Choosing a business name should not be taken lightly. A business name is one of the most important aspects of stating in a business. The name represents the image and label of the company and this image must be projected clearly to your target market. The fact is, a name is more than just representing your company. An excellent business name can provide more sales and overall success. On the other hand, a poorly chosen name could cause constant struggle due to profit loss. There are ways to come up with the best business names. You can use Company name search services or create one on your own.
If you are starting your own business for the first time and are on the lookout for the right business name, consider the following tips:
Create easy to remember and easy to spell business names
You want your target market to remember your name and make it easy for them to search for your company information. Using a complicated, hard to spell business name is easily one way of turning off potential clients. Your name should be easily looked up online and in a phone book or directory. While it is essential to create a unique name, business names that are hard to spell could result in decreased profits.
Create a business name that has visual element
Your name should not only represent your company, it should also have a visual element associated to it in order to become a powerful aid to a potential client’s memory. This is an excellent advertising tool.
Create a business name with a positive undertone
Most words have both denotation or literal meaning and connotation or emotional meaning. Depending on the emotional association that a person makes, a word can have a positive, neutral or negative connotation. Whether you are using a company name search service or creating your own name, it is important that what you eventually come up with have positive connotations and ensure that these connotations generate interest for your business. Your business name must clearly convey strength and reliability. They should have strong visual element in order to get great impact on your target audience.
An excellent business name must include information about what your business does
This is important especially for new businesses. A business name must provide customers an idea what services it provides. Including information about the services your business provides also makes it easy for potential to look it up in phone books and directories and online. This should be taken into consideration once you hire a company name search service.
Looking for an excellent business name? It is not complicated as long as you find the right company name search service to help you create the best name for your business.
Company Name Search
Many business owners are confused which business structure is best for them. In most cases, it is down to an LLC or a corporation. Both business structures come with numerous advantages and some drawbacks. Choosing the right business structure is probably the most important decision a business owner will have to make. In regards to an LLC vs. Corporation, which is the best business structure?
Eventually, when a company has grown, it is time to upgrade the legal structure of the business in order to protect the owner as well as his personal assets. Depending on the benefits you want, you can choose to turn your business into a Limited Liability Company (LLC) or a corporation.
Although corporation has been around much longer than an LLC, the principles of a Limited liability Company are very similar to corporation because the protection provisions of the LLC are based on the principles and language of corporation statutes. This means that the court will apply the same precedence by analogy to an LLC.
LLC vs. Corporation: Management Structure
Generally, a corporation has a central body of management structure and this is the Board of Directors. The Board of Directors are elected by the company’s shareholders. Usually, the Board will employ officers in order to execute everyday operations based on the overall decision agreed to by the board. Shareholders do not have this level of management authority.
An LLC offers more flexibility in terms of business management. There is no required structure or a central management body to oversee operations. An LLC can be member-managed or manager-managed. Essentially, an LLC can start with a blank slate when it comes to management structure. It can define how the company is managed based on specific circumstances.
LLC vs. Corporation: Ownership
Corporations have shares of stock as a unit of ownership to owners whole LLCs have membership units. For corporation, each share represents an identical unit of ownership. On the other hand, LLCs offer different rights and obligations to members separate from the membership unit. Corporate shares may be traded if it gets big enough to go public while there is no option for any public market.
LLC vs. Corporation: Taxation
LLC is a much better option when it comes to taxation. The reason for this is than an LLC is a pass through entity. On the other hand, a corporation is subject to double taxation wherein the profits are taxed twice. Corporations do not have automatic qualification of a single tax structure.
LLC vs. Corporation: Which is the Best?
Essentially, an LLC is the best business structure for small to medium business vehicles while corporations are best for larger business with a much bigger investor base.
We offer the quality information regarding various business structures. Find out which business structure is best for you.
LLC vs. Corporatoin
A corporation is an approved legal structure where a business is turned into a separate entity from its owners. Specific types of state laws govern a corporation’s organization and operation procedures. These laws may vary from state to state. That said, the corporate elements and procedures are generally the same for building for-profit corporate businesses. Unsure how to incorporate your business? If you want to learn how to incorporate, consider the following steps:
Step 1: Create a Corporate Name
All states restrict two or more corporations from registering under the same name including very similar corporate names. You can get in touch with a representative from the state office in order to check for potential conflict with your proposed name. If there is none, reserve your proposed name for a month or two to have enough time for filing formal incorporation documents.
Step 2: Choose Corporation Type
There are different types of corporations for for-profit businesses; each one comes with different benefits and tax advantages. They are:
- C Corporation for unlimited shareholders
- S Corporation for limited shareholders
- Professional Corporation for group of licenses professionals such as doctors, architects, lawyers, etc.
Step 3: Where To Incorporate
There are two options, you can either file for corporation in your home state or file for foreign qualifications to register to another state. Although some business owners choose to set up headquarters in states with liberal incorporation laws, they are required to meet the business residency requirements of that state before they can find out how to incorporate.
Step 4: Make A Pre-Incorporation Agreement
Although this is not a requirement, it still makes sense to create a pre-incorporation agreement for shareholders. The agreement must include the shareholders’ names, the corporate name and business purpose, the number o shares of corporate stocks issued, tax status and other essential information concerning the company.
