Your business name is your first touchpoint with clients, so make sure it connects with your brand and purpose.
Surprisingly, many company owners put too little thought into the element that normally makes the first appearance to potential customers—the name of the company.
When it comes to naming a business, there is no lack of opinions on effective strategies. Some professionals believe that a business name should be conceptual. Others believe it should obviously state what the business does.
That’s not the only company name dispute. Here are a few tips to help you sort out the options and choose an effective name.
Abstract vs. Descriptive
Some of the most prosperous companies have names that don’t give an obvious clue about what the company does—Nike, for example. Unless you’re a fan of Greek myth, you likely didn’t know that “Nike” is the Greek goddess of victory. But despite the relative anonymity of the reference, the company went on to achieve incredible success.
Related: General Partnership Agreement
However, most small company owners don’t have the aid to make their brand a household name. When clients are searching for a particular service or product, a simple descriptive name might be the best bet. Try to choose a name that describes the unique benefit or product your company offers. Try it out on family and friends to see if it resonates with them.
Nearly every business these days has an online presence – a website that provides details about the company or a full-blown eCommerce system that allows shoppers to buy directly from the site. Many business owners eschew brick-and-mortar stores altogether and concentrate all their marketing efforts online.
One of the foremost things when thinking about company names is to check to see if the domain, or URL, for that name is available. There are many domain name registration service providers that can assist you with checking availability and securing the name you wish to use.
Lock Down Your Name with the State
Once you settle on a name, you’ll need to ensure the rights to it. That takes more than just recording a domain and publishing up letterhead with your new business name on it.
Will you create a corporation or LLC? Or use as a sole proprietor or general partnership?
These decisions have much importance, including how you’ll protect your business name and whether or not you’ll be directed to register a fictional name under which to conduct business.
Many elements go into choosing a business name. The approach has far-reaching importance. It pays to take the time to choose a strong name and make sure you protect it. After all, your company’s name is a special asset.