Before you can incorporate a company in Canada, no matter what province or territory you live in, you will be required to provide some form of name search and as well, you might also be required to provide a name search to register a proprietorship, business name or a partnership.
A preliminary name search is a pre-check of a proposed company name, business name or sole proprietorship name before you order your full Nuans name search report or other similar name search. Having a preliminary name search done prior to ordering a full search can save money in the long run.
Prior to registering your business, the appropriate government office handling name clearances will review the name search to make sure there are no names on the report which could be considered a problem. The government in the federal jurisdiction will refuse to register a name that sounds the same as a name that is on record.
If you place an order with a search house for a Nuans name search report or similar report a preliminary name search is normally done as part of that fee. Determine in advance before ordering your name search that the preliminary name search is part of the service. A full Nuans name search must not be provided without first having a preliminary name search performed. There is was exception to this rule. If you are registering a partnership, sole proprietorship or business name and the province or territory does not require a name search then in that case you should pay separately for a preliminary name search to be done before you register your business name. I will go into this further below.
There is no guarantee that a name is going to be accepted by a government just because you have a name search report for that proposed name. If a preliminary name search is not part of the service of the search house when you order a Nuans name search or similar search report then you should look for another search house. A Nuans search house has the ability to order a Nuans report without a pre-check of the name but a fully trained search house would never do so without a preliminary check of the name just to try and rule out any advance conflicts.
Look at it this way. A person wants to register a business called Morgan Cement Services Incorporated. The search company tells the person that there is no exact match because they do not have a policy of pre-checking names. There is actually a company registered called Morgan Cement Services Ltd. This person decides to register his business called Morgan Cement Services Incorporated and the owner of Morgan Cement Services Ltd. sees his flyers in the neighbourhood. Mr. Morgan of Morgan Cement Services Ltd. has had his business for many years and has built up a great reputation. Mr. Morgans reputation and longevity in the business gives him the ability to go court and request the court to get this person to change the name of his corporation. If you consider it, it would not be in your best interest either to have a name that is similar to another registered name.
Upon receipt of a Nuans report or similar name search report you must take some time to look over the report to ensure for yourself before in register a business that there are no names that are too similar to the one you proposed to use.
You can incorporate a company in Ontario that is different in any way. Considering the above example, the only difference is the ending of the name. Therefore it would be accepted. On the other hand if you were dealing with the federal government it would never be accepted for registration.
If you are registering a business in Alberta, Ontario and possibly some of the other provinces or territories in Canada, you do not need a name search in order to register your name. The government does not as a practice pre-check these types of names and therefore it is your responsibility to make sure you do not have a name similar to another name. You could still be taken to court if you do not ensure your name is different than others. Actually the corporate governments in Ontario and Alberta allow for business names to be registered that are exactly alike.
In a situation such as this you would want to purchase a preliminary name search. To conclude, in a case where you are registering a partnership, business name or sole proprietorship and a name search is not necessary you should purchase a preliminary name search. As a matter of fact, a lot of searches houses will check your name for free prior to registering a business name or a sole proprietorship or a partnership. If you are unclear about the website you are dealing with contact them. I am sure they would be glad to advise what their policy is.
Resources for Canadian Business Owners provides information about legal and government services for Canadian businesses as well as further information about obtaining a Nuans Name Search Reports.