Company name creation is the first thing you need to do when applying for setting up your legal entity in China. The State Administration for Industry and Commerce (AIC) evaluates and approves your application. August 11th 2017, AIC published the “Restriction Rules for company names”, that introduced 26 rules for creating and registering a company name in China.
Names that contain harmful content or words to state or society interests are banned in eleven of the 26 rules, as well as names that may mislead the public, cause misunderstanding or be fraudulent. In addition, company names containing foreign country/area names, international organization names and company names that consists of foreign characters or Arabic numerals, etc. are prohibited as well.
The other 15 prohibitions restrict the use of some words and phrases. For example: companies are not allowed to include the words “China”, “Chinese” “National” and “International” in a company name unless the company is founded by the State Council. Furthermore, company names should not indicate or state the corporate status, e.g. “non-profit organization”. Descriptive expressions are also restricted, e.g. “The best”.
We will be happy to assist you as well to set your Chinese entity.
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Good luck and see you in China!
PTL GROUP team