The reason social legally represents the name by which a company is known. It is a unique denomination, so it must be clearly stated in the company's founding document; In this way, the company name comes to represent the primary characteristic, which effectively supports the creation of the organization.
The company name does not necessarily have to be the name of the founder of the company, many times the firms decide to identify themselves with a fantasy name or trade name, with which they gain access to the market and consumers; This fantasy name can be replaced by another, as many times as they wish, this will always depend on the market strategies adopted by the company, instead the company name will be used only for legal and administrative purposes.
In the corporate name it must be stated the name of the partners, and in the case where there are several partners, the word "company and" should appear which will indicate the plurality of partners. Changes in the company name of a company must be made through a statutory reform, and this results in differences that will depend on the type of company in question.
On the other hand, the organization has the duty to indicate the initials of its classification, for example, public limited companies will indicate SA, while limited liability companies will be expressed as SRL.
Sometimes the term company name is often confused with a company name, the latter being a mandatory feature for companies that need to register in the commercial register, but do not want the names of the partners to appear.
In certain circumstances, companies change the company name of the organization, this is done in order to evade some type of debts, originating in this case the rights and obligations contracted by the company.
By way of example, you can better understand the relevance of the concept of social reason is the case of a well known company to level international, dedicated to the food supply, it can be observed that the receive an invoice from one of its stores, The name that appears is not the same that people see in it, therefore this company uses a commercial name with which they are made known to the public and another that is used for legal procedures
