Once Your Company Name Is Settled, Do You Need a Trademark?
Author: Junanda ConsultingReviewed by: Junanda Service Team2026-09-19
Many founders assume that once the company name on the business licence has been approved, the brand is protected. In reality these are two entirely separate legal systems: name registration answers the question "are we allowed to use this name", while trademark registration answers the question "who in the market may use this name (or sign)". They rest on different legal bases, cover different scopes and are administered by different authorities. This article explains the difference between the two, the typical risks of not registering, the right timing, the choice of applicant and the choice of classes, and closes with a brand protection checklist.
Start with the Conclusion: Name Approval Is Not Trademark Protection
- A company name is obtained under the rules on the administration of enterprise name registration. It is protected within the administrative area of the registration authority and within the same industry, and serves mainly to distinguish one market participant from another.
- A trademark is obtained by registration under trademark law. It is protected nationwide and in respect of the goods or services for which it is registered, and serves to distinguish the source of goods or services.
- Because the scopes of protection differ, it is entirely possible for you to own a company with a given name while an identical trademark has already been registered by someone else — leaving you unable to use that name as a trademark on your own products.
- Name approval only means that the name is not duplicated by the same industry locally. It does not mean that no one nationwide has registered an identical or similar trademark.
The Typical Risks of Not Registering a Trademark
- Being pre-emptively registered by someone else: once the brand gains traction, another party registers an identical or similar trademark first, and you may be required to stop using it or face a claim.
- Inability to open stores on e-commerce platforms: onboarding onto mainstream e-commerce platforms usually requires a trademark registration certificate or a notice of acceptance. Without a trademark it is difficult to open a flagship store or an exclusive store.
- Inability to use the brand sign freely: prominent use of a trademark already registered by another party on product packaging or promotional materials carries a risk of infringement.
- Being forced to rename or to buy the mark back: renaming resets earlier packaging, promotion and customer recognition; buying it back may require a substantial payment.
- No access to legal protection: when you discover imitation, you lack the exclusive right to the trademark and your position for enforcement is weak.
- Impact on financing and franchising: unclear brand assets directly affect valuation and commercial cooperation.
When You Should Consider Registering, and Why Earlier Is Better
If any of the following applies, it is advisable to file a trademark application as early as possible:
- You have started, or are about to start, making prominent use of a brand sign on products, packaging, stores or a website.
- You plan to join e-commerce platforms, open online stores or run content accounts.
- You plan to franchise, run a chain or license the brand.
- You have already spent significantly on promotion and are building recognition.
- Your industry is highly competitive and imitation is cheap, making free-riding likely.
- Your long-term direction is settled and the brand name is unlikely to change frequently.
Conversely, if the operation is temporary and the name is still being tested, you should at least complete a trademark search, so that you do not invest heavily in packaging and promotion without having searched first.
On timing:
- Trademark registration in China follows the first-to-file principle: where the marks are the same, the earlier applicant will normally obtain the right.
- File at the same time as the brand is finalised, rather than waiting until the product is launched and the packaging is printed.
- Examination and approval of a trademark take time, so filing early avoids a period of operating without cover while you wait.
- If you have used the mark but not registered it, keep evidence of use — but do not treat that as a substitute for registration.
- One option is to file first and then adjust to a back-up name depending on the examination outcome, which reduces the overall time cost.
Who Should Apply: the Company or an Individual
This is a common practical question, and the answer depends on your circumstances:
- Applying in the company's name: the trademark is a company asset, which makes financing, licensing and assignment easier. However, if the company is deregistered, the ownership of the trademark must be dealt with in advance, or it may be extinguished along with the company.
- Applying in the name of an individual (a sole proprietorship or natural person): the trademark right belongs to the individual and is unaffected by changes in the company's business. The corresponding proof of subject qualification must be provided under the rules currently in force.
- The precise range of eligible applicants, the materials required and the latest requirements are subject to the latest official versions issued by the trademark authority.
- Where a business involves several brands and business lines, it is worth mapping out clearly which entity owns what, so that confused ownership does not obstruct later capital transactions.
Choosing the Right Classes
Trademarks are protected by class, and the wrong class means the protection does not reach where it is needed.
- Core classes: the class corresponding directly to your main products. This is essential.
- Class 35: covering advertising, business operation, business management, office functions and similar services. It is an important class for retail, e-commerce, chain and platform businesses, and is treated in practice as a defensive necessity.
- Future business classes: the product lines or service areas you plan to expand into. Laying the ground early reduces later conflicts.
- Related and defensive classes: classes close enough to the main brand to cause confusion, and classes where pre-emptive registration by others is possible, selected according to budget.
- A practical approach: register the core classes plus Class 35 to establish a basic level of protection, then extend to future directions and defensive classes as budget allows.
Combining Protection Across Trademark, Trade Name, Domain and Accounts
A single form of protection usually leaves gaps; a combined approach is more robust:
- Trademark plus trade name: the trade name is protected within the registration authority's area along with the company name, while the trademark provides class-based protection nationwide. The two complement each other.
- Trademark plus domain name: the domain is your online entry point. Register a domain consistent with the brand early so that no one else occupies it.
- Trademark plus social media account name: account names on mainstream platforms are unique, so it is worth claiming them consistently and early.
- Registration in multiple forms: word marks, figurative marks and combined marks have different scopes of protection. For a core sign, a word mark is preferable, because the scope is wider and asserting the right is easier.
- Consistency management: the brand sign used externally and the registered trademark image should be kept as consistent as possible, so that using different versions does not weaken the protection.
What to Do If the Application Is Refused
- On receiving a notice of refusal, you may decide within the prescribed period whether to apply for review. If the period passes, the application is treated as abandoned.
- Common grounds for refusal include similarity to an earlier trademark, lack of distinctiveness, and use of a prohibited sign.
- Where refusal is based on similarity, you can assess adjusting the image, deleting designated goods, or negotiating coexistence or authorisation with the earlier rights holder.
- If the review period has passed or the prospects of success are low, file a fallback option as soon as possible, so that the brand does not remain without protection for a long period.
- Throughout, it is advisable to engage a professional agency to assess the position, because judging similarity and applying examination standards is highly technical.
Brand Protection Checklist
This article is general business information prepared by Junanda Consulting. Specific policy positions, tax rates, deadlines and procedural requirements are subject to the latest official versions issued by the competent authorities. To understand how these requirements apply to your business, please contact Junanda Consulting for further information and support.