Understanding differences between entity name, business name and trademark in Australia

Expanding into Australia presents significant opportunities for international businesses, but navigating the country’s regulatory landscape requires careful planning. One of the most crucial steps when establishing a presence in Australia is understanding the distinctions between an entity name, a business name and a trademark. Each serves a unique legal and commercial function and failing to register the right ones can expose your business to compliance risks or brand disputes.

By Ro Elvinia

For international companies looking to operate in Australia, having a clear grasp of these concepts will ensure legal protection, regulatory compliance and long-term brand security.

What is an entity name?

An entity name is the official legal name of a company or registered entity in Australia. It is the name under which the business is incorporated and registered with the Australian Securities and Investments Commission (ASIC), Australia's corporate, markets, financial services and consumer credit regulator. This name appears on legal documents such as contracts, tax filings and ASIC records.

Key features of an entity name:

• Required for all Australian companies and legal business entities.
• Must be unique – two companies cannot have the same entity name.
• Ends with Pty Ltd (for proprietary limited companies) or other legal suffixes (e.g., Ltd, LLP, Inc.).
• Does not grant branding rights – others may use similar names for trading unless trademarked.

Example:

If an international company XYZ Global Ltd (registered in the UK) wants to establish a presence in Australia, it might register a subsidiary called XYZ Global Australia Pty Ltd as its entity name. This name will be used for corporate filings and tax purposes but may not be the public-facing brand.

What is a business name?

A business name is the name a company trades under, which may be different from its entity name. If an entity wishes to operate under a name that is not its registered entity name, it must register a business name with ASIC.

Key features of a business name:

• Required if a company wants to trade under a different name from its entity name.
• Not unique – multiple businesses may register similar names, leading to brand confusion.
• Does not provide exclusive rights – other businesses can use the same or similar name unless trademarked.
• Helps establish brand recognition in the Australian market but offers no legal protection beyond compliance.

Example:

Using the earlier example, XYZ Global Australia Pty Ltd may want to trade under a simpler, customer-friendly name such as XYZ Consulting. To do so, it must register XYZ Consulting as a business name with ASIC. However, this does not stop another company from also registering XYZ Consulting as a business name unless a trademark is secured.

What is a trademark?

A trademark is a legally registered name, symbol, logo or slogan that provides exclusive rights to use that branding in Australia. Unlike a business name, which is merely a trading name, a trademark prevents others from using a similar or identical name in the same industry.

Key features of a trademark:

• Grants exclusive legal rights to use the name, logo or slogan across Australia.
• Prevents competitors from using a similar or identical brand in the same industry.
• Registered with IP Australia, not ASIC.
• Provides strong legal enforcement and brand protection.
• Essential for international businesses looking to protect their brand in the Australian market.

Example:

If XYZ Consulting wants to prevent competitors from using its name, it must register "XYZ Consulting" as a trademark with IP Australia. This will ensure that no other business in the same sector can legally use that name or a confusingly similar variation.

Without a trademark, competitors could register similar names like XYZ Business Consulting or XYZ Advisory, potentially misleading customers.

Comparison table: entity name vs. business name vs. trademark

Why international businesses should secure a trademark in Australia

Many international businesses mistakenly believe that registering a company or business name automatically protects their brand. However, only a trademark provides full legal protection against competitors using a similar name or logo.

Key reasons to register a trademark:

• Prevent competitors from using your brand name – Without a trademark, other businesses can legally use similar names, causing confusion in the Australian market.
• Secure exclusive rights in Australia – A registered trademark grants full ownership and legal enforcement rights.
• Strengthen your brand presence – Trademarks add credibility and value to your business, making it easier to establish trust with Australian customers.
• Avoid costly legal disputes – If another business trademarks a name similar to yours first, you may have to rebrand or engage in costly litigation.

If your company has already registered trademarks in other countries, you will still need to register your trademark separately in Australia to gain local protection.

How ABN Australia can help your international business

At ABN Australia, we specialise in helping international businesses expand into Australia by providing seamless, compliant and efficient business setup solutions. Whether you are registering a new Australian company, setting up a business name or securing a trademark, our team ensures your business is legally protected from day one.

Our services for international businesses include:

• Company formation – We handle the entire ASIC registration process, including registering an entity name for your business, ensuring compliance with Australian regulations.
• Business name registration – We assist in registering your trading name and ensuring compliance.
• Trademark registration – We provide expert guidance on securing your brand identity with IP Australia.
• Local compliance and governance – Our team helps navigate Australian corporate laws, taxation and reporting requirements.

Ready to expand into Australia? Contact us today to protect your brand and establish your business with confidence.

Published: 19^th Feb 2025 | Last updated: 28^th Feb 2025