COMPANY

NAME
AVAILABILITY
GUIDE

SECURITIES AND EXCHANGE COMMISSION

OF PAKISTAN

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 TABLE OF CONTENTS

Introduction

Chapter-1

• Application procedure and fee

Chapter-2

• Prohibition of certain names

Chapter-3

• Prior approval of Commission required for certain company names

Chapter-4

• Electronic Facilitation - Name Search Utility

• Electronic name availability facility

• E-name reservation process

Chapter-5

• Application against refusal of a name

Chapter-6

• Further Information

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 Introduction

Company means a legal entity formed by a person or association of persons for lawful business
activities registered under the Companies Ordinance, 1984.

Any person or association of persons can form and get a company registered by simply filing the
prescribed documents and depositing the requisite registration fee with the concerned registrar
of Companies.

However, the first step of registering a company is to seek the availability of name for company
from the concerned registrar of Companies. Although it sounds simple enough, there are certain
formalities to fulfill while choosing a name for the company. It must be ensured that name
chosen for company is not inappropriate, deceptive or designed to exploit or offend the religious
susceptibilities of the people and is neither identical nor closely resembling with the name of an
existing company.

This guide is intended for those persons who are desirous of forming a company and to help
them in understanding the process of choosing an appropriate name for their company in order
to save time and efforts for registering a company.

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 Chapter – 1

Application Procedure and Fee

The incorporation of a company involves several steps. The first step is seeking the availability of
name from the registrar concerned.

Application for the availability of company name can be made on a plain paper addressed to the
registrar concerned. Specimen of the application is provided as under. On acceptance of
application for a company name reservation, the name is reserved for a period of 30 days subject
to the submission of prescribed documents with the application and depositing prescribed fee.

The application fee for the availability of name is Rs. 200/- (fee may be varied from time to time)
per name. The fee can be paid in the designated branches of Habib Bank Limited through
Challan Form.

The _____ Registrar of Companies

Company Registration Office
___________

Subject: Application for issuance of Availability of a Name – M/s. (Proposed).

Dear Sir,

It is submitted that we want to incorporate a company with the name and style as “ ____Name
of the company (Proposed).” under the Companies Ordinance, 1984. A copy of the Original Challan of
Rs.200/- deposited in Habib Bank Limited, ___Name of City___ on account of necessary fee for Availability
of the proposed name is enclosed.

It is requested that the requisite availability of name certificate may be issued at the earliest.

Yours truly,
Name & Complete Address

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 Chapter – 2
Prohibition of Certain Names

Section 37 of the Companies Ordinance, 1984 defines that no company shall be registered by a
name, which in the opinion of the Commission is:

• Name that signifies patronage of government departments.

• Identical with a name already on the index of companies. Names such as “New”,
“Modern”, “International”, “Enterprises” etc., are considered insignificant and do not
constitute new name.

• Names that have close phonic resemblance with the name of existing companies are not
allowed.

• Inappropriate.

• Deceptive.

• It is designed to exploit or offend the religious susceptibilities of the people.

• Name of company under liquidation may be allowed on consent of the said company.

• Names that create misleading impression about the business activities of a company or
suggesting a business not undertaken by the company.

• Name containing a country name is also not allowed unless it is justified.

• Use of word “The” in the beginning of name is also not allowed.

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 Chapter – 3

Prior approval of Commission required

for certain company names

Some names need prior approval in writing of the Commission before they can be registered.
These include names which contain any words suggesting or calculated to suggest:

• patronage of any past or present Pakistani or Foreign Head of State.

• any connection with the Federal Government or Provincial Government or any

department or authority of any such Government.

• any connection with any corporation setup by or under any Federal or Provincial law; or

• patronage of or any connection with any Foreign Government or any International

organization.

It is in the interest of promoters to ensure that the name they choose for their company is
sufficiently different from any other name on the register. This will reduce the risk of confusion
and the following potential difficulties like:

• Objections to the company name.

• Confusion with other companies with a poor trading record.

• Litigation in civil law.

There are certain words and expressions that when used in a company name may imply business
pre-eminence, a particular status or specific function. These words are generally not allowed by
the Registrar, unless the promoters provide sufficient justification. The aim is to ensure that the
use of these words is justified so that public is not misled by the name. Few examples of the type
of words which are sensitive or imply national or international business pre-eminence or having
representative or authoritative status and requiring prior permission of the Commission are
mentioned below:

International

If one wishes to use this word as a prefix, one has to show that the major part of the company’s
activities is in trading overseas. If one wishes to use it as a suffix, then approval will usually be
given subject to evidencing that the company operates in two or more overseas countries.

