The name of a business plays a great role in the success or failure of a business.
A good business name will make it easy to build a brand and sell products or services; hence, making a business successful. That is why it is essential to choose the right business name.
However, it is not always easy to find a suitable name that will make your business stand out. So, how do you choose a name that defines your business and brand to help you thrive? The following are naming business mistakes that you should avoid when looking for a name for your business.
Making the Name Personal
The joy of starting a new business may drive you to put your name on it. However, doing this will make you personally liable, and customers may expect to get personal attention from you. When you aren’t the one serving in your business premises, customers may not be inclined to do a transaction with you.
They will feel out of touch with you; hence, you will lose customers. Furthermore, when you have a business bearing your name, employees may not be motivated to contribute to the growth of the business. They will feel they are building you personally rather than the business brand. However, if you have established a reputation in your specialty, including your name in your business name will not be an issue.
Even if your business is a consulting firm it is not a good idea to name your business after yourself.
Using Generic Name
When starting a business, chances are there are already other businesses in that field. Avoid naming your business as your competitors. Having a unique name will make your business noticeable. It will make customers curious to check what you are offering.
Examples of unique and memorable name ideas for a real estate business are; All Around the Neighborhood, Great Sunset Realty and Granite Brokers.
However, when you use a common name when naming your business, prospective customers will pass without bothering to see what you are offering because, in their mind, you will be just another store in the block.
Naming According to Location
This is the most common naming business mistake that many entrepreneurs make. When you name your business based on a particular location, you will be limiting your growth.
When you want to expand or relocate your business to other geographical regions, it will be challenging for you to penetrate the market because you will be perceived as a foreigner in the new region.
The name you are thinking of giving your business may sound simple to you, but what about your customers? Is the name long or complicated to pronounce for the people in the area you are targeting?
A complicated name will make customers forget about your business easily. It will also deny you the chance to get marketed through word of mouth; hence, you will miss the chance to get serious customers referred to your business.
Tone Doesn’t Rhyme with Your Products or Services
The name of your business should match with the services or products that you are offering. Such a name will not only create mental imagery to your customers’ minds but also make it easy for them to remember your business. However, ensure the name you choose doesn’t have multiple meanings to confusing serious customers.
Using Names That are Already Taken
Due diligence should be done before settling on a name for your business. Using a name that has already been used may not only land your business into a lawsuit due to trademark infringements but also give your negative business branding.
If the business using the name you have taken has a bad reputation, it will extend to your business too.
Using Vague Names
A good business name should give an idea to the customers what the business offers just by looking at it. However, some entrepreneurs settle on a name that has little or no indication of the services or products that they are offering. Clear communication in business is vital.
For example, you will find a business bearing X & Sons Company, X & Brothers, among others that are incomprehensible to consumers. Use a name that will make your customers grasp what your business offers by looking at it.
Choosing the right name is the first step to the success of your business. The ideal name should create the right image of your business and communicate your services or products to your clients. To come up with a good name, avoid the above naming business mistakes that many entrepreneurs make.