Can an individual entrepreneur have a name like an organization? What actions must an individual entrepreneur take to register a trademark and what are the peculiarities of this procedure? The answers to these, as well as a number of other questions regarding the name and logo of the individual entrepreneur, are presented in the material below.
According to the norms of civil legislation, an individual entrepreneur is an individual who has received the right to conduct business in a particular area. The name of an individual entrepreneur, as a rule, consists of a combination of the legal form of the enterprise (IP) and the full name of the entrepreneur who registered the business, say, IP Ivanov Ivan Ivanovich. It is this name that is used when registering transactions and concluding contracts. At the same time, a businessman has the right to assign a commercial name to his store or hairdressing salon, as well as register a logo. How to do this and what are the advantages of such a commercial move, read on.
What are the benefits of using a commercial name?
So, in accordance with the norms of legislative acts, an individual entrepreneur has the right to assign a commercial name to his enterprise, that is, instead of the dry and strict “IP Ivanov I.I.” the sign may display another more creative name, say, the “Effect” hair salon or the “Orchid” beauty salon.
What are the advantages of using a commercial name:
- a successful marketing move. As practice shows, many consumers, in particular women, pay Special attention the name of the salons and stores, therefore, a retail outlet with the name “Gourmand” has a better chance of attracting customers than the store “IP Ivanov I.I.”;
- advertising. It is much easier to promote an enterprise that has a euphonious name instead of a dry abbreviation. Although some entrepreneurs do not adhere to this opinion, arguing that many customers, on the contrary, choose a store based on its owner. As a rule, this applies to small settlements where almost all residents know each other;
- anonymity. In some cases this is quite relevant, for various reasons. For example, if in the past your dry cleaner was famous for its poor quality of services, which was due to the fault of incompetent staff, but now completely different people work there, and the situation has changed radically, the option of assigning a commercial name to the enterprise can be a kind of lifesaver.
Is it possible to assign a name to an individual entrepreneur? This question concerns most novice businessmen. On the one hand, the official name of the entrepreneur is the last name, first name and patronymic. On the other hand, they are not always sonorous and will look and sound appropriate in advertising. In fact, an entrepreneur is not prohibited from using a business name. But it is worth carefully understanding this issue.
Is it possible to assign a name to my individual entrepreneur, do I need to register it?
In accordance with the legislation in Russia, the official name of an individual entrepreneur is the combination of this abbreviation with the last name, first name and patronymic. No other word or combination can be used for this.
This is exactly how the abbreviation in combination with the full name of the entrepreneur is indicated in the register both during registration and in the process of activity. It is important to understand that an entrepreneur is exclusively an individual. Therefore, it is impossible to register a company name for an individual entrepreneur.
Naturally, in official documents, including on checks and invoices, only an individual entrepreneur has the right to indicate in combination with his last name, first name and patronymic. However, in order to gain individuality, a business owner can name a store or place of service in a unique way. This approach makes the object memorable and facilitates advertising.
It should be borne in mind that for individual entrepreneurs the name is not included in registration documents. The name is used solely to identify the place of business. When organizing a network of business objects, an individual entrepreneur has the right to use one name to designate them.
If an entrepreneur subsequently wants to make his business unique, he has the right to register a trademark. It can be a logo or name.
Registering a trademark helps achieve the following goals:
- combine objects owned by a businessman (shops, hairdressers, etc.);
- stand out among competitors;
- build your own recognizable brand.
It turns out that the question of what to call an individual entrepreneur sounds incorrect. It is more correct for an entrepreneur to choose the name of a retail outlet or other facility in which the activity is carried out.
If an entrepreneur chooses non-proprietary designations for his objects, there are no strict requirements for them.
However, it is important to know a few rules that will help make the name memorable:
- It is important to achieve simplicity; the name should be easy to pronounce and write. This name will quickly be remembered and will be easily passed on from person to person. In the end, it will be clearly associated with a specific entrepreneur. Complex abbreviations and phrases cannot become a high-quality name.
- A name that is a generally accepted concept cannot be registered.
- Experts do not advise using too much descriptive information when naming a business.
