- Business in Poland -
Company name and business name – key identifiers in business activity
Company name vs. business name: understanding the legal distinction
Running a business involves the need to properly identify the entrepreneur. Two key terms in this context are the company name and the business name. While they are often used interchangeably in everyday language, under civil law they have distinct meanings and functions.
What is a company name and why it matters in business law
The company name is the main identifier of the entrepreneur. It not only helps distinguish the business from others but is also a mandatory element that must be officially registered. An entrepreneur cannot operate without a company name, and the right to use it begins as soon as it is chosen and business activity is started.
Key functions of a company name in business operations
The company name serves several important purposes:
- Identification – it distinguishes one business from others on the market,
- Promotion – it helps build brand recognition and may be registered as a trademark,
- Protection – it safeguards consumers and helps them identify the origin of goods or services.
Legal rules for creating a company name under Polish Civil Law
The rules for creating a company name are outlined in the Civil Code. Different rules apply depending on whether the business is run by an individual or a legal entity (such as a company or organization with legal capacity).
For individual entrepreneurs, the company name must include their full name. Additional elements, like nicknames, the type of business, or the place of operation, may also be added. For legal entities, the company name is their official title, which must include the legal form – for example, “limited liability company” or its abbreviation.
Legal principles governing the use of a company name
Company names are subject to specific legal principles:
- Truthfulness – the name must reflect reality and not be misleading,
- Exclusivity – the name must be clearly distinguishable from others operating in the same market,
- Unity – the entrepreneur may operate under only one company name,
- Continuity – the name can be retained even when the business is continued by another person,
- Transparency – the name must be registered in the appropriate official register,
- Non-transferability – the name itself cannot be sold, although another party may be authorized to use it if this does not create confusion.
Where to register a company name in Poland: KRS and CEIDG
The appropriate register for legal entities and organizations is the National Court Register (KRS), while individuals are registered in the Central Register and Information on Economic Activity (CEIDG).
What is a business name and how it differs from a company name
The business name should be distinguished from the company name. It refers to the name of the organized set of assets and resources used to run the business – that is, the business in the material sense. A business name does not have to be registered and can be chosen freely, except in cases where the business is sold. In such situations, the buyer must add their own name or company name, unless otherwise agreed by both parties.
Why company and business names often overlap in practice
In practice, the company name and business name are often the same. However, it's important to remember that the company name identifies the entrepreneur, while the business name refers to the operational structure – the assets and organization behind the business. In both cases, care must be taken to avoid misleading customers about the identity of the business, the origin of its products, or the nature of its services.
Legal protection of business identifiers under Polish Law
Protection of business identifiers is ensured not only by the Civil Code but also by the Act on Combating Unfair Competition. An entrepreneur whose name or business identifiers have been unlawfully used or copied may seek to stop the infringement, request the removal of its effects, demand an official apology, claim compensation, and – in cases of intentional wrongdoing – ask the court to order a payment for a public benefit purpose.