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Association / Federation

These words are generally used when the company is formed as association under Section 42 of
the Companies Ordinance, 1984 or as a Trade Organization under Trade Organization
Ordinance, 1961. Each member should have one vote and the constitution should contain a non-
profit distribution clause. This provides that any profits should be used to further the objects of
the company and not be paid to the members as dividends.

Commission / Authority / Board / Council

These words are generally used by regulatory organizations and government departments and
are usually not allowed for a company name. If one wants to use any of these words, he should
seek prior approval of the Commission.

Institute / Institution

Approval for use of these words is normally given only to those entities that are carrying out
research at the highest level or to professional bodies of the highest standing. One will need to
show that there is a need for the proposed institute; it has appropriate regulations or
examination standards; and it has affiliation with some university approved by the Higher
Education Commission.

Assurance / Assurer / Insurance / Insurer / Re-assurance /

Re-assurer / Re-insurance / Re-insurer

Such names will only be allowed to proposed companies which intend to provide insurance
services and have prior permission of the Commission for the establishment.

Benevolent / Foundation / Fund

Names that include any of these words are normally refused if they imply that the company has
charitable status. If the company is limited by guarantee and has non-profit distribution clause in
the memorandum of association, the name may normally be approved.

Chamber of Commerce / Trade and Industry

If one wishes to use the name that includes any of the expressions as mentioned above, prior
permission of the Ministry of Commerce is required.

Charter / Chartered

Names that include these words are normally refused if they unjustifiably give the impression
that the company has a Royal Charter. If the words are used to qualify a profession, advice of the
appropriate governing body is sought before considering the proposed name.

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Group

If use of this word implies several companies under single corporate ownership, then applicants
have to provide evidence of association with two or more other Pakistani and Overseas
Companies.

Holding

A company wishing to use this word must be a holding company as defined in section 3 of the
Companies Ordinance, 1984.

Register / Registered

Every application for use of these words is treated on its merits. Generally advice from the
appropriate governing body is sought if names that include these words are linked with a
professional qualification. The name is not registered if it unjustifiably implies a connection with
the Government or Local Authority. If such a connection actually exists, the name may be
allowed if the appropriate body supports the application.

Exchange

Names including this expression will normally be refused unless they conform to legislation
relating to the securities and commodity exchanges.

Trust

The word “Trust” can be used in many different senses. Each application is dealt with on its
merits.

Investment / Society / Co-operative / Bureau / Division etc.

These words are not allowed unless there is justification to usage of such words.

Banks /Banking Company

No company other than a banking company is allowed to use the word bank or any of its
derivatives as part of its name or any word calculated to indicate that it is a banking company
unless prior approval of the State bank of Pakistan is produced as provided under section 8 of
the Banking Companies Ordinance, 1962.

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 Chapter – 4

Electronic Facilitation – Name Search Facility

For the facilitation of general public and promoters desirous of forming a company, Securities
and Exchange Commission of Pakistan has provided a name search facility on its website
www.secp.gov.pk. Any person can check the availability of a company name i.e., whether the
company name is available for registration or otherwise by simply searching the desired name
through the facility, before actually applying for a company name. It may be noted that
availability of name on the website would not necessary mean that name is available for
registration. Registrar examines the case in broader perspective.

Electronic Name Availability Facility

Securities and Exchange Commission of Pakistan, cognizant of its developmental objectives to

strengthen and maintain conducive business environment, implements favourable business
policies from time to time. To save time and to reduce unnecessary interface between the
promoters and Officers of Company Registration Office, an electronic name reservation facility, a
pilot experimental project has been introduced whereby promoters would now be able to
electronically apply for company name.

E-name Reservation Process

The electronic name reservation is available at the Commission’s website www.secp.gov.pk. The
concerned Registrar of Companies intimates the availability of company name through e-mail,
reserving the name of company for a period of 10 days from the date of electronic name
reservation application. The name is then allocated to the company subject to the submission of
incorporation documents within 10 days from the electronic receipt of the name availability
letter.

The e-name reservation facility is operational in such a manner that an applicant can apply
online for name reservation through “company name search” link available on the Commission’s

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website www.secp.gov.pk and receive a system generated reply through e-mail stating that the
name reservation request has been received by the concerned Company Registration Office and
an appropriate reply will follow soon.

If name of the company chosen by the applicant is appropriate and fulfills the criteria laid down
for selection of a company name as mentioned above, the concerned Registrar reserves that
company name for a period of 10 days.

If a company name chosen by an applicant contains some words that require clarification /
significance, the concerned Registrar asks the applicant to furnish the significance of that name /
word and upon satisfactory reply, reserves the name for 10 days.

