According to data by the United States Bureau of Labor Statistics (BLS), around 20% of new businesses fail during the first two years and around 45 percent within the first five years. The data also reveal that only 65% of new businesses make it past the ten year mark.
There are various factors that contribute to businesses failing, including inflation, poor management and marketing errors. One factor that can be prevented by doing sufficient research, is to choose a business name that sets your company apart from others.
Why Is A Business Name Important?
Customers’ first impression of your business is largely based on its name. If the name stands out, it tends to be more memorable and in many cases your business name is what separates your business from others. Investors prefer to choose businesses based on their profitability, although some place greater emphasis on qualitative factors such as marketing and the correct brand name. A good business name might also help you stand out to potential investors.
Choosing a business name is something that can cause a lot of frustration. Therefore, many entrepreneurs tend to outsource this task to other companies, or they make use of an online Business Name Generator, as seen on The Really Useful Information Company (TRUiC) website. Business name generators are excellent tools that enable entrepreneurs to get a variety of name suggestions by simply indicating key words. Business name generators save companies time and money, but there are many more advantages to these business tools.
Below we will discuss why making use of these free online tools are advantageous:
Relatively Easy To Use
There are a wide variety of business name generators available online, and they seem to be rather simple to use.Simply go to their website, type whatever word you wish in the area or space supplied, depending on the site) ,then click “generate” to get a long list of name options that you can use for your business or use as inspiration to come up with a more personal name.
Not only are business name generator tools easy to use, they also offer entrepreneurs a wide variety of creative names. The tool gives you a lengthy list of name recommendations that you may use to come up with unique name ideas once you get the results. It is suggested that one take a few words from the list provided and combine it with words you have already written down. By combining the two, something creative and memorable is sure to be found.
It’s Less Expensive Than Hiring a Consultant
For most startups, hiring skilled copywriters may be prohibitively expensive. There may be delays in finding the right person in addition to the cost, due to the fact that copywriters are high in demand. Many entrepreneurs seek alternatives to business naming because it occurs at the startup period, when funds and time are limited. This process may now be made faster and more cost-effective by using business name generators.
One of the biggest advantages of a business name generator is that the website checks if the name you want to choose is available. In many cases the business name generators will check to see whether the corresponding domain name for your business is available along with the names for your business.
Due to the large amount of unusual naming purchases, the chances of your name being a copy of a small local business that has ceased operations are pretty high. It’s also possible that you’ll be sued for utilizing someone else’s name even if you’ve been in company for a year. This scenario could be harmful to your company. You have the additional task of rebranding in addition to the legal obligation. This is something that a business name generator may help you avoid. Any name that might be entering someone else’s territory can be flagged using these methods.
There are many advantages to using a business name generator. It is suggested to make use of any tools available when making such an important business decision. Your business name will appear on all your documents, emails and branding content, therefore resorting to expert opinions seems to be a good business decision.