ECN Forum Forums General Topics of the Trade Business Related Discussion Choosing a name for your business

And notice how many do not.

I happen to be employed by number 27 on the list.

Once you decide on a name check the rules in your area, here if I want to run a business called 'Speedy electric' I would have to have the name on my license changed to speedy electric.

If you call a small Biz Bob Jones Electric I would figure most calling would ask to speek to Bob. Many phone calls to a new business are telemarketers. Those people try to figure out who's in charge then they sell that information to others. How do I know. One time I gave a fake owners name to an insurance salesman. Still years later I get phone calls and mail addresed to that person. Would a new customer want to speek only to Bob? Will the customer want Bob doing the work? If some day you sell this company will someone want a biz with someone elces name.

I also found this:
In certain types of professions such as the medical, legal and accounting professions, your state will have regulations about using individual names in your business name. States will require that the individual whose name (or last name) is used be licensed by the state in that profession.


If you use your name in your business’s name, the general public will associate your name with your business, good or bad. For example, let us assume that your name is Jim Goodwin and you own a bar named Jim Goodwin’s Pub. If the pub gets a bad reputation or runs into legal trouble, your name will be associated with that reputation.

Reguardless what name you want you need to do a search with the Secritary of State for corporations using that name or simular. Beware of having the name too close to a different companys unless you enjoy wrong numbers. I can tell you the name and location of every business that's simular to mine and some are far away. Such as if you call yourself Bob Jones Electric and there is a Bob Jones Painting I can tell you people will call 411 and ask for a biz in your state called Bob Jones. Both Bobs will get wrong numbers and may loose customers looking to find the right Bob.

Around here a biz could be listed only at the county leval as DBA (doing business as). I would check at the county leval to see if the name is available.

Before you go too far checking a name just go online and type in your wanted name & state in some of those online yellow page searches. I bet a lot of your first choices are used. If it starts with a popular city, or an "A" that's a positive verb you may be too late.

Having your own name for the business would depend on how much "separation" you want from the business. I chose a business name different from my own only because I didn't want customers calling my personal phone number after hours, although it still occaisionally happens.

Consider recent successful well-branded names like "Geek Squad". You see them on the road, and you remember their name. McDonalds did it with the golden arches, which were originally very tall and could be seen for blocks.

If you want to be good at marketing, just watch what the successful companies are doing in marketing and branding. Everyone knows the name Coke, but they still have major advertising everywhere. You don't see Coke on a little magnetic sign on a white or red van, but you see a lot of contractors with little magnetic signs on a white or red van.

Dave

Active 1, that's a very well thought out answer, I'd like to add one thing to it:

When deciding on a business name, these days you must also see if the corresponding Internet Domain name is available. I consider this step as important as the others.


Edited for spelling.
[This message has been edited by 1000BaseT (edited 01-13-2007).]

[This message has been edited by 1000BaseT (edited 01-13-2007).]

(Family Name) Electric, has worked for 38 years now, and has had the added advantage of associating a person and his integrity with the work we do. I say we because it is a family business. I don’t even have a listing in the yellow pages, nor do I want one. 100% of our business is referral and repeat business.

If you do good work, for the right price you will have all the business you can stand no matter what you call yourself, but personalizing it with your name does say something.

On a side note, there is a guy here in town with a really bad reputation among the local GCs and interestingly enough he does not use his name for his business and even restructures his business with a new name ever couple of years or so.

If you ever plan on selling your business, I wouldn't recommend naming it after yourself. It all depends on your goals.

The new guy may run down the reputation (and your name). Every time you see a truck go buy with your name on it you'll feel sick.

I knew of a case where this happened. The original owner's son who lived in the same town had to continually tell everybody that he has nothing to do with the business. Not much of a legacy to leave.

Thank you all for your responses and input. I have read each reply and have even taken notes. I am in the middle of reading 'Markup & Profit' by Michael Stone and I feel like my head is about to explode with all of the information provided both here and in the book. Going into business for myself sure isn't what I thought it was going to be but I feel at this point I have no other choice. Well, I know I have a choice, but this is definitely something I want to try and be successful at.

Thanks!

--Ron

A small story to show the import of a name...

A real estate speculator bought a property, right off a freeway ramp, that had storage units for rent. There was a very visible sign saying "Private Storage."

The units had little business. One day, a customer stopped in, and asked "Would you consider renting to the public?"

Aha! Name changed to "Public Storage" ... and a chain was born.

The moral of the story is: what counts is the meaning the name has to the customer.

Thanks Reno. I'm still learning the importance of a name. I hope the advice from professional business owners such as yourself will go a long way.