It is important that prescribed documents should be submitted and name reservation fee should
be deposited with 10 days failing which would result in the availability of name to others.

This facility is yet to be introduced in all Company Registration Offices.

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 Chapter – 5

Application against refusal of a name

If application for the availability of a proposed company name is refused by the concerned
registrar for any reason and the applicant feel aggrieved by his decision, he can file an
application for review of the said decision with the Registrar of Companies, Headquarters,
Islamabad.

The application for review must be supported by reasons for review of the decision and should
be accompanied by the following documents:

1. Deposited bank Challan for application fee of Rs. 500/- (Fee may be varied from time to
time).

2. Copy of decision letter by concerned Registrar.

3. Affidavit.

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 Chapter – 6
Further information

The Commission is publishing a series of its Guides. These Guides briefly describe procedures
of important matters relating to the Ordinance, and the rules and regulations made thereunder.

Statutory forms and guidance booklets are available from the SECP Headquarters and the
Companies Registration Offices. The quickest way to get these is through our website, http://
www.secp.gov.pk/.

You may file documents to the concerned Registrar, by hand, personally or by post or through
courier to one of the following Company Registration Offices concerning your company:

1. Company Registration Office,

State Life Building, 7-Blue Area, Islamabad
Phone: 051-9208740, Fax 051-9208740
Email: croislamabad@secp.gov.pk

2. Company Registration Office,

4th Floor, SLIC Building No.2, Karachi.
Phone: 021-9213272, Fax 021-9213278
Email: crokarachi@secp.gov.pk

3. Company Registration Office,

3rd & 4th Floors, Associated House,
7-Egerton Road, Lahore.
Phone: 042- 9200274, Fax 042-9202044
Email: crolahore@secp.gov.pk

4. Company Registration Office,

63-A, Nawa-i-Waqt Building, Abdali Road, Multan.
Phone: 061-9200920 Fax 061-9200920
Email: cromultan@secp.gov.pk

5. Company Registration Office,

356-A, Al-Jamil PIaza,
1st Floor, Peoples Colony, Small D Ground, Faisalabad.
Phone: 041-9220284 Fax: 9220284
Email: crofsb@secp.gov.pk

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6. Company Registration Office,
1st Floor, State Life Building,
The Mall, Peshawar Cantt.
Phone: 091-9213178, Fax 091-9213178
Email: cropeshawar@secp.gov.pk

7. Company Registration Office,

382/3, (IDBP House), Shahrah-e-Hali, Quetta Cantt.
Ph: 081-2844136
Email: croqta@qta.paknet.com.pk

8. Company Registration Office,

House # 28, Hamdard Housing Society,
Airport Road, Sukkur.
Ph: 071-5633757
Email: croskr@hotmail.com

PUBLIC CONSULTATION

If you have any suggestions for the development in the legal framework or otherwise, please let
us know about your opinion/comments on the following address:

Registrar of Companies,
Securities and Exchange Commission of Pakistan,
NIC building, Jinnah Avenue, Blue Area,
Islamabad, Pakistan.

Comments can also be sent via electronic mail at the following address:

headquarters@secp.gov.pk

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 DISCLAIMER

The booklet has been published with the intention to create an

awareness of the concept of the relevant matters. However, the
booklet does not tell everything and the opinions or legal inter-
pretations, contained in the booklet are circumstantial and may
vary under different situations. If the reader is in doubt or deal-
ing with any specific condition, it is recommended to refer to
the Companies Ordinance, 1984 and allied laws and consult an
adviser for seeking professional advice.

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 SECP GUIDE SERIES

1. Promoters’ Guide
2. Single Member Company Guide (in Urdu)
3. Modaraba Promoters’ Guide
4. Insurance Guide
5. Directors and Secretaries Guide
6. Company Mortgages and Charges
7. Investors Guide (Vol.-I)
Investors Guide (Vol.-II)
8. Investor’s Guide for Lodging Complaints
9. Guide on Accounts and Accounting Reference Dates
10. Guidebook on Further Issue of Shares otherwise than Rights
11. Guidebook on Issue of Preference Shares
12. Conversion of Status of Companies
13. Shareholders’ Rights
14. Winding up and Dissolution of Companies
15. Investigation into the affairs of a company
16. Foreign Companies Guide
17. Promoters’ Guide (in Urdu)
18. Promoters’ Guide (in Arabic)
19. Promoters’ Guide (in Chinese)
20. Company Name Availability Guide
21. Licencing & Registration of Association Not-For-Profit

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NIC Building, Jinnah Avenue, Islamabad, Pakistan
Ph: 051-9207091-4, Fax: 051-9204915

Website: www.secp.gov.pk E-mail: enquiries@secp.gov.pk

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