Why do you need a business name registration? Without a trading name, your business is not a complete entity. The name of your business is the foundation - before the business activity itself, before you establish a reputation, you begin with a simple idea and a business name. Every potential business owner has aspirations of success and wealth through their company, and many achieve this goal and become some of the most recognisable franchises in the world. McDonald's is not just 'that burger shop' - it is a name that carries with it historical and cultural value. When we think of Apple, the fruit does not immediately spring to mind. Instead, we conjure up iPods and iPhones, and a host of technological developments.
A business establishes its reputation on the name alone. Whether you are planning to start up a standard limited company, a non-profit organisation, or to act as a sole-trader, the business name registration is the anchorage that pins down all the elements that encompass your business. For this reason, one needs to remember that anyone can have a business name, but choosing the right business name is something of a skill. A witty play of words can make your private company name stick out and set you apart from the competition.
A charming or comical title may attract people to your business as it shows that you have put in the extra effort to create something clever. For example, a cheeky name such as 'Big Baps' for a cafe sticks in the mind more than something simple such as 'Joe’s Cafe'. 'Abra Kebabra' seems far more beguiling than 'Kebab and Chip Stop'. It is often difficult to think of something imaginative, but if you can, a novel business name will ensure that your limited company and its business is different from the rest of the others.
In the same way that an inventive name can have a positive effect on your business, something offensive can ruin your business, despite how seemingly harmless it may seem. Your business name is the legacy you intend to create, and this is why it is detrimental to get it right.
In the same way that you can have legal action against you if you unknowingly trade under an existing company name, registering a business name protects it against any duplication. Registering a business name with Coddan, means that another company limited by shares cannot lawfully copy your name nor have any strong resemblance to it, thus eliminating the possibility of passing off. If this event should occur, you have the same legal right to take action against that company and force them to cease trading with the name.