- If an entrepreneur believes that he will not stop, and subsequently his activities will expand, it is not recommended to use a link to a specific geographical area or product in the name.
- It is also advised to refrain from using first and last names, words with ambiguous interpretation.
Caution should be taken when foreign words. They should sound adequately in Russian. It is worth carefully studying the translation of the resulting name, possibly with the assistance of a specialist. Dual meaning can tarnish the reputation of a businessman.
It is important to keep in mind that other organizations have the right to use any name. Today, government agencies do not maintain a list of names. Therefore, there is no point in checking the presence of the selected name in the registry. However, you should always strive for uniqueness. This allows for business recognition and helps clients uniquely identify the company.
They say: whatever you name the ship, that’s how it will sail. The same can be said about a store opened by an individual entrepreneur. The name should be sonorous, memorable and understandable. But here the question arises: is it necessary to register the name of the store? This is not necessary.
But if an entrepreneur comes up with a truly unique name and wants it to belong only to him, he has the right to register a service mark. In this case, the commercial designation can be used by the copyright holder and no one else.
To register a name individual entrepreneur, you should contact Rospatent.
In this case, you must provide a package of documents:
- a receipt for payment of the appropriate fee;
- an application requesting to register a service mark, which must include information about the entrepreneur;
- the name to be registered is contained in the application itself and in the annex to it;
- a description of the service mark explaining it;
- a list of goods and services for which the registered name will be used.
Prepared documents can be sent to Rospatent by mail, brought in person or sent using electronic means of communication.
After the registration procedure is completed, the entrepreneur will be issued a certificate for the service mark. The right of exclusive use is valid for ten years; after its expiration, it can be extended an unlimited number of times.
If an individual entrepreneur wants to record the uniqueness of the company name he uses, he can register it. In this case, only a specific entrepreneur will be able to use the trademark name in his activities.
Before going through the registration procedure, you should familiarize yourself with a number of rules:
In addition to following the rules above, it is important to ensure that the trademark complies with legal requirements. They are reflected in the Civil Code of the Russian Federation.
The name or trademark chosen by an entrepreneur is not always unique. Experts advise first of all to contact Rospatent to check them. This will help avoid refusal of registration, which means you will save money. a large number of time.
You should know what circumstances may lead to the fact that a name or trademark will not be registered:
- the chosen name misleads potential customers;
- name in part or in in full coincides with the previously registered one;
- the chosen name includes the designation of a government agency.
Only if all the above conditions are met, an individual entrepreneur can apply for registration. First of all, you will need to pay the state fee. It is one thousand rubles.
Some particularly enterprising citizens register a name. They can sell it later. Moreover, the cost of especially interesting specimens reaches tens of thousands and even more.
Do not forget that conducting business under an already registered name can lead to unpleasant consequences. The owner of such a trademark has the right to go to court. If the decision in the case is made in his favor, the entrepreneur will be fined.
By law, the name of an entrepreneur includes the last name, first name and patronymic. However, an individual entrepreneur has the right to register his own individual name. Do not forget that this procedure is regulated by law.
At the start of his activity, and sometimes even several months after its start, an entrepreneur is concerned with many questions, the answers to which, except for a lawyer, are often not available to anyone. One of them - ? Everyone chooses this registration form today more people. But, knowing that individual entrepreneurs are often called by the owner’s last name, some begin to doubt the correctness of their choice.
Indeed, a store with a name like “IP Ivanov” will not look very attractive. But we don’t see such signs, with the exception of departments in department stores and points in markets. Does this mean that stores, salons and other small organizations are registered as LLCs?
Not at all. Checks will help us quickly verify this. Go, for example, to cooking. Perhaps somewhere on the wall, in a not too conspicuous place, you will see a message that this is the “ownership” of an individual entrepreneur, plus the name of the individual entrepreneur himself. This is usually written on a sheet of A4 paper attached to the file. But there’s a different name on the sign!
On the check issued you will certainly find the name in which the business is registered. But the name, which colorfully alerts passersby that a culinary establishment is located here, most likely will not be there at all.
