identification Number (CIN) of the existing company should be submitted at the time of application through RUN Process to reserve a new name.

The company name applied should comply with Company Name Availability Guidelines. The applicant should also ensure that the proposed name is not same / similar as per the Trademark Regulations.

Name applications under RUN will be processed by Central Registration Centre(CRC). The name approval is subject to comprehensive check by the Central Registration(CRC) and thereafter approval or rejection shall be communicated by e-mail to the applicant.

The name approved under RUN Process for new Company registration is valid for a period of 20 days from the date of approval. In case of change of name of an existing company, the name shall be valid for 60 days from the date of approval.

Fee

The Fee for Company Name application under RUN is Rs.1000.

Only One Chance - No Resubmission

In case the name application is rejected by the CRC, there is no chance for re-submission of application. If an application is rejected, again a fresh application is required to be filed with fresh payment of Rs.1000 for every application submitted using the RUN service.

It is very important to note that, the Company incorporation documents (SPICe, INC-12 and INC-24) for a Company Name approved under RUN Process can be submitted only by the same user login ID which was used for reserving the name.

Update on Company Name Application process through Reserving Unique Names (RUN)

The ministry of Corporate Affairs has eased the Company Name Application process through Reserving Unique Names (RUN).

From 24th March 2018, under RUN process, the applicant can submit TWO proposed names for approval in the order of preference. In case the applied names are not available for registration, the ministry will give ONE chance to resubmit the application with another set of TWO names for approval.

Prior to this changes, there was option to apply only ONE name for approval and there was no chance for resubmitting the application.

RUN Company Name Application Fee is Rs.1000.00. This fee is additional to the regular fee to be paid through SPICE Application for Company Registration.

RUN Company Name Application is not a mandatory process. Alternatively, the applicant can apply Company Name through the integrated SPICE Application for Company Registration. In that case, we can submit ONLY ONE name for seeing approval. However, there are TWO changes of re-submissions for SPICE Application. So, effectively the applicant can submit THREE NAMES (1-Original Submission + 2 Re-submissions) for approval without any extra cost.

FAQ On Reserve Unique Name(RUN)

1. What is Reserve Unique Name (RUN) web service

RUN (Reserve Unique Name) is a simple and easy process for reserving a name for a new company or for change of name of an existing Company. The Ministry of Corporate Affairs has simplified the Company Name Approval Process from 26th January 2017 by introducing a new simple web-based application called RUN (Reserve Unique Name) for Company Registration.

2. Who can make an application under RUN?

Only a registered user of MCA portal can make an application under RUN? After login, select Reserve Unique Name(RUN) under the head ‘MCA Services’.

A person who wish to register a new Company as well as an existing Company wish to change its name can use RUN for Company Name reservation

3. What all names can be reserved under RUN?

Name of all types of Companies can be reserved through RUN. Following are the requirements for different types of Companies.

Type of Company

Suffix Required

New Limited / Private Limited Company / Part I company

Limited / Private Limited

Private (OPC)

(OPC) Private Limited

Section 8 company

No need to add words Limited / Private Limited

Producer Company

Producer company limited

Unlimited Company

Unlimited

IFSC Company

(IFSC) Limited/ (IFSC) Private Limited/ IFSC Limited /IFSC Private Limited

Nidhi Company

Nidhi Limited

4. When is CIN is required under RUN?

Corporate Identification Number (CIN) is required in RUN process only when an existing company wishes to change its name and is using RUN to reserve a new name.

5. What are the requirements for “Proposed Name”?

When we make an application to reserve name for incorporation of a new company or for changing the name of an existing company, we must ensure that the proposed name selected does not contain any word which is prohibited under the Company Name Availability Guidelines.

Also, we have to a Trademark Search to ensure that the proposed name is not in violation of provisions of Section 4(2) of the Companies Act, 2013, failing which it is liable to be rejected.

6. What is the validity of Company name approved under RUN?

A Company name approved under RUN is valid for a period of

  • 20 days from the date of approval (in case name is being reserved for a new company) or
  • 60 days from the date of approval (in case of change of name of an existing company)
7. Do we have to submit the Objects of the Company?

The objects of the Proposed company are required to be submitted along with relevant submissions as comments in support of the proposed name.

8. How many names can be submitted under RUN Application?

Only ONE name can be submitted under RUN Application. There is no option to submit multiple names in the order of preference.

9. Is it mandatory to attach documents while reserving name?

There is no mandatory requirement to attach any document while submitting a RUN Application. However, it is advisable to submit NOC from an existing Company or approval from otjer agencies and any other relevant submissions to support the name application while submitting RUN Application. All the submissions are required to be filed as single document as an attachment and the size of the file should not exceed 6MB.

10. What is the Fee payable for RUN application?

Rs.1000 for each submission. Upon submission of the proposed name and the payment, challan will be generated with Service Request Number (SRN) with details of the fees paid by the user.

11. How many chances of Re-submission available in one RUN Application?

There is only ONE Chance and there is no change for Re-submissions. The name applied for will either be approved or rejected, and no resubmission is allowed. A fresh payment of Rs.1000 has to be made for every application submitted using the RUN service.

12. Can we get the refund of Fee if the name is rejected?

No. there is no refund of Fee from MCA for rejected RUN applications.

13. How names are processed under RUN?

Name applications will be processed by Central Registration Centre(CRC). The name applied for will be subjected to a comprehensive check by the Central Registration(CRC) and thereafter approval or rejection shall be communicated by e-mail to the applicant.

14. What precautions are required to be taken to avoid rejection of names applied for?

To avoid rejection of the name applied for, the applicant is required to be familiar with the Companies (Incorporation) Rules 2014, as amended, and conduct their own Name and Trade Mark search.

However, the names that the applicant thinks to be available may not be approved by the Central Registration Centre(CRC) as the CRC does a comprehensive check on Company names phonetically similar and same / similar meaning in other languages etc.

15. How the Registrar will communicate the approval/rejection of the names?

When a proposed name is approved/ rejected, an email communication containing confirmation of approval/rejection (as the case may be) with related documents, if any, is sent to the email id of the applicant. Name approval/ rejection letter upon approval/ rejection of the eForm is system generated and shall be digitally signed by the Registrar and sent to the email id of the applicant.

16. Who can file the Incorporation Documents for a Company name approved under RUN?

The Incorporation Documents for a Company name approved under RUN can be filed ONLY from the user ID where which was used for reserving the name.

17. Is RUN (Reserve Unique Name) available for reservation of LLP Name?

No. At present, the RUN (Reserve Unique Name) is available for reserving the registration of a new Company ONLY.


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