Your business name is going to be around for a long time, so you need to carefully consider your options. It should be straightforward enough to let prospective customers know what product or service you provide. Being clever can help customers remember your name, but it means little if they don't have a clue what you do. And, of course, you need to stay away from names that are already registered or trademarked: otherwise, you can be sued and forced to change the name or even pay damages.

Using the name of your town, street, or a feature of the surrounding landscape can be particularly advantageous if your location is key to what you're offering. It also works if you're in a small- to medium-sized community where you might be the only business of that type and the population is large enough to serve as your entire market. If the geography won't matter to your customers, however, or you need to cast a wider net for customers than the local area, it might be better to avoid that reference.

You could consider using a “power word” in your name, to suggest how well you do your job. Precision, momentum, and quality are all examples of power words. This is part of creating an image for the business: Consider how you want a potential customer to view you. Think, for example, of how you'd feel dropping your child off at a daycare named Merri-time Child Care or Country Sunshine Daycare. You'd feel reassured, and that's exactly the image they want to project.

Using your own name can also work, especially if your service is closely tied to your personal reputation for quality work (this is one reason why lawyers and accountants so often use their own names). First names create an image of a smaller business that's folksy and warm; last names give the impression that you're a larger firm with extensive resources and plenty of professionalism. If you plan on selling the business at some future date, however, think carefully before naming it after yourself: a less personal name could be more attractive for buyers — and do you really want your name associated with someone else's business?