Guidelines for Choosing a US Company Name

Choosing a business name for your US company greatly impacts your business success. The wrong business name can lead to failure to connect with your customers, causing immeasurable business challenges. A great name can help in marketing and branding your products.

Although some big companies have changed their names, such as Qwikster, which changed to Netflix, this process can be tiring and costly. You must inform the IRS, change permits and licenses, and obtain a new employer identification number when changing a business name.

It takes customers seven impressions to remember your brand and seven seconds to have an impression of it. That's why you should invest time in choosing a forever business name.

Choosing a memorable yet catchy name triggers the correct connection, helps it stick, and boosts brand recognition, positively impacting your brand.

Let's unfold strategies for choosing a great business name.

Why is a US Business Name Important?

Your business sets an impression of what your customers expect from you. It also determines how easily your customers and prospects can recognize your brand.

1. It's the first thing that meets your customer's eye

Your business name defines the perception customers (and investors) have about your business right from the onset. It will be used as a banner in your advertisements and part of your domain name. As such, it should be Google-friendly.

Thus, selecting a name that is very close to the name of a competitor or one that clients would find difficult to pronounce will be against the chances of being discovered online.

Some brands have names such as 'Yahoo' and Google; they are easily remembered and don't have any meanings, making them expensive to brand. But names that are strange or, in some way, grabbing are easier to remember.

 2. It says everything about your business

As a rule, your brand name reflects what products you sell and what general idea your brand associates with. Consider the words that could describe the actual product or service, the level of customer relations, and the environment (if it is a business location).

For instance, Burrow is a furniture firm focused on modular sofas modified according to the consumer's preference. The name burrow has two meanings. First, it implies comfort, which is so perfect that one wants to 'burrow' into the piece of furniture; secondly, the name suggests you can use the furniture to make your own 'burrow.'

3. It sets you apart in the industry

A catchy name easily distinguishes your business competitors. The name must reflect the idea that people will turn to you for trust, authority, and knowledge in your field of business. Do not use a name that might prove to be restrictive in the future expansion of your business.

 For instance, Apple had to drop its original name, Apple Computers, to diversify as the company grew. Amazon also abandoned its first trade name, "Cadabra," because it sounded like a 'cadaver.'

Type of Business Names

Take one of these five approaches to name your business as a business owner. Your best approach will depend on your target audience, brand identity, and industry.

1. Suggestive names

Emotive brand names refer to the emotion someone feels when using your product or service. Therefore, suggestive names rely on associations (the connotation is the idea or feeling a word invokes) to communicate the brand image.

Creative company names are excellent for organizations that are more than just representing the goods and services they sell. Suppose you operate an independent bookstore and must develop a community of Self-published Indie writers. Select a name that evokes your business aspirations, even though you may not be at that level.

It is easier to trademark a suggestive name as opposed to a descriptive name because of the originality of the names.

2. Descriptive names

Descriptive names refer to the product or service and are helpful in clearly defining a brand's location or place in the marketplace. However, the names may be functional and practical and less likely to provoke misunderstanding.

However, it may be hard to maintain storytelling and personality with a descriptive name; still, businesses can benefit from it, especially when starting a new market. However, it can be challenging to trademark business names with actual words. 

3. Arbitrary names

 Brand names are often derived from Latin, Greek, or other foreign word forms that are amended to reflect the brand's disposition. These names are fun and easily memorable, though they're not related to the reality of the company's actual operations. However, after enough repetition, the customer will likely associate the given name with a specific product.

4. Company names based on other languages

Other organizations borrow words from different languages and ride in on the back of the associations.

For instance, Uber has its name from the German word which means 'above all the rest'; this is true because Uber offers the loose use of flagging a taxi in the street by allowing customers to summon a taxi using a mobile phone.

5. Acronyms/initialisms

Acronyms are used to shorten long names that may be hard for a customer to recall. For example, Berlin Motor Works has been reduced to BMW. However, the acronyms have no meaning or emotion and can not create any picture in the mind.

These names are hard for the audience to remember or even more complex to protect by registering for a trademark. However, the largest companies in the world had names that were acronyms of an unrelated sequence of English uppercase letters.

Companies employ such combinations out of necessity; when merged or changed, the company needs a new name but does not want to lose its history. Although it seems similar to a catchy way to name your business, it is unsuitable for an ecommerce business.

How to Name Your Company

Creating several potential business names using a structured and disciplined approach is advisable. Don't rely solely on your guts; do market research, get feedback from friends, and talk to potential customers until you get the right name.

1. Brainstorm business names

Brainstorming is quite helpful in creating a list of possible business names. Assess the general naming environment. Look into how your competitors chose their brand names. Is there any particular naming tradition preferred in your industry?

