When it comes to choosing a business name, there are many things to consider. And yet, most of us don't know what we're doing when we're trying to come up with the perfect moniker for our company or startup. The result? We waste time and money on names that could've been avoided—and then waste even more time and money trying to fix them. In this article, I'll give you some tips on how avoid some common mistakes and make sure your new name is perfect for your brand:
Picking a name that limits business growth
You want a name that can grow with you. A business name that is too specific, such as a location or product, will limit your ability to grow. You don't want to be stuck in one area of business or unable to change or expand when opportunities arise.
On the flip side, if you choose a general name like "Solutions" or "Products" it may not be memorable enough for customers to remember you by. In fact, the best kind of names are those that are flexible and can work across different industries and contexts without being too generic (think Apple vs IBM).
Choosing a name that's too general
- You need to be specific. There are a lot of ways to do this, but one of the simplest is to use the name of a product or service you offer as part of your business name. For example, if you sell organic juices, calling it "Organic Juices."
- Don't pick something too general. Your goal should be to create a brand that's memorable and says something about who you are and what makes your company unique—not just another generic placeholder like "Perth Consulting" or "Tech Company." And while there may be exceptions (like with very large companies), it’s best not to use two words in one name unless they form some sort of special relationship or have some other quality that makes them sound natural together.
- Think about how easy it will be for someone else—whether it's another business owner or potential client—to spell and pronounce your company name correctly every time without any mistakes (or at least as few as possible).
Having a name that's long, hard to spell or pronounce
You want your business name to be memorable. But some people might not want to say it, others will have trouble remembering it and still others can't even get the spelling right. So, make sure you choose something short and sweet that people can easily remember, type, and say aloud—and one they can write down on their order form without any hassle.
Not checking if the domain name is available
Now you have a great name, but there’s one more thing to consider: whether the domain name is available.
A domain name should be short, easy to remember and easy to spell. It should also not be too hard to pronounce or spell out loud.
To make sure that no one else has taken your desired domain name before you get there first, check if it is registered on Registry Australia's Domain check tool here.
Not Checking if the name is trademarked
- Check if your name is trademarked by visiting IP Australia and searching the name in their trademark search tool.
- Do a search on Google to see if anyone else is using your name as a brand or company.
- Consider whether your business's name will be too close to another already established business with an existing trademark
- Think about how broad or narrow the scope of use for your business will be. If you're only going to offer services in one area, then there should be less problems than if you have plans for a national network of franchises!
Overthinking your name
In the same way that you should never take the name of a business too seriously, it's important not to overthink your choice. You'll want to avoid spending too much time on the decision or getting caught up in the details of your company's identity. After all, once you've decided on a name for yourself and for your business, there will be plenty more opportunities for internal discussions about branding and marketing materials. And while it's important to stay true to who you are as an individual or organization (and name), don't get too caught up in thinking about how others perceive that perception. Remember: names change over time!
Not checking what else your name is associated with
There are many websites that allow you to search for your desired business name and see what else is associated with it. You can also check if your name is associated with a negative connotation, positive connotation, curse word, swear word or has different meanings in different countries or cultures.
Names with unintended double meanings
You want to avoid naming your business something that has more than one meaning, because the last thing you want is for people to be confused about what you do. If you choose a name that gives off multiple different vibes, it could lead to customers not being clear on what exactly it is your brand does—and this can be disastrous for business.
Names too similar to your competitors
You want to avoid having a name that is too similar to your competitor’s, because it will make it difficult for customers to tell the difference between you and them. This can be detrimental if they choose one over the other since many people shy away from making “the wrong choice” and go with the more familiar option instead.
If your business and theirs have different products or services but are both in the same industry, then chances are your target audience is going to have at least some overlap—and this could cause confusion if there are multiple options on their list of companies that provide what they need or want. You don't want someone clicking on an ad for one service when they really meant another!
So, what do you do? Just aim to pick something completely different from anything else out there!
Not getting enough feedback or testing it with your target market.
If your business is for a certain audience, it's critical that you get feedback from them. You can do this in a variety of ways:
- Surveys and polls: These are a great way to understand what people think about the name. You can even offer rewards to incentivize people from your target market to participate! You may be surprised by what you hear, but this is a great way to find out if there are any possible problems with your branding or marketing strategy.
- Usability testing: How easy would it be for someone new? Can they pronounce it? Does it make sense when paired with other words? If the answer isn't "very easy," then maybe you should reconsider. After all, if people have trouble figuring out how best to say something or spell something when they're trying reach out and contact you as customers then they probably won't do either one very often!
Coming up with a business name?
We hope this list has given you a better understanding of what to do and what not to do when choosing a business name. If you have any questions or need more information on how we can help, please contact us today.
Read our step-by-step guide to coming up with a business name here to take a step further and start registering your new business name.
