Starting a business is an exciting venture, and perhaps one of the most exciting aspect is selecting your business name. But how do you decide on a business name that's meaningful, memorable, and comfortable for your potential clients? Below are four aspects you should consider when settling on the name of your business.
Look to the future.
While it is, obviously, a good idea to make sure your business name accurately reflects your products or services, many entrepreneurs caution against too narrow a focus so as not to inhibit your business from branching out or expanding. For example, I might decide to incorporate my freelance editing business: Sarah's Editing Services, Inc. However, I also provide writing services - something my business name does not reflect - and a potential client looking for writing assistance might pass up my listing in favor of another editor, not realizing that writing is also a service that I perform.
(Of course, if you find yourself in a predicament where the natural growth of your company goes beyond the scope of your name, you still have options; you could simply change your name - Sarah's Writing and Editing Services, Inc. - or you could file a DBA under the company name - Sarah's Editing Services, Inc., doing business as Sarah's Writing Services.)
Do your research.
Most budding entrepreneurs know that it's a good idea to find out if anyone else is using your business name; many, though, are not aware of the complexities involved with such a seemingly simple task. It isn't enough just to see if your company name is a URL (though that is an excellent start) - there are several places to look, and depending on your ambitions, possibly several more.
The first place to check is your Secretary of State's office. You can search their corporate records to determine if anyone else has incorporated their business using the same name (keep in mind that corporate endings are not a distinguishing factor in name availability: if Sarah's Editing Services, LLC is taken, Sarah's Editing Services, Inc. is unavailable). In some states, the search will turn up sole proprietorships and other DBAs; in others, you'll need to check at the county level for extra DBA records.
Once you've determined name availability in your state, it may not be a bad idea to check availability in neighboring states into which you might conceivably expand in the future. While a business name conflict in another state will not prevent you from incorporating, it will prevent you from using that name in the conflicting state, if you choose to expand. While you'll of course be able to select a new name for use in that state, you'll lose any customer recognition that you may have built around your original business name.
The next place to check is the US Patent and Trademark Office to determine if anyone has registered the same name as a trademark. This won't prevent you from filing your incorporation paperwork, but you may run into other legal issues later on. (It's always a good idea to discuss your name choice with your lawyer or legal advisor to make sure you're fully in the clear.)
Don't embarrass your customers.
Any good business relies on word of mouth to spread the word. So what's the number one way to make sure no one is talking about your business? Make it impossible for customers to decipher the pronunciation. If customers can't figure out how to say the name of your business, they aren't going to, and you'll lose the word-of-mouth advertisement - one of the cheapest, most effective forms of advertisement out there.
Along these lines: look at your proposed business name from all angles. Imagine the individual words stacked vertically on a sign. Is there anything in any possible abbreviations or acronyms that might reduce your average prepubescent boy to a fit of giggles? "Peter's Music Supplies" looks like a fine, direct business name at first glance, but at least keep in mind that you might be limiting yourself a bit when it comes to, for instance, designing a logo based on the name's initials.
Keep it fresh.
Consumer fatigue is an ugly thing. Fight it by coming up with a name that will make you stand apart from the crowd. Consider conveying an impression of strength, wit, your position on the cutting edge of your field, or any aspect of your business you can emphasize that would make your business sound as fresh and desirable as it is. Make up a word, if you'd like to create your own particular nuance -- combining Latin words and derivatives is a great way to come up with a name that's unique, yet meaningful. And as an added creativity bonus, the more unique the name, the more likely you'll be able to continue using it uninhibitedly when you expand into new markets!
