How to choose a company name
One of the first questions arising in a novice entrepreneur is how to choose a name for a firm. This is not a simple matter. Choosing a company name is the first step towards success in business. An unfortunate name can lead to the fact that customers prefer to use the services of competitors with a successful name.
We will try to go “by contradiction” and first list the mistakes that entrepreneurs make when choosing a name for a company.
The name is similar to the degree of confusion with the name of another company. The restriction on this is even introduced by law. Therefore, too similar a name can lead to adverse effects. First, you can be misleading the consumer. Secondly, another firm may sue you, and you will not only be banned from using the name, but may also be asked to pay damages. And by this time you have already spent money on advertising, on the release of goods and so on. And all this will be in vain.
Too informative title. Of course, it is desirable that the name be associated with the activities of the organization. But this should not be taken too literally. Thus, the name “Center for the implementation of underwear and hosiery” – too long. The example is exaggerated, but any name that is too long will not be remembered by the client.
The firm is named by someone’s name. For example, the name of his second half. Firstly, it looks “collective-farm”. Such names are typical for villages and villages. Secondly, this name can say absolutely nothing about the company. Well, if for some reason you decide to part with your beloved? Memories will not be very pleasant.
The name is tied to the city or region. Think of the future: what if the business goes so well that you will master other cities and regions?
Too simple or too complex name. It’s hard to find a middle ground, but try not to call, for example, a restaurant with something like “At the Park”. Too incomprehensible, abstruse names, especially foreign ones, are not too good either.
Too many words in one title. Abbreviations are not always good. For example, “Rosgosstrakh” is known to all. And how do you like StroyGazEnergoServis? Will his name stand out? There are a lot of companies with similar names, and it can be said with confidence that most of them are faceless. Moreover, they are difficult to remember.
Use popular foreign words in the title. For example, you decided to open a second-hand and called it “Euro-Stock”. That word “euro” is such an undesirable word. This is too hackneyed – wherever you look, everywhere there is “euro”, “land”, “city” and so on.
Relationship with the type of activity
Let’s talk a little about the connection of the company name with its activities. This is one of the principles of selection of the name, but not the only one. For obvious reasons, such a company will be easier to identify among competitors.
For example, the name “Cat and Mouse” is suitable for a pet shop. The name “Warm Home” is suitable for a company that sells heaters. And under the name “Wonderful Garden” would you guess that the company sells, for example, books?
This method is aimed at associations and is pretty good.
Look around and you will see that most firms are called completely straightforward. For example, “Zaitsev Stomatology” or LLC Auditor. Their names are usually associated with the type of activity and, of course, they find their clients. But it is not necessary to be called so primitive. When you have little money for starting a business and for its advertising, it is the name that will help attract customers. It is more likely that the client will go for auditing services (provided that he does not know the market for these services) at some Volga audit center, and not at Auditor LLC. Doesn’t the first name sound much more solid?
Xerox, Kodak, Google, Apple.
A fresh look
If you want to achieve success, then do not think only about your own “I want”, but look at the name of the company first of all through the eyes of the client. What would you think about a company with a particular name? It is best to make a mini-survey among relatives, friends and acquaintances. This will help get healthy criticism, and maybe even more successful ideas.