Names for an individual entrepreneur: how to choose one and use it lawfully

How a name is reserved at registration

• uniqueness is checked automatically against available names in Latin script when the request is generated;
• the chosen name is reserved for the applicant for 60 calendar days;
• the period can be extended once — for no more than 12 months, on payment of 1 BCV (base calculation value);
• the applicant is responsible for compliance with the Law “On Firm Names” (Regulation approved by Cabinet of Ministers Resolution No. 66).

Official name and trading name

In contracts, tax returns and payment documents an entrepreneur is identified by surname, first name and patronymic together with the special status. An IE cannot adopt an official firm name the way a company can.

At the same time, a commercial designation — the name under which customers know the business — may be used on signage, the website and in advertising.

What a commercial designation is

It is the name an entrepreneur uses to identify the business: a café, a workshop, a shop, a studio. It is not registered separately and arises from actual use, but its protection is limited.

A more reliable option is to register the name as a trademark. This creates an exclusive right and the ability to protect it from use by others.

• used on signage, in advertising and on the website
• does not replace the official details in contracts
• arises from actual use
• can be registered as a trademark

How to choose a name

A good name is easy to pronounce, memorable and does not mislead about the type of business. It is worth checking whether the domain name is free and whether competitors already use the designation.

Separately, check that it is not similar to trademarks already registered — otherwise the business risks a claim just when the name has become recognisable.

• checking for similarity with existing trademarks
• availability of the domain and social media accounts
• no misleading elements
• easy to pronounce and spell

Restrictions

Designations that mislead consumers about the nature, quality or origin of goods and services may not be used, nor elements whose use is restricted by legislation.

Nor should you choose a name that gives the impression of belonging to a government body or to someone else’s well-known brand.

The name and documents

Contracts and primary documents state the entrepreneur’s official details. The commercial designation may appear in addition, but not instead of those details.

This matters for accounting: documents with incomplete or incorrect details create problems when expenses have to be supported — both for your customers and for you.

The practical side

At the start of a business the name seems a secondary issue compared with registration and taxes. But changing it two years later, when the signage, website and customer base are already tied to the designation, is noticeably more expensive.

We advise settling the name at the same time as registration and choosing a tax regime — as part of the overall preparation for launch.

Help from Leader Audit

We support entrepreneurs at the start: we help with registration, choosing a tax regime, setting up the books and drawing up documents correctly, including proper use of official details and designations.

That way the name works for the business rather than raising questions in tax audits and in relations with counterparties.