When starting a company, business, or partnership in Kenya it is advisable to have a name that is unique and distinguishes your entity from other similar establishments.
In Kenya, it is a requirement under the law to register your business and obtain licenses from both the national and county government in line with the type of business you intend to operate.
However, there are those instances where business owners fail to acquire their preferred business names despite there not being other establishments bearing similar names.
The Business Registration Service (BRS) lists several reasons why company names are rejected and potential reasons why preferred company names are not registered.
Kenyans.co.ke takes a look at the most common reasons.
The most common reason why the Business Registration Service may fail to register a business name is if there is a phonetic resemblance with the name of a company or business name, a limited liability partnership that has already been registered.
Another common reason why business names are rejected is if the name you suggested already appears in the Registrar's index of company names, business names, and limited liability partnerships or other types of partnerships.
BRS also outlines that it declines registration if the name is largely identical to a name that has been reserved by the registrar for use in connection with a proposed company, business name, limited liability partnership, and other partnerships.
Similarly, another common reason is if the name you want to register is different from an existing name only by the addition of a name of a place, locality, or region located within Kenya.
The government may also decline to register a business name in instances where it is similar to a company that has been dissolved or has been struck off by the registrar
In business registration law, you cannot register a name that is similar to a body or corporation established in the Constitution.
Attempts to register a business name may also be rebuffed in the instance where the registrar believes that its use may involve the commission of a criminal offence.
The registrar may also decline to register a business name if they have grounds to believe the business name may be offensive, undesirable, or not in the public's best interests.
It is preferable to put all the listed reasons into consideration as you seek a good name for your business.
This will help you find a good name and save you the stress of not knowing why the BRS may decline to register your preferred name.
