04 August 2014

I am starting a new business, what do I need to do about my name?

There are three aspects to consider here – can I use the name, can I protect the name, and what do I have to do to trade under a name?

Picking a Name
There are a lot of good marketing consultants out there, and I do not want to tell you how to brand your products for the intended market and positioning.  However, there are some things to avoid if at all possible.

Do not pick a completely generic, descriptive name, like NORTH SYDNEY HAIRDRESSING  or EMERGENCY PLUMBING REPAIRS or SPEEDY TAKE AWAY.  You just can’t own these names, competitors can copy you, and your business will not build goodwill around the name.  You can use these terms as a descriptor with your brand, but not as the only way people identify you.

The most protectable names are those that mean nothing until you have built a reputation – invented words, or words that are meaningless in the context, e.g. CROCODILE  for accountants, EXXON, APPLE, and FACEBOOK.

Family names (surnames) can be OK if they are uncommon,  but if your name is Jones or Nguyen, this is going to be very difficult to protect.  Geographical names that refer to a specific place are difficult to protect, and you can’t stop another business located there from using the name – this often comes up for wine brands.  But a more general geographical name can be protected, e.g. EAST COAST FASHION.

There are also some words you either cannot use, or which you can’t own as trade marks – and sometimes these are unique to particular countries.  Examples in Australia are ANZAC and GALLIPOLI.  Some words have specific rules about their use, e.g. bank  in relation to financial services, but most of these are pretty self-evident.

I recommend that you come up with at least three or four names you would be prepared to consider, then move to the next step.

Can I use it?
The first question is whether anyone else is already using the name for similar goods or services.  The best first step, before you contact anyone, is to plug the name into a search engine, e.g. Google.  Put the name in alone, and then with a word or two to narrow the field, to (e.g.) architects, or drills, or whatever your business is about.  If this turns up any issues, particularly is there seems to be an active business in similar goods in a similar market, pick another name. You can also check if a website name (URL) is available.

There are two reasons for this. The obvious one is that you do not want to walk into a potentially expensive fight that you do not really need, at the point of launching a new business.  The second reason is that you want to build a business with a unique identity, so that when you are successful, customers come to you, not someone who sounds a bit similar.  If you park too close to another brand, you set yourself up for problems.

Next, check the ASIC online registry as both a company name and a business name.  If there is nothing close, then contact us to do a trade mark search.  We can do an initial near-exact search to narrow the options, leaving in most cases one or two to search properly.  We will advise whether you can use it, and whether it can be registered.

Can I protect it?
If the search is positive, and it is not too descriptive or a word you can’t protect, then we should file a trade mark application.  Once this proceeds to registration , this will provide protection against anyone using the name or something confusingly similar for the same or related goods or services.

You should also buy a URL that will work for your business.

Can I trade now under my new name?
To trade under anything other than your personal name, you need to do one of two things.  Register a company and change its name to the name you want and advertise under the full company name. Otherwise, you need to register the business name with ASIC.  This is now a national system, so you only need one registration. You can easily register the business name yourself, and obtain an ABN at the same time.

Key Points:
1. Do not get too attached to one name at the start.  Try a few options. Try and make it memorable.
2. Do some research yourself.
3. Ask us to do searches and advise.
4. Register the trade mark and  the business name and buy a URL.


Peter Franke


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