Read This Before Naming Your Business

If you are starting a small business, maybe you've read my other hubs about logos, websites, and other marketing tactics, and thought, "That's nice. As soon as I can think of a name for my business, I'll get started on the rest."

Yes, naming your company is a tough decision - a decision so often made in haste so that one can get straight to work. I don't blame you for wanting to get down to business, but keep in mind that changing your name down the road will be a Headache (yes, with a capital H).

To realize the name of your company, you first need to realize the vision for your company. Do you want to expand outside of your current market? Do you wish to one day sell additional services or product lines? Do you see your business as the next Wal-mart, Microsoft, or J.C. Penney? If you have not thought about the future for your business, you're in for more problems than being at a loss for a company name.

Commercializing Your Name

Perhaps the easiest route to branding your company is just to name if after yourself - After all, it seems to have worked out okay for Walt Disney, Levi Strauss, J.C. Penney, Ralph Lauren (insert famous fashion designer here), and loads of other successful businesses, right? Well, sure. There are just a couple of things to keep in mind.

When you put your product or service out under your name, there is no getting away from it. You ARE that product. If there is something wrong with that product, then there is something wrong with you and vice versa (DeLorean, anyone?). Conversely, if your product or service is the best thing since the microchip, henceforth so are you. If you have all your ducks in a row, truly believe in your product, and are ready to take the fame OR the infamy, then go ahead and name your business after yourself.

There's one more thing. If you ever anticipate a buy-out in your future, you may not want to name your company after yourself. You never know how a third party will operate business under your good name. Just something to think about.

Don't Box Yourself In

On my Sunday walk, I saw a sign on a telephone pole for a company called Sanders Plumbing. About half a mile down the road, I saw a sign for the same company called Sanders Plumbing & Construction. Well, which is it? More than likely, Mr. Sanders started out doing only plumbing, and then he grew his business to perform a broader spectrum of services that would fall under the category of construction.

If this is the case, then that company probably quickly discovered the disadvantages of limiting its moniker to Sanders Plumbing. After all, Sanders Plumbing would come to mind for all of your plumbing needs, but you wouldn't expect them to install air ducts. Adding the "Construction" bit to the name lets the potential customer know that the company is versed in other departments - but not without the expense of creating new signs, business cards, and other branding necessities.

To prevent the backtracking, really think about what your company has in store for the future. Maybe you perform just one service now, but will you expand to encompass other niches? Perhaps Mr. Sanders would have been better served to call his company something along the lines of Sanders Home Services. Or Sanders Construction and Repair. These names offer a huge umbrella under which Mr. Sanders could incorporate more services without the hassle of going through a name change.

Do You Want People To Think of Your Services As Cute?

Maybe your answer to this question is yes. But if so, I have to ask you if you understand the difference between cutesy and catchy. Catchy is smart. Although it rhymes (which is a tad cutesy) I think the 7-11 is catchy. Cutesy is irritating. Cutesy is the name that you are embarrassed to say. I wouldn't want to tell people if I were taking my son to Patty Cake Academy day care every day. I'm not that cool, but I'm too cool for that. So is everyone else.

And for the love of all humanity, do NOT turn your "C's" into "K's" (e.g. Holly's Kountry Kanines) or commit similar intentional grammatical travesties because you think that it makes your business name more captivating. Exceptions noted (e.g. Krispy Kreme), you're not on the fast track for the big time because you incorporated cutesy alliteration. In my humble opinion, I find it patronizing.

The bottom line is in the initial question - Do you want people to think of your services as cute? Do you want people to feel stupid and embarrassed when they talk about your business? Surely not. So think twice before coming up with a cutesy name.

Location, Location, Location

Do you want to use your city or town as a descriptive word in your company's name? I'll use where I live - Birmingham, Alabama - as an example. If I started a hardware store and the name was not already taken (big IF), would I want to call it Birmingham Hardware?

The advantage would be that local patrons feel good about shopping at locally-owned businesses. The fact that the name is Birmingham Hardware would instantly notify customers that this is not a big corporate chain store. Also, it would be very easy to remember a name like Birmingham Hardware if you lived in Birmingham, no?

The disadvantage lies in the future of your business. As I asked before, do you see your business expanding into other markets? Other states? Other countries? If so, the Birmingham part of Birmingham Hardware becomes irrelevant.

That's not to say that having a location in your name won't work - Take Burlington Coat Factory and South Beach Diet as an example. But you have to think of WHY it works. Burlington, Vermont is a cold place. I trust people from there to make a good coat. South Beach sports extremely toned people frolicking around on a daily basis. They should know how to stay trim.

So before you define your business by its location, think about your future prospects of expanding and in which case would your location help sell your product rather than make it obsolete.

Think Like the Big Dogs

Have you ever noticed that most major corporations have a one or two word name - Microsoft, Target, Starbucks, Lowe's, Sears, Burger King, Nike, etc. etc. So why might that be?

Well, shorter names are obviously easier to remember. Also they fit nicely on a logo, they're easier to say when answering a phone, and they make for cheaper signage. The key to having a short name (or any name) is that it needs to be unique. There's a reason that Starbucks doesn't call itself Coffee, Microsoft doesn't call itself Operating System, and Burger King doesn't call itself Hamburgers.

The beauty of it is that a random name like Starbucks (which has kind of a nice ring to it, mind you) can be marketed to such an extent that people automatically think "coffee." Anyone who was wondering what the heck Starbucks was a few years ago is definitely no longer in the dark.

A unique, catchy name is probably not something that hasn't crossed your mind in the branding process. So if you think that you have what it takes to make your product or service a household name - nationally OR locally -- then don't give up on brainstorming for the perfect brand name.

Although it takes more time, more energy, and more brain cells than you can probably spare at the moment, treat naming your company like you would naming your child. In other words, go with a name that you'll be happy with for a long, long time. If not, you'll be spending even more time and money when you revisit the subject later.