Even in large grocery supermarkets, whose names are known throughout the country, you can sometimes find an inscription on the receipt stating that the owner is. Most likely, this store is open as a franchise. The trademark and name are registered, the network exists, and a single point is open as an individual entrepreneur.
How to name an individual entrepreneur and how to formalize this legally?
It turns out that it is possible to legally combine the two names? Then the main thing – the one that is created for clients – will be resonant and interesting. And what is necessary for registration will remain only in the documents. But how to do that?
There is no secret to this. According to the legislation that is currently in force in our country:
The name of the individual entrepreneur is the full name of the owner; in fact, it is not some kind of company, but a designation of a specific person - an individual entrepreneur;
The name that customers see on the sign may be different, and this is not prohibited by law.
Simply put, if you are already registered as a legal entity and are opening a grocery store, there is nothing wrong with beautifully decorating the entrance, hanging a sign and giving an appropriate name that will be displayed on it. At the same time, there will be no problems with legislation in the future. What is listed in the documents is the name of the individual entrepreneur, and what is publicly visible is the commercial designation.
It turns out that you can call your business a “middle name” for visitors at your discretion. What kind of name it will be is up to you to decide. And to the question “ Is it necessary to legally register the name of an individual entrepreneur?“, the answer is simple: for the second one, it’s not necessary.
What to call an individual entrepreneur. Is it necessary to legally formalize the name of an individual entrepreneur?
However, there are exceptions: some names you will not be able to use. If there is already a company in the same direction with a similar name, and you decide to borrow it, you will actually use their brand for your own purposes. Of course, this may not be noticed for many months or even years, especially if you have a different design, but one day the legal owners of the name may find out about your business and decide to sue for a tidy sum.
To avoid this, you should find out in advance whether you risk getting into such a situation with your invented commercial designation. Thinking what to call an individual entrepreneur, be prudent.
Please also note here: you are breaking the law only if you use the name of a registered brand, trademark. If, for example, you have a flower shop “Romashka”, and on the other end of the city there is a similar one, but it is also just an individual entrepreneur, the situation is different. Do competitors with the same name have the same fictitious name and not listed in the papers as yours? Then you are not breaking anything.
If you want no one to use the selected name, you need to go through the procedure.
An individual entrepreneur has the right to open a bank account for conducting financial transactions, in addition, he can order the production of a seal for subsequent activities.
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Is it necessary to register an individual entrepreneur's name? This issue always causes controversy, so it is important to consider it in detail.
Legislation
- Objects entrepreneurial activity may use commercial names. Such objects include a private entrepreneur. The commercial name is allowed not to be indicated in the unified state register or statutory documentation, in the opinion of the entrepreneur.
- Before using the chosen name, it is important to make sure that it does not conflict with moral and ethical values and norms.
- The name chosen by the entrepreneur can be used for other companies that belong to the individual entrepreneur. Only one name can be used for one structure.
Registration of a company name for an individual entrepreneur
Every established company must have official name, a private entrepreneur is no exception.
The businessman's name will be indicated in constituent documentation. In addition, most entrepreneurs want to have a commercial name that reflects the specifics of the enterprise’s activities, is bright or attracts customers.
Is it required?
Often the signs of a company (office, enterprise, etc.) contain one name, but a completely different one is printed on the receipt. What explains this difference?
This is due to the fact that potential buyers are not attracted to the company name in the form of the last name, first name and patronymic of the manager.
That is why, in addition to the personal information contained in the documentation, you can come up with another name.
Is this required? No, having another name as an individual entrepreneur is not considered prerequisite for a businessman to carry out his activities.
He can use a different name that is not consonant with his full name, at his own request.
Options
There are many options for company names.
- attractiveness to potential clients;
- memorability, brightness;
- brevity and originality.
Some entrepreneurs pay special attention to developing the name of the establishment - they turn to specialized companies for help.
The latter not only come up with a suitable name, but also order the development of the story.
This attracts attention from buyers, which increases traffic or the number of orders.
To choose a name for an establishment, you will need to indicate the main nuances of the chosen direction, the activities of competitors, and demand parameters.
