When a Name is More Than a Name
When a Name is More Than a Name
Launching a new business is both an exciting and scary adventure for even a seasoned business veteran. But there is something about the spirit of the entrepreneur that drives us to strike out on our own and do something new, despite the risks.
You will have a lot to think about but if you get good help, you have a good shot at success. Of course you need financing, good accounting and legal help and a solid business plan. You need a product that serves a documented market need and a marketing plan that gets that product into the hands of that needy market efficiently and quickly so you can cash in on your business concept.
The legal side of things is probably the most intimidating aspect of a new business venture. Of the numerous issues that we need to be concerned out, one that often escapes notice is the simple act of choosing a business name.
This side of creating a new business is often the most exciting for the novice entrepreneur. By creating a name that is short but still does a good job of getting across the mission of the business is a challenge. But it is a labor of love for the owner or owners of the business to be. Often integrating the names of the owners or names of loved ones serves the business well. Certainly that can be said of McDonalds, Wendy’s and Denny’s.
But there are some legal issues to be considered when picking that name that is going to become your corporate identity to the world. That business name is going to show up on your business card, your web page, at your corporate headquarters, in your advertising if that is appropriate and many other places. It will be how the world references your business. You want to be proud of it for sure. But even more than that, it is important that name belongs to you.
The legal arena covering business names falls under the category of trademark law. The problem comes up if you happen to pick a business name that could possibly be the same name of a competitor in your field. This is not just a concern for your local community. If you are using the same name as someone on the other side of the country or even on the other side of the world, technically you can run into problems if that business decides to call you out about it.
Stories abound of how a big powerful company took issue with some small mom and pop business who happened to have the same name and used all of their mighty legal muscle to force someone to change their business name, maybe even abandoning their own family name because it was covered by the trademark claims of the larger firm. While these stories are sad to be sure, the fact remains, the law is the law. So it’s a good idea to make sure that this name you are about to create will be yours day one, in five years and even down the road when and if your business becomes a large international success.
So even though going through yet another legal process and employing yet another lawyer to run up yet another legal bill seems to be a burden, its necessary to make sure your business name belongs to you. The good thing is that trademark lawyers know their stuff and should be able to do a trademark search fairly easily to let you know if there is any reason for concern. Once you get that green light from your legal help, then you can proudly launch that name as your business knowing you covered your bases.
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