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How long can a reserved company name be extended?

By CS Pooja Jangid Updated

A name reserved for a new company is valid for 20 days from approval. Rule 9A extends that reservation to 40 days if ₹1,000 is paid before the 20 days end, or to 60 days from the original approval if the higher fee in the rule is paid in time. The extension is not a fresh reservation, and it is not announced by a separate circular each time.

How long is the first reservation?

The Registrar reserves the name of a new company for 20 days. The name can be reserved on its own, or proposed in the incorporation form. A name reserved because an existing company is changing its name is valid for 60 days, not 20. How a private company is formed is on the private-company page.

How is it extended?

When the fee is paid Fee Reservation then runs
Before the original 20 days end ₹1,000 40 days from the original approval
Before those 40 days end ₹2,000 60 days from the original approval
Before the original 20 days end, for 60 days at once ₹3,000 60 days from the original approval

The fee is paid through the name-reservation service before the period then running expires. Paying after expiry does not revive the name. The ₹3,000 row is an alternative to the first two rows, not a third period stacked on top of 60 days.

What is a different reservation?

An LLP reserves its name under the LLP rules, ordinarily for three months. Rule 9A does not lengthen that reservation. A change of an LLP’s name is on the LLP name page. The company rule also does not relax the test that the name is not identical to an existing name and is not undesirable.

Frequently asked questions

Four questions cover a temporary circular, a late fee, an LLP, and a change of name.

Is the extension a circular that comes and goes?

No. Rule 9A is a standing rule, inserted on 24 December 2020. It is not a temporary circular.

Can the fee be paid after the name has expired?

No. Each extension fee has to be paid before the period then running expires. An expired name is reserved again, if it is still available.

Does this rule extend an LLP name?

No. Rule 9A is a company rule. An LLP name is reserved under the LLP rules, for three months.

Is a change of an existing company’s name also 20 days?

No. A name reserved for a change of name of an existing company is valid for 60 days. The 20-day period is for a new company.

Sources

Extension of a new company name is rule 9A of the Companies (Incorporation) Rules, 2014, inserted on 24 December 2020. The first reservation of a new name is 20 days.

  1. Companies Act, 2013 on India Code
  2. Private limited company registration
  3. How an LLP changes its name