How to Reserve a Business Name in Hawaii
Starting a business in Hawaii is an exciting venture, and one of the first essential steps is securing the perfect business name. Reserving a business name helps ensure that no one else takes your desired name while you’re working on forming your business. If you’re unsure where to start, don’t worry!
This simple step-by-step guide will walk you through the process of reserving your business name with ease. As your trusted partner for accounting services in Hawaii, we’ve got you covered every step of the way.
What Is a Business Name Reservation?
A business name reservation allows you to temporarily “hold” your desired name for up to 120 days while you finalize your business formation. This ensures that no one else can take your name during this time.
Important note: Reserving a business name does not mean you’ve officially registered your business; it just prevents others from using your name. You’ll still need to complete your business registration afterward.
Step-by-Step: How to Reserve a Business Name in Hawaii
1. Check Name Availability
Before reserving your name, ensure it’s available. Hawaii law requires that your business name be unique and distinguishable from existing entities.
- Use the Hawaii Business Express website or the DCCA business name database to check availability.
- If the name is available, you can proceed with the reservation.
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2. Follow the Naming Rules
Depending on your business entity type, your name must comply with certain naming conventions. Here’s what you need to know:
- Corporations: Must include “Corporation,” “Incorporated,” “Limited,” or their abbreviations (e.g., “Corp.,” “Inc.,” “Ltd.”).
- LLCs: Must include “Limited Liability Company,” “LLC,” or “L.L.C.” (Other abbreviations like “Ltd.” and “Co.” are also allowed).
- Limited Partnerships (LPs): Must include “Limited Partnership,” “LP,” or “L.P.”
- Limited Liability Limited Partnerships (LLLPs): Must include “Limited Liability Limited Partnership,” “LLLP,” or “L.L.L.P.”
These rules help ensure that business names are clear and accurate.
3. Submit the Name Reservation Application
Once you’ve confirmed the name’s availability and compliance with the rules, submit the Form X-1 application to reserve your business name. The reservation costs $10, and it lasts for 120 days.
4. Understand the Reservation Details
Once approved, the reservation holds your name for 120 days. Keep in mind:
- If you don’t register your business within this period, the name becomes available again for others to use.
- Reservations are non-renewable, but you can cancel early by submitting a signed cancellation letter to the DCCA.
- If you’re ready to form your business immediately, you can skip reserving the name and file your formation documents directly.
Summary
Reserving your business name in Hawaii is a smart, simple step to protect your desired business name while you work through the rest of your setup. For just a $10 fee, you can reserve the name for 120 days, giving you ample time to finalize your business plans without the worry of someone else taking your name.
Whether you’re forming an LLC, corporation, or partnership, Counto is here to help with your accounting and business setup needs. We’ll make sure you stay on top of all your business requirements, from name reservation to registration, and beyond.
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