Five Practical Business Tips for Entrepreneurs
At Santos Legal Group we help entrepreneurs legitimize their business. Some entrepreneurs are still in the idea phase when they come to us, while others, have been operating for a few years. This blog post will address five practical tips that any business owner, no matter the industry nor stage in business, should be mindful of.
1. Do research on your business name (ideally, before you file your LLC or Corporation documents with the state).
You want to make sure you are not using anyone else’s name before you spend the time and money investing in a brand that ultimately you don’t own.
Let’s say for example you are in business for three years operating as a sole proprietor before you finally decide to file your business with the state. You have built a great customer base and reputation. Now consider the possibility that you go to file your business name and you find out the business name is taken (the business name that you file with the state does not have to be the name you use in public so no worries if your name is taken. The greater concern is if your name is trademarked already. More on this later). You find out that not only is the business name taken, but the business with your name has a huge following that could potentially take your customers before they get a chance to even find you.
If your brand is similar to another, you may inadvertently be giving them more business when someone really meant to go looking for your business. Alternatively, you can be getting confused with a business that has a bad reputation and now the opposite is happening, your potential clients are staying far away from your business.
The goal is to start operating on a clean slate and build up a recognition that is true to your brand and your audience. One way to do this is to do a thorough search before you decide on a business name.
How exactly do you search for your name?
Go to Google.
Just because someone is using your business name does not mean they are in your industry and therefore an issue. However, either way it is good to know what else is out there. A google search can give you a good idea of how your potential name is being used.
Search social media (including hashtags).
Although social media handles and hashtags don’t mean much from a legitimization or protection standpoint, and often times people create accounts that they don’t end up using, you still want to make sure there aren’t a ton of accounts actively using your same business name and in your same industry.
2. Secure social media handles and domain name(s)
Naturally, after you search for your business name and find out it is available and you don’t find anything alarming, you want to then secure social media handles and domain name(s). A lot of companies will not only purchase the domain name with their actual business name, they will also purchase (and direct) other domain names that may be misspelled to go to the correct site. This is certainly not a requirement but can be something to consider. For example, if you type in targe.com, it automatically gets redirected to target.com.
3. Trademark Your Brand Name
We also file trademarks in our office so we understand the importance of brand protection. After legitimizing your business and filing the necessary paperwork with the state, you must then protect your brand and its intellectual property.
Why Trademark?
If your business sells goods or offers services across the country, you want to ensure that you protect your business name. For instance, if you are a service-based business in New York that offers online services, your customers can literally be anywhere. You want to make sure there isn’t another business using the same name and offering similar services in California. This is a simple illustration of how Trademarks can protect your brand.
4. Consult with an Accountant
Equally important to consulting with an attorney for your business, is consulting with an accountant. There are several factors and questions you should be asking a tax expert regarding your business. Legal and tax advice are completely separate and to truly protect your business and make the best decisions, you will want to speak to both professionals.
5. Consider Your Marketing Tactics
What is your differentiator?
Most markets are relatively saturated so how do you stand out from the competition? Keep this in mind with your marketing. Whether you market on billboards, social media, or at in person events, you want to budget and have a plan. You can have the best product and offer the best service but if no one knows about it, then no one knows about it. Decide what makes you different and unique so you can hone in and focus on those qualities.
Consider who your audience is.
Narrowing down your potential customers may seem like the opposite of what you are trying to do. However, it is important to target your message and reach the right people. The right people will not only appreciate what you have to offer, but they will also help create a better relationship where all parties are happy and satisfied with the end result.
Ultimately, you want to treat your venture like a real business and devote resources to legitimizing your brand and preparing for growth. Remember, every business you see today started off small at some point.
Is there one tip that you found most helpful in this list? Let us know in the comments!
Lastly, feel free to schedule a consultation call today to discuss your specific business legal needs.