Remember what sorts of household-name brands you are most familiar with. For instance, what comes to mind when you hear the brand name Kleenex? What about Coca-Cola? You must explore and iterate several times to achieve the right brand name.

Before going public, if you need to begin the process, you should seek advice from trusted sources, such as your friends, advisors, and relatives.

2. Use name generator

Business name generators for online businesses offer users possible business name options by entering keywords. These name generators work in conjunction with the selection to check availability for the domain. That way, you do not select a name for your business only to find that you cannot register a ". com" domain under your chosen business name.

You can specify your type of business and products or services, as well as the other filters, like changing the business name tone and the name length. The more keywords you enter, the more comprehensive the range of results will be. Moreover, you are also advised to try it more than once. Do not stop searching for a business name until you find your perfect name.

• Squadhelp: is an all-in-one business name generator that provides prospective business names using the crowd-sourcing platform. It lets you host naming contests where thousands of creatives create names based on your instructions. They also have a marketplace with name suggestions with attached available domains.
• NameMesh: This tool provides broad name ideas by combining various algorithms to develop catchy, short, brandable names. It divides outcomes across multiple categories, including common, new, fun, brief, and SEO-friendly sections, thereby assisting you in locating an excellent solution for your business.
• BrandBucket: This tool was designed for experts who offer unique, brandable names, logo designs, and domains for sale. This platform curates premium names that are clear and ready to go, helping you get a business name with a professional ring.

3. Dump words

Begin by writing all the terms associated with your brand and the field you are focused on. Don't over-analyze. The objective of a word dump is to settle for word vomit.

Start a timer for 10–30 minutes, and attempt not to pause the writing; come up with descriptive words, root words in other languages, or words that describe your product or service. Don't hold back.

4. Use a thesaurus

After you conduct the word dump, look at the list of words you have come up with and use a thesaurus to check for synonyms/antonyms.

Having an extensive list of potential business names gives more options to select from. Then, scratch out irrelevant names. But do not solely rely on adjectives. Some of the greatest-sounding names can be nouns.

5. Write down the potential business names list

Start shortlisting your name choices after generating business names and doing a word dump of as many names as possible. Do away any moniker that resembles that of an existing business. This is because your target customers may not differentiate you from your competitors. In the worst scenario, you could be fired for libel or defamation.

Things you Must Ensure When Choosing your Business Name

When choosing the name, ensure:

1. The name relates to your business

Make sure the business name you choose implies the nature of your business and creates a feeling of recognition among the members of your target demographic.

If you are a purely slacker brand oriented at young audiences, do not use a conservative name that could be mistaken for a law firm. Look out for a general trend or frequency of business naming in your industry.

For example, the names of financial firms and management consulting businesses are similar, as they often include the founder's name.

 2. Is there any meaning that can be ascribed to the name?

Your business name is the core of the brand message, particularly when it has a story behind it.

Ancient mythology inspires some brand names. For example, Nike is a Greek word for the Winged Goddess of Victory. Other business names are created by pure luck. The name LEGO is a contraction of the Danish word' leg godt,' which translates to 'play well.' The correct name for a business tells the customer you are the business for them.

3. Is the name appealing?

Your business name will be used on the logo, promotions, social media accounts, and other company items. Thus, having the perfect business name that is appealing to the eyes and fun to pronounce is crucial. Pay attention to how the letters are constructed; what shapes are included in them, and are they elaborate or simple? Is it possible to easily incorporate your logo into the circle? Is it perceiving beautiful?

4. The name should be easy to remember.

An excessively lengthy name constructed of fictitious words without connections to your offerings will not be remembered. Remember, branding a business with an unrelated name is more expensive.

It will be impossible to have your marketing campaigns as effective if customers cannot relate your business name to what is being sold. This will also affect the word of mouth marketing because nobody would want to recommend a costly product. More so, satisfied clients cannot recommend you to their friends if they do not even remember your company's name.

5. Choose a name that's easy to spell

Choose a business name that is specific to the search engine. Is the name easily searchable online for anyone keen to find your business? The name is ranked lower in the search engine for a hard-to-spell name, and more persons would likely misspell the name, thus losing your business altogether.

6. Abide with Business Structure Naming Rules

Although it's essential to be creative when choosing a business, don't forget to consider practical aspects based on your business structure. The rules and regulations on business names vary from state to state; therefore, refer to your business bureau. Choosing an official business name is crucial for your business formation, whether you will file an LLC or C-Corp; however, you can have more than one assumed or DBA name.

Different business structures have different requirements.

