Nepal Accouting

Company Name Reservation in Nepal: How to Do It Online

Vijay Shrestha
Vijay Shrestha Dec 15, 2025 11:37:23 AM 4 min read

If you are planning online company registration Nepal, the very first legal step is company name reservation.
For foreign companies, this stage determines whether your brand, trademark strategy, and investment timeline move forward smoothly or face delays.

Nepal now allows company name reservation through the Office of the Company Registrar (OCR) online system. While the process looks simple on the surface, foreign investors often face rejections due to naming rules, restricted words, or sector-specific compliance.

This guide explains exactly how to reserve a company name in Nepal online, what foreign companies must watch out for, and how to avoid costly mistakes before incorporation.

Why Company Name Reservation Matters for Foreign Companies

Company name reservation is not just an administrative formality. It is a legal gatekeeper for your entire Nepal market entry.

Key reasons it matters

  • It legally secures your proposed company name

  • It prevents brand conflicts with existing Nepal entities

  • It is mandatory before submitting incorporation documents

  • It impacts FDI approval and sectoral licensing

  • It reduces trademark and reputational risk

Under the Companies Act, 2006 (Nepal), no company can be incorporated unless its name is approved and reserved by the OCR.

How Online Company Registration Nepal Works at the Name Reservation Stage

The online company registration Nepal process is divided into logical stages. Name reservation is always Stage 1.

Typical flow for foreign companies

  1. Company name reservation (online OCR portal)

  2. Preparation of incorporation documents

  3. Foreign investment approval (if applicable)

  4. Company incorporation certificate issuance

  5. PAN, VAT, and sectoral registrations

Failing at stage one delays everything else.

Legal Authority Governing Company Name Reservation in Nepal

Foreign investors should understand the legal framework behind name approval.

Key laws and guidelines

  • Companies Act, 2006

  • Company Registration Rules, 2007

  • Office of Company Registrar (OCR) Directives

  • Foreign Investment and Technology Transfer Act (FITTA), 2019

The OCR has discretionary authority to reject names that conflict with public interest, national integrity, or existing registrations.

Step-by-Step: How to Reserve a Company Name Online in Nepal

Step 1: Access the OCR Online Portal

The Office of the Company Registrar operates a centralized online company registration Nepal portal.
Foreign applicants may apply directly or through an authorized local representative.

Step 2: Create a User Account

You will need:

  • Valid email address

  • Contact number

  • Passport details (for foreign promoters)

All notifications are sent electronically.

Step 3: Fill in Company Name Reservation Application

You must submit:

  • Proposed company name (English or Nepali)

  • Alternative name options

  • Nature of business

  • Company type (Private Limited, Public, etc.)

  • Promoter details

Step 4: Upload Supporting Information

Although documents are minimal at this stage, accuracy is critical.

Step 5: Submit and Track Application

Once submitted, the application is reviewed by OCR officers.
You can track status online.

What Makes a Company Name Acceptable in Nepal

Foreign companies often assume global naming rules apply. Nepal has unique restrictions.

Accepted naming principles

  • Must be distinctive

  • Must not resemble existing registered names

  • Must reflect business activities

  • Must not mislead the public

  • Must respect national interest

Restricted or sensitive words

The following typically require special approval or are rejected outright:

  • Bank, Finance, Insurance

  • University, Academy, Trust

  • Government, Nepal, National

  • Cooperative, Authority

Common Reasons for Name Rejection (Foreign Companies)

Based on OCR practice, these are the top rejection triggers.

  • Similarity to existing company names

  • Use of regulated words without license

  • Mismatch between name and business activity

  • Use of country or authority terms

  • Trademark conflicts

Example

A tech company proposing “Global Bank Solutions Pvt. Ltd.” will likely be rejected due to the word Bank, even if no banking activity is planned.

How Long Does Online Name Reservation Take in Nepal

Standard timeline

  • 1 to 3 working days for review

  • May extend during peak periods

For foreign companies requiring sectoral review, timelines may increase slightly.

Validity Period of Reserved Company Name

Once approved, the name is reserved for 35 days.

If incorporation is not completed within this window, the name expires automatically and must be re-applied.

Online Company Registration Nepal: Name Reservation vs Incorporation

Aspect Name Reservation Company Incorporation
Legal status No company yet Company legally formed
Validity 35 days Permanent
Documents required Minimal Full legal set
Foreign approvals Not required Often required
Risk level Medium High

This distinction is crucial for foreign investors planning timelines.

Name Reservation for FDI and Foreign-Owned Companies

Foreign companies entering Nepal through FDI must align name reservation with investment approval strategy.

Best practice

  • Avoid restricted or sensitive sector terms

  • Align name with approved business scope

  • Cross-check with trademark strategy

  • Ensure future scalability

Under FITTA 2019, misleading or sector-conflicting names may complicate approval.

Tips to Increase Approval Chances (Expert Insight)

Here are proven strategies used by advisors handling online company registration Nepal for foreign firms.

  • Submit two to three alternative names

  • Keep names descriptive but simple

  • Avoid regulated words unless licensed

  • Align name with business classification

  • Conduct pre-search before submission

Can You Reserve a Company Name Without Visiting Nepal

Yes. The online company registration Nepal system allows full remote name reservation.

Foreign promoters may:

  • Apply directly online

  • Authorize a local consultant

  • Use a power of attorney

No physical presence is required at this stage.

Compliance Risks of Poor Name Selection

Choosing the wrong name can cause:

  • Repeated rejections

  • FDI approval delays

  • Trademark disputes

  • Rebranding costs

  • Regulatory scrutiny

Early professional guidance reduces these risks significantly.

Frequently Asked Questions (People Also Ask)

Is company name reservation mandatory for online company registration Nepal

Yes. The OCR requires name approval before incorporation. Without it, registration cannot proceed.

Can foreigners reserve a company name in Nepal online

Yes. Foreign promoters can complete name reservation online directly or through an authorized representative.

How many names can I submit for reservation

You can submit multiple alternatives. Providing at least two options improves approval chances.

Does name reservation guarantee company registration

No. It only reserves the name. Incorporation depends on document compliance and approvals.

Can I use my foreign parent company name in Nepal

Yes, subject to availability and compliance with Nepal’s naming rules.

Final Thoughts: Start Online Company Registration Nepal the Right Way

Company name reservation is the foundation of online company registration Nepal.
For foreign companies, it is not just about availability. It is about compliance, investment readiness, and long-term brand security.

Getting this step right saves weeks of delay and avoids unnecessary regulatory friction.

Call to Action

Planning to register a company in Nepal or enter via FDI?
Speak with our Nepal incorporation specialists to reserve your company name correctly and fast-track your online registration.

Don't forget to share this post!

Vijay Shrestha
Vijay Shrestha

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