Key Takeaways

  • All LLC names must include an appropriate designation (e.g., "LLC," "L.L.C.," or similar).
  • States restrict the use of certain words like “bank” or “insurance” in LLC names.
  • LLC names must be distinguishable from other registered names in the state.
  • Additional rules may apply to punctuation, abbreviations, and use of foreign language words.
  • Trademark checks and domain name availability should be considered when selecting a name.

LLC naming rules define how limited liability companies should be named during incorporation in all 50 U.S. states. The rules must be strictly adhered to when starting a business in order to avoid getting in trouble with the law from the outset of the business.

LLC Name Overview

It's typically not much work to choose the right name for your LLC, but may be worth a bit of extra effort. After all, the name of your LLC is going to be around for a long time, hopefully. Your company's name is supposed to make it stand out from the competition and become the company's identity.

It isn't impossible to change the name of your LLC in future. However, it will be more work and will result in the loss of any recognition your brand might have gained in the meantime. Composing a name for your limited liability company takes more than racking your brains for an appropriate label. It involves ensuring compliance with the state laws and federal rules for trademarks that govern LLC naming.

Naming an LLC Legally

When creating a name for your LLC, the most important thing to focus on is to ensure it is legal. In most cases, the way to make sure your LLC's name is legal is to avoid disallowed words and phrases and include required words and phrases. LLC name requirements differ based on state. However, all 50 states have many rules in common.

Every state requires that the company's name reflect its LLC status. As a result, “limited liability company” or “LLC” must be part of the company's name. There are various ways to shorten the term “limited liability company.” Some examples are the following:

  • LLC
  • LC
  • L.L.C.
  • L.C.
  • Ltd.
  • Co.

Corporations can also use:

  • Corporation
  • Incorporated
  • Company
  • Limited
  • Corp
  • Inc.

LLC Designators and Abbreviation Rules

Every LLC must include an identifier, also known as a designator, to show that it is legally organized as a limited liability company. Most states accept variations such as:

  • Limited Liability Company
  • LLC
  • L.L.C.
  • Limited Company (in some states)
  • LC or L.C.

However, the designator must be placed at the end of the name and cannot be used in a misleading way. For example, using "LLC" when the entity is actually a corporation is not permitted. Also, some states prohibit abbreviations like “Ltd.” or “Co.” for LLCs unless they accompany the full legal designation.

Restricted Words for LLC Names

According to the Internal Revenue Service (IRS), some kinds of businesses can't be incorporated as LLCs. Examples are insurance companies and banks. As a result, certain states forbid the use of words like “bank” and “insurance” in naming LLCs.

States also demand that businesses don't use:

  • obscene words,
  • words that falsely, directly or indirectly, claim association with government bodies,
  • words that promote illegal activity, and
  • any other words or phrases that are forbidden by law.

You can find a list of disallowed words on the website of your state's business regulatory body.

State-Specific Prohibited and Restricted Terms

In addition to general restrictions, some states enforce highly specific rules regarding the use of certain terms in LLC names. Examples include:

  • Professional terms: Words like “doctor,” “engineer,” or “attorney” may require professional licensure or state agency approval.
  • Government references: Terms like “Federal,” “Treasury,” or “Bureau” are often disallowed to prevent confusion with government entities.
  • Educational references: Using “university” or “college” may require state education department approval.

Before finalizing a name, consult your state’s list of restricted and prohibited words—typically available on the Secretary of State’s website.

Factors to Consider When Choosing an LLC Name

Your company's name should be something that can be easily remembered by people. Whatever you do, don't forget that choosing a memorable name will help people easily recall your company and help customers easily associate your company's name with the kind of service or product you provide.

It's recommended to avoid acronyms, unless you don't mind wasting money on useless marketing efforts. You shouldn't expect to get people's interest with a few letters. If you're bent on shortening your company's name, shorten it into an amalgam. For example, FedEx, which stands for Federal Express, or Nabisco, which stands for National Biscuits Company.

Your LLC's name doesn't need to be elaborately descriptive. The description will better fit into your slogans or taglines. Your LLC's name should be more like a symbol that creatively points to the essence and purpose of your business. For instance, Netflix versus FilmsOnline.com for an internet-based video rental business.

Tips for Creating a Compliant and Marketable LLC Name

When choosing an LLC name, aim for a balance between compliance and brand appeal. Consider the following tips:

  • Avoid overly generic names: “Best Services LLC” or “Superior Products LLC” may not be distinguishable enough.
  • Use real words and clarity: Names that are easy to spell and pronounce are more memorable.
  • Avoid excessive punctuation: While states generally permit commas, ampersands (&), and periods, using excessive or confusing punctuation can create branding issues.
  • Watch for translations: If your LLC name includes foreign language words, ensure they are accurately represented and permissible under state rules.

Check for Name Availability

Before you settle for a name, make sure it's not in use by another company in your state. In most states, business name regulatory bodies offer free, searchable databases of all registered business names on the internet, which can help narrow down your options. You may also want to search the U.S. Patent and Trademark Office's trademark database and for possible domain names to avoid future hiccups.

Trademark Protection

If you can get your company trademark protection, other businesses will be prohibited by trademark law from using logos and names that are similar to those of your business to prevent such logos and names from being confused with yours. If your company is into retail or local services, it's recommended that you take advantage of trademark protection.

Additional Name Considerations: Domain and Social Media

In today’s digital landscape, it's essential to think beyond legal compliance. A name that passes LLC naming rules might still cause problems if:

  • The domain name is taken: Your LLC may not be able to get a matching website domain, which can hurt online visibility.
  • Social media handles are unavailable: Consistency across platforms supports better branding and customer recognition.
  • There’s a trademark risk: Even if not federally registered, a common law trademark may exist. Searching online marketplaces, business directories, and social media can uncover such risks.

By checking domain registrars and social platforms early, you can avoid having to rename your business later.

Frequently Asked Questions

  1. What are the basic LLC naming rules in all states?
    Most states require that an LLC name include a legal designator (like "LLC") and be distinguishable from existing names. Certain terms may also be restricted or prohibited.
  2. Can I use punctuation in my LLC name?
    Yes, but usage is limited. Most states allow commas, periods, and ampersands (&), but excessive or confusing punctuation should be avoided.
  3. Can two LLCs in different states have the same name?
    Yes, as LLC names are registered at the state level. However, issues could arise if the name is federally trademarked.
  4. Can I reserve an LLC name before filing?
    Most states allow you to reserve a name for a limited period (e.g., 30–120 days) by filing a name reservation form and paying a small fee.
  5. Do I need a lawyer to choose an LLC name?
    While not required, consulting a business attorney can help you avoid legal pitfalls, especially if you’re operating in a regulated industry.

If you need help with LLC naming rules, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.