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The Importance of Picking A Business Name
When choosing a company name it is important because it is branding the company, the name could stop the company from being successful, it tells a story, it is a sense of pride, it sounds good, the spelling is easy, and the name is easy to remember. All these sounds good when picking a name for your business and yes they should be taking into consideration.
But, the most important thing that is forgotten when picking a business name is that the name that is picked for a business name can get you an approval for credit or a loan for the business but, it also can get you a denial for credit or loan for the business.
For example, your business name is “ABC Pawn Shop” that is an automatic denial when apply for credit/loan. Pawn shops are considered high risk according to NAICS codes. AS you can see just having the name pawn shop in your business name causes you to automatically be denied business credit or a loan. To read more about high-risk codes go to NAICS Codes.
Also, go to naics.com to look at what is high risk NAICS codes and what are considered low risk NAICS codes.
NAICS codes are used by lenders to assess your business risk level.
So, when picking your company name keep your options open and avoid getting automatically denied for credit/loans.
PS: You can also go to www.exclusiveprocessingandconsulting.com to grab your Free 4-Step Guide on Building Business Credit and receive Free business credit tips periodically.
About the Author
Kimberly Lewis is currently the CEO of EPC Solutions LLC. She specializes in helping business owners establish excellent business credit scores and then leveraging those scores to access credit and cash for their businesses. For more information on business credit scores, business credit and business loans visit https://epc-solutions.net.