Glossary · Formation and notary

Company name (Firma)

Also: Firma, Firmierung, Firmenname, business name, trade name

In short

In the legal sense, the "Firma" is the name under which a merchant conducts business and signs. It must be distinctive, must not be misleading and must contain the legal form suffix.

Company name (Firma) explained

In everyday German, "Firma" means the whole business; legally, it only means its name (Sec. 17 (1) HGB). Personal, descriptive and invented names are possible, as long as the name is suitable for identification, is distinctive and is not misleading about essential business circumstances (Sec. 18 HGB). The legal form suffix is mandatory, for example "GmbH", "UG (haftungsbeschränkt)", "e.K.", "OHG" or "KG" (Sec. 19 HGB, Sec. 4, 5a GmbHG). A GbR does not carry on a commercial business and therefore has a name rather than a "Firma". Before forming, also check whether the name infringes an older trade mark, because a commercial register entry is not a trade mark.

Legal basisSec. 17, 18, 19 HGB; Sec. 4, 5a (1) GmbHG

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Related terms

Commercial register (Handelsregister)The commercial register is a public, electronically kept register of merchants and commercial companies, maintained by the register courts. Division A (HRA) lists, for example, sole traders, OHGs and KGs; division B (HRB) lists, for example, GmbHs, UGs and AGs.GbR (civil law partnership)A GbR comes into existence as soon as at least two persons contractually undertake to pursue a common purpose, without a notary, register or minimum capital. All partners are personally liable for its debts, without limit and jointly and severally.GmbH (limited liability company)The GmbH is a corporation and legal entity formed by one or more persons with at least €25,000 share capital. As soon as it is entered in the commercial register, in principle only the company's assets are liable for its debts.KG (limited partnership)The KG is a commercial partnership with at least one partner with unlimited liability (general partner) and at least one limited partner whose liability is limited to a liability amount. It is entered in division A of the commercial register.Legal form (Rechtsform)The legal form is the legal framework of a business and determines liability, capital, formation effort, say in decisions and taxes. Common legal forms in Germany include the sole proprietorship, GbR, OHG, KG, GmbH, UG and AG.Legal form suffix (Rechtsformzusatz)The legal form suffix is the part of the name that shows the legal form, for example "GmbH", "UG (haftungsbeschränkt)", "e.K.", "OHG", "KG" or "eGbR". It is mandatory and belongs on business letters, invoices and in the legal notice.

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