Step 5: File Articles of Incorporation
To formalize your application for incorporation, start preparing the Articles of incorporation or Certificate of Incorporation and file it to the right registration office in your local area.
Step 6: Make Preparations For Corporate Bylaws
Corporate bylaws essentially recite all the rules of a corporate business structure under your local state laws. This allow business owners to fill certain rules left to their discretion including the rules for calling and conducting meetings, numbers of share people on the board of directors, etc.
Step 7: Record Minutes of The First Board Of Directors Organizational Meeting
The meeting minutes are notes that record the subjects and decisions discussed during a meeting. State law requires that notes be taken during the company’s first Directors Organizational Meeting and all succeeding meetings. The notes are kept on a file.
Step 8: File Notice of Stock Issuance
The final step on how to incorporate is to file a Notice of Stock Issuance with the Department of Corporations. Next, issue the stock certificate to shareholders and prepare the stock documentation.
Wondering how to incorporate? We can help you make an otherwise long and tedious process easy to complete.
How To Incorporate
A great business name makes a great company. Most businessmen will agree it takes a lot to create a business name. I t must have business name uniqueness and it must be able to project the image that a certain company wants to impart on prospective customers. Great brand names must leverage the emotions of its target market in order to become well-known. The fact is, most people buy emotionally and try to justify their purchases rationally. If a company has successfully created a name that conjures mental pictures, they equate to hundreds of descriptive words in the minds of its customers. These pictures will unfold into the mind of a buyer, makes that purchases and this eventually leads to increased sales.
Of course, creating such business names will require expertise, knowledge and a knack for combining excellent words. When you are creating a business name, you need to go for impact. Some of the best brand names are the shortest like “Nike”, or “Starbucks”,etc. Therefore, it is important that you create a short, succinct and easy to remember business name for your company. This way, people will readily remember the services you offer without having a hard time. They can go to your store, make a purchase and tell their friends about the excellent service he or she received after.
If they can remember the name of the company, words will spread like wildfire. Word of mouth is one of the basic and most effective types of advertising. You want people to rave about the products or services you offer. You can do this by considering elements like business name uniqueness, quality service and easy to remember business name.
Apart from business name uniqueness, you must also create one that reflects what prospective clients expect from your company. The name should attract the attention of prospective clients and associate them with what the business communicates.
It is never a good idea to select a name that is all too similar with that of a prominent company in the same industry. In most cases, prospective customers will mistake your business to the more established company. This will give the impression that your company is a mere copycat and this is not good for your business’ image. Business name uniqueness is important especially for new businesses. People love new things and as long as you give off the impression that your business can provide fresh take on certain products or services, your profits will increase.
Of course, a great business name will only work if your company can offer something to back up the name. When you choose a name that reflects what the customers should expect, offer them exactly that. If your business offers quality service at fair prices, your customers are likely to compare the price and quality of service to your competitors simply because you highlighted this. If you set their expectation, make sure you can meet it.
Business name uniqueness can increase profits like no other. Make sure you get the right business name for your company.
Business Name Uniqueness
Business owners have two options in terms of where to incorporate their business. They can opt to register in their home state or in a foreign state. Both options offer numerous benefits and drawbacks, which is why it is important to consider the pros and cons of registering in your home state or foreign state.
Small businesses will benefit the most from incorporating their company in the state where they operate. This is referred to as home state of the business. However, if a business owner decides to register his company in another state, he must prepare the necessary paperwork and pay additional fees to complete the task.
The additional charges for incorporation in a foreign state include:
- State fees for filing foreign qualification
- Registered agent service fees
- Annual fees and franchise taxes in both states, if required
Addition paperwork where to incorporate include:
- Foreign qualification filing with the chosen state
- File tax return in both states
- Annual reports in both states
Deciding where to incorporate is important because of the numerous and often costly filing fees associated with foreign qualification. For business owners who want to simply the process and avoid the added charges, choose to register in their local state rather than in a foreign state.
There are also factors to consider when deciding where to incorporate. Such factors include:
Tax Rates: Determine which is cheaper, the tax rate in your home state or the tax rate in foreign state you want to incorporate your business.
Fees: There are numerous fees associated with incorporation. Generally, incorporation in a foreign state is more expensive as compared with incorporation in home state. If you will operate business in more than one state, determine the overall cost for registering in multiple states.
Insolvency: If your corporation becomes insolvent, determine how creditors will be treated under the laws of your chosen state to incorporate.
Legalities: Conducting business in one state is cheaper than incorporation in a foreign state. In addition, business owners will not be subject to litigation in the courts of a state, which they do not operate business by virtue of having incorporated in that state.
States like Delaware and Nevada are known for their flexible corporation laws, which is why a significant number of business owners think it is the best place where to incorporate. Delaware is known to cater more to the needs and interest of corporations. Nevada has an imposed no state personal income tax, no state annual franchise tax, and no state corporate tax on profits. However, registering for any of these said states will require immense paperwork.
Can’t decide where to incorporate your business? We can help. Learn more about different business structures and in-depth information regarding business incorporation today.
Where to Incorporate