The Business Names Act 1985 and The Companies Act 1985

• Who does the Act apply to?
• Requirements of the Act
• Disclosures required by the Act
• Additional Requirements under the Companies Act 1985

Regulations covering the particulars of ownership of a business have been in existence since 1916 and the information was kept at the Business Names Registry. In 1982 the Registry was abolished following the introduction of the Companies Act 1981, which required that businesses should display the owners names and addresses at the business premises and give such information on request to any customer or supplier.
 
The provisions of the Companies Act 1981 were then consolidated in the Business Names Act 1985 effective from the 1st July 1985. This fact sheet is intended to serve as a guide to traders in Tameside on what they need to do to ensure compliance with the Business Act and certain relevant provisions of the Companies Act 1985.
 
The purpose of these requirements are to ensure that your customers and other bodies know who they are doing business with, and who is trading at a particular premises.

Who does the Act apply to?

Sole Proprietors

Persons running a business in their own surname are not affected. This surname may include forenames or initials. for example, if Christopher Smith trades as Smith, C. Smith, Chris Smith, then he will not be subject to the Act. However  if he trades as 'C. Smith Bakery' or 'Smiths Removals' then he must comply with the requirements of the Act.

Partnerships

Where the trading name only consists of the surnames of the partners, with or without forenames or initials, the partnership is unaffected by the Act.

Companies

Companies are affected by the Act if they use a business name other than the full corporate name of the company. For example, if XYZ Windows (Tameside) Ltd. trades as 'XYZ Windows'.

The Companies Act 1985 imposes additional requirements, to disclose ownership details outlined below.

Further details can be obtained by contacting the Trading Standards Department at the above address.

Requirements of the Act

A business affected by the Act must disclose the name of the owner or owners, and an address for each owner at which documents can be effectively served.

Disclosures required by the Act

The name and address of the owner must be :

1. Legibly stated on all business letters, written orders, invoices, receipts and written demands for payment.
2. Immediately given by written notice to any person with whom anything is done or discussed in the course of the business and who requests such information.
3. Prominently and legibly displayed in any premises where the business is carried on, so that it can be easily read by customers and suppliers.

The precise design of the notice to be displayed is  not laid down in the Act, but a specimen notice is attached which may be adopted.

In the case of partnerships with more than 20 partners, the names may be omitted from business documents provided that such documents state the address of the principal place of business and that a full list of the partners' names and relevant addresses may be inspected there.

Additional Requirements under the Companies Act 1985

Limited companies, even if they are trading in their full company name, must also ensure that:

1. The proper company name is painted or affixed to the outside of every office or business premises, and it is easily legible.
2. The proper company name is given on all business letters/notices/official publications/invoices/receipts/bills of exchange etc.
3. Any business letters and order forms include the company registration number, and registered office.
4. If directors names do appear on documents, all directors names are given.

Failure to comply with the provisions of the business Names Act or Companies Act is a criminal offence, and in addition to this the business may be unable to enforce its contracts with other parties. 

Contact Information
Send us a Message	Trading Standards Tameside MBC Council Offices Wellington Road Ashton under Lyne Lancs OL6 6DL View local map
0161 342 8355
0161 342 2288