• Limited Liability Corporations: Settling legal cases, LLCs shield personal property. Names should contain phrases' limited liability company', 'LLC', or 'L. L. C.' Don't use words which refer to bank, insurance, governmental organization, or turn to some authorization.
• C-Corporations: C-corporations are suitable for organizations with shareholders, directors, and officers since they restrict shareholders' liability to their investments. Names should include the words 'Corporation,' 'Limited,' 'Incorporated,' and' Company' or their abbreviations.
• Sole Proprietorship: Carries out business under the name of the founder's surname or some other DBA used for opening the business bank account and applying for the EIN.
• General Partnership: Businesses need to have one of the founders' surnames if more than two are owners, file DBA, or use another name.

7. Check if a suitable business name is available.

Before using your chosen business name, ensure another business claims the name.  

• Look into the federal trademark records: Go to USPTO.gov and find out if you can find a service mark or trademark with such a name. Just type your potential business name, and the search engine will show if an existing business takes the name.
• Domain Availability: Your domain name should match your business name. However, if '. com' is unavailable, other options to try out include '. org' and'. net' domains. Newcomers to a specific site usually expect a domain of '. com', and they might give up searching if it is unavailable.
• Do a Secretary of State search:  check with your Secretary of State to confirm that another business has not used the business name you want to use. Request a preliminary search to verify whether the name is available. You can use it only after getting a go-signal. Furthermore, the business entity's name can be found on the Secretary of State's website.

Business Name Ideas Guidelines

Below are crucial factors to consider when choosing your business name idea:

1. Understand your business

You should know the enterprise's goals, objectives, scope, and clientele base. The business's name must reflect that and be the reference point when developing your brand. A more excellent business name portrays your company's benefit through an impressive phrase or literal meaning.

2. Use descriptive words

Adjectives are indeed a great way to convey meaning. For instance, if your type of business is creating quality and unique goods, add words like best or custom before or after the business name. If you are recognized for fast services, terms such as 'immediate' or 'fast' will express your differentiating proposition.

3. Be accurate

Do not force your potential clients to decode your services or products painfully. They should know what you offer by looking at your company's name. This might mean using descriptive words for the product.

It is advisable to incorporate the word showing what your business offers, for example,’ kids toys' or 'home decor' in the business name.

4. Avoid hard-to-spell names.

Rigid semantics are quickly forgotten, and searching them online is more challenging. People also have to manually enter it in to be able to forward you emails. Eliminate the risk of future incompetence in spelling on business cards and marketing materials.

5. Choose a name style

Picking a name style is helpful in that it ensures you do not constantly switch. Adhering to the trends followed in your specific sector could help enhance the business name's stickiness.

• Obvious/literal names: A business name with plain English, in essence, tells what the business is straightforward. Gives a precise account of the nature of the company's business.
• The owner's name: Sometimes businesses use the founder's moniker as the business name, which mostly applies to the finance, law firms, and business consulting industries.
• Made-up/unrelated words: Some entrepreneurs choose business names that might be harder to brand because when people hear them, they don't immediately associate them with the business unless your business is highly famous. However, making it memorable for people might be easier in the long haul.
• Mainstream words: Taking simple everyday words and making them into the brand. Rather than develop new terms, use common words that create images of what the brand does without directly describing it.  

 6. Narrate a story.

Some names are deep and meaningful and can narrate your firm's core business and beginnings in but a few words.

7. Discuss the name with others and ask for their opinion.

Try to get as many second opinions as you can. Since you are a business person, you may be inclined to a particular side. Feedback must be received and considered at every level of business creation. However, much effort is needed to do market research and interview potential customers to learn their perception of the name.

8. Don't be too narrow

It is often found that more prominent brands have mistakenly chosen a name that suggests they deal in only one product. For instance, Dunkin' Donuts removed 'donuts' from its brand name in 2018 to focus on drinks and breakfast products. It is also essential to note that your name should not be too specific, as it can restrain you as the business expands.

9. Take caution before using geographical names

Using geographical names may make you seem too provincial, which is undesirable if your customers are nationwide or transnational. Some clients from different states might think you do not conduct business with them.

However, do not shy away from localization if you specifically do localization as your selling proposition.

10. Choose a scalable name.

Finding a business name is equally a process of defining its current identity and its potential in the future. Select something scalable so that if you begin to expand your physical store or target export markets, you are already ready.

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Final Thought

Choosing a business name is a huge responsibility that can impact your company's success positively or negatively. That's why you should follow all the guidelines, such as choosing a catchy, unique, and memorable business name. This can boost your marketing efforts and enhance customer connection, while a poorly chosen name can confuse your customers, leading to missed opportunities. 

Consider using various types of names, such as descriptive, suggestive, and acronyms, while ensuring the name is easy to spell and scalable for future growth. 

If you find it challenging to come up with a name, you can use name generators or ask for opinions from your peers and loved ones to refine your options. Finally, the right name will capture the spirit of your business and distinguish you from your competitors in the market. If you have any question on how to choose a company name, kindly contact one of our experts here.