Business and Legal Considerations in Choosing a Company Name
There are many considerations and problems to solve for anyone getting out in the market and starting their own business. One of the first considerations in starting your own company will be choosing a business name. Many people over look this task and simply jump right into a business name they believe sound good or somehow just works for what they are doing. Often, little consideration is given to the actual business and legal considerations involved in your company name. While we do not suggest you rack your brain for weeks trying to choose a name for your business, we do suggest a few really quick considerations. Provided here is a short checklist of issues we believe all entrepreneurs should consider in naming their company.
Business Considerations in Naming Your Company
- Name relates to product or service but does not unduly limit future expansion into new products or services. Keep the name specific to your industry but not so specific you paint yourself into a corner with name that wouldn’t make sense for any future expansion you could predict.
- Name relates to location of business but does not unduly limit future expansion of market area. For instance, when our firm started, if we would have named ourselves Utah Business Advisors LLC or something similar, that name would not work if our law firm expanded into other markets like Las Vegas or Los Angeles.
- Name will result in advantageous business directory placement. This is a big one for marketing purposes. A key word specific name can help with online marketing placement in directories.
- Name is easy to remember, spell, and pronounce.
- Name sounds or looks appealing and avoids negative connotations. Seems obvious but some companies don’t realize their name may have alternative meanings.
- Name captures attention and is unique in the business from its competitors.
- Name, or a derivative of the name, is available as a domain name for a Web site. In today’s online marketing world, this is huge. If you are a tech company, this is absolutely necessary.
Legal Considerations in Choosing a Business Name
- Name, or one that is confusingly similar, is not being used by other companies in your market area. In Utah, you can’t choose a name already chosen by another company. However, you may be able to choose one that is confusingly similar which could turn into a trademark or other legal battle with a competitor.
- Name is not registered or recorded as an assumed business name in the state or county.
- Nameis not being used by a corporation or limited partnership in the state.
- Name is not registered as a trademark or trade name in the state.
- Name is not registered as a federal trademark or service mark. Even if the name is not trademark in your state’s system, if it is trademarked federally you should absolutely avoid using that name.
- Name is subject to enforcement and registration as a trademark or service mark (for example, it is not merely descriptive of the goods or service of the business). This is important because if you are unable to trademark your name and your company is successfully, you can bet someone else will try to capitalize on your hard earned work into that name.
Utah Business Attorney
For more information, and to get help with your particular business, call and speak with a Utah Business Attorney at Salcido Law Firm today. We look forward to your call.