How to Name a Business

When starting the business, one of the biggest decisions you need to make is choosing a name for that business. There are many factors that go into choosing a name for your business. This is one of the first decisions you make as a business owner. Here are some guidelines for how to choose a name for your business.

Instructions

Difficulty: Moderate

Things You’ll Need:

• Imagination
• Knowledge of other businesses in field
• Creativity

How To Name A Business

1. Create a name that advertises as well as describes your business. When you start a business, the first thing you need to realize is your business name is your first form of advertising. Make sure that the name of your business gives an indication of what your company does. As an example Mack's Crab Shack is a great name for a crab restaurant. On the other hand, Mack's Crab Shack is probably a bad name for a kennel or dog training facility.
2. Choose a name that stands out. Not only should your business name be one that advertises your business, but it should stand out as memorable as well. Remember that most customers rely on memory instead of written notes when hearing your business advertised. If the name of your business is catchy such as Jamaican Jerk Jubilee Restaurant it is more likely to be remembered than a name such as Jim's Jamaican Restaurant.
3. Know your competition. Research the industry you are getting into and the names of the competition. Find out which businesses are successful and look at their names. How did they go about naming their company? Is there something similar with the names of all the successful companies in your area of business? If so, you might want to incorporate that into your business name when you choose one.
4. Do some focus group testing. Focus group testing does not have to be expensive. Once you have chosen a final list of names, get a group of random people that you know and ask them for their opinions on the names and find out how they would rank your list of names. Find out what name would be most likely to catch their attention, and what name they would most likely remember. If you want a larger test group and you have the finances, you could hire a market research firm to do your focus group testing for you.
5. Choose a name you will be happy with. Remember, in the end it is your business. If you have a name that you don't like, the only person in the end you can blame is yourself. Remember, as the owner of your small business you have the final decision.

Tips & Warnings

• Ask friends, family, and colleagues for suggestions if you have run into a road block when trying to come up with a company name.
• Be careful not to use copyrighted names as part of your company name, or you could face legal issues.