Most people think that businesses have to register a business name. They are not correct. You can always trade using your own name or your company name and it is not necessary to separately register a business name.
Of course there are some rules that must be followed if you chose to do this.
Firstly you must trade using your full name. In the case of company this means using all of the name of the company and this includes the end part of that name. For example a company called The Groovy Herb Pty Ltd must in all documentation signage etc. include the whole of that name which means writing “Pty Ltd” on everything.
If you are using the name of individual then you must use the whole of your name. Usually this will be what is shown on your drivers licence and passport.
Let’s change the question a little. Should you trade using a registered business name? The answer is yes. The business community, financiers and government are accustomed to seeing a registered business name. In the business world it is a good thing to conform.
The cost of registering a business name is usually minor. If you intend one day to sell the business it would be better that the business has a name other than your name.
If you don’t register the name then someone else may register that name and then you will not have that option.
Why not start building up intellectual property in a name that reflects your business rather than being a reflection of yourself. If you sell the buisness to a third party, it is likely that they will not have the same name as you. How will they trade? This will destroy value in your business.
Don’t stop with the registration of a business name. A business name does not show ownership. If you are serious about your business and you believe that one day it may be an assets that you can sell then I strongly suggest that you register a trademark as well as a business name.
If you need help with any advice relating to business, trademarks or intellectual property please contact us. The registration of this intellectual property is very inexpensive.