In order to incorporate a federal company in Canada the articles must be accompanied by a Canada Business Search which is sometimes called a Federal Nuans Name Search or Canada Name Search.
Industry Canada's objective for federal companies is to ensure that the name is clear right across Canada. Industry Canada has to be sure that any company name put in front of them is not a conflict for any other name already granted to another company in Canada.
The federal government scrutinizes any proposed name very carefully. Industry Canada has developed Name Granting Guidelines and there are certain considerations to make when choosing a name. The average person doing a name search for a Canadian federal corporation would not be able to weed out the names that would be a conflict.
To save yourself time and money you should first do a preliminary name search through an experienced search house. The reason you should have someone experienced perform your Canada Name Search is that the federal government will refuse any name that is remotely close to another name and even names that sound the same and are spelled different will be a conflict.
An experienced search house that has been registered will be able to find many of the conflicts. Ordering a federal name search without doing a preliminary name search in advance will mean that if your proposed name is not accepted by Industry Canada you will be required to provide a new federal nuans report for another possible name. This can become expensive since this could happen many times when trying to get a name approved.
It is possible to obtain a Federal Name Decision from the federal government before you file your articles so you will know whether the name is going to be accepted. One of the requirements for having the federal government look at your proposed name in advance is to provide a federal nuans name search report. It is still necessary to do a preliminary name search before ordering your federal name search report to ensure you have a name that you feel is available.
Even with a thorough pre-check of any proposed name the federal government could still reject the name because their policies are strict. However, if you have a search house review the name before you order your full search this will give you a better chance of acceptance.
Resources for Canadian Business Owners provides legal and government information to Canadian businessowners including information about Canada Name Search
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