Some individual entrepreneurs turn to specialists for help for a fee.
This is necessary for beauty salons, gym and others similar establishments. If you plan to open a point for retail located in a market area, there is no need to come up with an interesting name.
Right to use the name
Each subject of economic relations participating in economic activity, can register its own name.
List of subjects:
- Joint stock companies of any type - closed and open.
- Limited partnerships.
The constituent documentation of the individual entrepreneur must indicate the full name of the businessman without abbreviations. Personal information acts as a kind of name for the established company, since it is an official designation.
The chosen business name can be used by other individual entrepreneurs. If you want to have individual name, then it is necessary to register a trademark.
Procedure
To register the name of an individual entrepreneur, you will need to go through a special registration procedure.
Experts note that it is difficult for ordinary businessmen, so it is best to seek help from professionals in this field.
Thus, registration is impossible if the name:
- Completely or partially (70%) coincides with a mark already registered. To obtain information on this issue, it is enough to leave a request to Rospatent to verify the selected name. If it does not pass, then the reason is given in writing.
- If the chosen sign is likely to mislead buyers or clients. For example, a beauty salon cannot be called “Car Repair Shop”.
- The mark includes full names government agencies, services, inspections or their abbreviated names.
If the chosen company name for an individual entrepreneur does not conflict with the provisions listed above, then an application for registration of the mark is submitted.
(IP) is an individual who is legally registered to conduct business activities. If LLC (company with limited liability) is legal entity, the founders of which are allowed to independently choose the name of the company, then an individual entrepreneur does not always have this opportunity. The generally accepted name of an individual entrepreneur consists of a surname or full name individual in full, preceded by the abbreviation “IP”, for example, “IP Sidorov Ivan Petrovich” or “IP Sidorov”.
Please note that when carrying out, for example, retail trade, an individual entrepreneur also has the right to install a “Spare Parts” or “Products” sign on his store. This will not be considered an offense, since these words are well known and are indicated to inform buyers about the types of goods offered for sale here. In this case, the full name may sound like “Products (IP Sidorov)”.
Like an LLC, an individual entrepreneur can register a trademark for itself in the form of a verbal designation or a logo. Thanks to trademark registration, an entrepreneur can individualize himself in a particular area of goods and services, becoming recognizable in society. This designation of individual entrepreneur can be freely used in business activities. At the same time, it will be necessary to indicate the details of the individual entrepreneur when concluding agreements with counterparties and in other official documents: “The Solnyshko grocery store, represented by the individual entrepreneur Sidorov, entered into an agreement with...”.
Come up with a unique name for your own trademark. It should not overlap with the names of existing enterprises and at the same time copy them. Otherwise, copyright holders will definitely make justified claims against you.
The success of the product itself in the market sometimes depends on how well the name is assigned to the trademark. The competent choice of such a name is a relatively difficult legal and psychological task.
Instructions
Trademarks and service marks are registered in so-called classes, corresponding to the types of goods produced and services provided. Remember that a mark cannot be registered in a particular class if another mark with the same or similar name was previously registered in the same class. The following is indicative: the developers of the ICQ program, having decided at all costs to name their company with any female name, searched on the Internet for other companies with names representing different female names. There was not a single company in the world called Mirabilis, and they had to name their company that way. Don't repeat their two mistakes. Firstly, the search must be carried out not in conventional search engines, but on the website of the organization that registers trademarks and service marks. Secondly, they did not know that a mark with the same name (but a different graphic style) can still be registered if the existing and new signs after that they will be in different classes. In addition, if a product or service is not intended to be exported, it is sufficient that a similar mark is not registered at least in the country of origin.
If the product or service is still intended to be exported, find out whether the item of export will have to be renamed in some markets. It is possible that in at least one of the countries someone has previously registered a similar mark in the same class. It was for this reason that Sega supplied its game consoles to the United States under the name Genesis, and not Mega Drive, as in all other countries of the world. Now try to independently answer the question why Siemens does not supply its wired telephone sets under the name Euroset to Russia at all (but supplies Gigaset wireless brands).