Look for a name that allows scalability
Let’s say you’re selling outfits and you name your business “XYZ clothing,” that’s going to limit your business’ scope to only clothing.
After a few years you’re now considering addition of other fashion-related products to your portfolio such as accessories, footwear, etc. Your name could limit your scalability in such cases.
An ideal business name in this example could be “XYZ fashion” or something else that you can think of that allows room for scalability in future.
Something that speaks to your target audience
Use a business name that means something to you and conveys meaning to your target audience. The name should be able to help people get an idea of what you’re selling or what you stand for. Either that or go for a name that’s super catchy. Meaningless names like Yahoo, Google have gained such popularity because of their catchiness. And most importantly, get feedback on the name. Ask your friends what they think and to be honest about it.
Differentiate yourself from competitors
Choose a name that sets you apart from the rest of the competition in the market. It will also help you create a strong business brand as your grow.
If your name very closely resembles a competitor’s name, you might lose out on repeat business from customers merely on account of similar names.
Keep it simple
Long and complex names are a big put-off. You need a name that helps your customers remember it quickly. It should be appealing and pleasant, and possibly something that kindles a positive emotion.
If you have ever had to ‘explain’ your business name, you know that you chose the wrong name. It’s fine if you’d like to be a little clever with the name, but overdoing it is a bad idea.
Keep expansion in mind
Avoid difficult and long names that are hard to remember, no matter how much you love it. Pick a name that leaves you with an opportunity to expand the business later. I mean, what if “Amazon” was named “OnlineBooks”, instead? Where would they be now! You don’t want to limit your business to a specific product or region. And before you decide on a name, run a thorough internet search to see if there’s any other business of the same name.
Something that looks good on a website
In moving with the modern world, most businesses run through their website now. My preference is to always look if the domain for the business name you’re considering is available. It’s best if you go for a “.com” extension instead of .biz, .org, or .net. Even if your preferred domain name is taken, don’t lose hope. Many owners are willing to sell their domain name for the right price.
