Delaware Business Entity Name Reservation & Naming Requirements Guide
If you’re thinking to register a business in Delaware, but are not ready with the paperwork just yet, you can temporarily file for business name reservation. The name reservation helps you protect the name you’ve chosen for your business, from being registered by someone else.
The business formation process requires you to put a lot of documents in order. Also, there is a lot to think about like the type of business to form, discussing between the partner(s) about the equity and getting filing documents ready. From my experience, the whole process can take upto a couple of weeks.
So, by paying a fee of $70, you can protect the business name you have chosen from being registered by someone else till you are ready for filing. The business name can be reserved for the period of 120 days which can be further renewed and transferred.
Delaware Business Entity Naming Requirement for LLCs and Corporations
Delaware Secretary of State has mandated certain naming requirements which every business name must adhere to.
The business name must be unique and distinguishable from any existing business entity name registered with Secretary of State. Also any difference in grammar, similarly sounding business name, or using stop words does not make the business name unique and it will eventually lead to the name being rejected.
For example, the following names are not distinguishable:
Justin Plumber LLC vs The Justin Plumber LLC
Mango Farm LLC vs Mango Farms LLC
Jake & Mary Corporation vs Jake and Mary Corporation
Required suffix in the business name:
LLC Naming requirements
Must end with either “Limited Liability Company”, “L.L.C.”, “LLC”, “Association”, “Company”, “Club”, “Foundation”, “Fund”, “Institute”, “Society”, “Union”, “Syndicate”, “Limited” or “Trust”.
Corporation Naming requirements
Must contain either “Association”, “Company”, “Corporation”, “Club”, “Foundation”, “Fund”, “Incorporated”, “Institute”, “Society”, “Union”, “Syndicate” or “Limited” or an abbreviation of one of such words.
Language stating or implying the entity is formed for an impermissible purpose.
Certain words such as college, bank, insurance etc are restricted to use without approval from the concerned board.
How to Check for Business Name Availability in Delaware
Now that you’re aware of the rules and regulations that you must follow while naming the business, let’s proceed with the actual name selection.
Delaware SOS provides an online tool to check for business name availability. You can use this tool to find and research the names for your business. We have written an in-depth tutorial on how to use the Delaware SOS business name availability tool here.
How to File for Business Name Reservation in Delaware
Business name reservation can be filed over mail or online. We recommend filing it online as the process is instant.