After defining the type of business you want to open, thinking about the name you want it to have is another fundamental step. With a great name, you will be able to differentiate your brand from all the competition. Follow these steps to register your brand name correctly and don’t let anyone get ahead of you.
What is a trade name?
Before taking the step to register the name of your company, it is important that you are clear about the concept of trade name.
In this sense, the definition of a trade name is very simple: it is the official name of the company, which is registered in the Commercial Registry and grants an exclusive right of use to the person who registers it.
From a legal point of view, it is not mandatory to register the trade name of your company. It is not an indispensable administrative procedure to start selling your product or offering a service.
However, it is advisable that you do not fail to register the trade name, since in the long term this may result in legal and economic problems for your company.
Are the company name and trade name the same thing?
No. The corporate name is the, shall we say, “formal” name of the organization and is the one that should appear on invoices, employee contracts and contracts with third parties. On the other hand, the trade name, which can also be included in these documents, will be used in the commercial field.
We could take as an example the famous McDonald’s fast food restaurant chain. Its corporate name is Restaurantes McDonald’s S.A. and its trade name is McDonald’s.
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Step by step to achieve trade name registration
Although it is not a complicated procedure, registering a business name requires patience and attention to detail. Below is a step-by-step guide to successfully registering your business name:
Access the SPTO website and click on the “Electronic Headquarters” option.
2. Scroll down the tabs until you reach “Trademark or trade name application”.
3. When you start the application, you must enter the identification and contact details of both the applicant and the representative, if there is one.
4. Enter the data of the distinctive sign you wish to apply for.
5. Prepare a list of products, activities or services for which you want the name to be registered. The scope of protection of the name will depend on this.
6. Attach the relevant documentation. If you are a representative, you must upload the applicant’s authorization in PDF format.
7. Review the draft application.
8. Make the payment of the fees through a credit or debit card. It is also possible to do it through the AEAT gateway, by entering the bank account number. Proof of payment will be sent to the e-mail address provided above.
9. Finally, download the voucher, showing the sign number and the date and time of submission, or send it to a mailing address.
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Where should you go to register a company’s trade name in Spain?
To register the trade name of your trademark you must go to the competent entity. In this case, it would be the Spanish Patent and Trademark Office (SPTO), which offers territorial protection in Spain.
That is, once you register the name of the company, no other company in the Spanish territory will be able to use it.
How much does it cost to register a trade name in Spain?
According to the official website of the SPTO, this registration has an approximate cost of 144 € for the first class requested. There is also a 15% discount for those who apply electronically. The second and following classes requested will cost around 93 €.
In order to maintain these rights, renewals must be made every 10 years. The value of these fees is updated annually through the General State Budget Law and their amount can be seen on the SPTO website.
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Do you already have a trade name for your company? The sooner you start the registration process, the faster you will be able to enjoy exclusive rights over it. Do you want advice? Do not hesitate to contact the TAS Consulting team, we have a team highly committed to take your company to the next level.