There are many errors Smart business owners shouldn't make, and name similarity is one of them.

In the beginning, it looks harmless. But it usually grows big and hurts your brand in the long run.

Don't start your business under a particular name before you register it.

At the least, you should already do the name search and reserve it for the 60 days period of grace to complete the process before actually starting fully.

Don't let people know you, or have your brand name go viral before securing the name with the CAC. Remember that your brand name is part of the goodwill of your business.

So when you lose that name, so much is lost. You have lost a part of your company's goodwill.

One of the ways that you can unintentionally lose your company name is through CAC denial of a certificate on grounds of name similarity after the name has already been registered and the RC number given.

So yeah, if you are wondering how it's possible for the CAC to refuse to issue the certificate after RC number has been given well take it from me, it's very possible. It has happened to the best of us, not once, not twice either.

So what exactly is name similarity?

Two names are similar if they sound or look alike. So that they are capable of causing confusion in the mind of the public as to which business is which.

Such names are usually registered in error by the CAC and so when they discovered the name has been Registered in error, they will recall the certificate by sending you a mail to that effect.

It is entirely due to their own negligence but unfortunately, it is you the business owner that bears the brunt of their negligence and so it will have to be you who would take the necessary steps to prevent as much as you can possible cases of name similarity.

This is really devastating because it's possible that you have gone ahead to print cards, letterheads, websites, adverts, etc. using that name only to realize that the CAC has refused to issue you your certificate on grounds of name similarity.

Let's not even talk about how much money, time, and energy you have spent so far. It's really devastating.

Thankfully, when this happens, which is the case with a client of mine, you can apply for a Change Of Name.

The denial notice or mail will usually come with an instruction to submit a different name for the name change. So you are required to submit another name again to substitute the denied name.

The good news is that the filing fees and other fees are not paid all over again. The bad news is that it may take a little more time since a change or name is post Incorporation Act.

This is one of the reasons why I always advise my clients to actually get their business registered before starting out. When the business goes viral under the unregistered name, it's pretty difficult to have to change that name again.

So do your business a favour and get it properly registered.

I hope this was helpful to you?

Don't forget to reach out if you have any question or needs some help.

To your #leglasense