How to choose a sole trader business name

A guide on picking the right sole trader business name, from sole trader examples to avoiding trademark issues, read this before choosing a name

If you choose to set up as a sole trader you can trade under your own name or your business partner’s name, should you have one. However, you also have the scope to get creative and give your fledgling company a new title if you wish to.

Choosing the right name for your business is paramount. After all, this will form the basis of prospective customers’ first impression of your offering.

Important considerations for choosing a sole trader business name

There are certain considerations to be aware of when naming your sole trader business. Firstly, sole traders are not allowed to use the terms limited (Ltd), limited liability partnership (LLP) or public limited company (plc) in their name (or their Welsh equivalents) as this incorrectly describes the status of their business.

As with any company name, your chosen moniker must not be offensive, nor can it contain prescribed “sensitive” words, including those that suggest your business is connected to the government or of national importance (such as British or international) unless you have obtained specific permission to use them.

See our summary of business name restrictions for more information.

Choose a sole trader business name that is memorable

You want a name that is catchy and original, sets you apart from the crowd, is memorable, available to use and encapsulates your brand identity or proposition.

Why should you choose a memorable business name? A study by Vistaprint in July 2017 of 2,000 Britons found that 60% of consumers prefer a creative business name over a more traditional one, while 40% are more likely make a purchase from a them as a result.

More than 60% of UK consumers also said they found quirky business names more appealing because they made them smile, while 50% said a creative business name made it easier for them to remember the business. Another 25% of consumers agreed that they typically get better service from a shop with a great business name.

5 examples of creative business names

To help get your creative juices flowing to name your sole trader business, here are some great examples of business names that are humorous, funny, and most definitely memorable:

Planet of the Grapes – A wine bar in West London

Planet of the Grapes

Frying Nemo – A fish and chip shop in Yorkshire

Frying Nemo

Jason Donervan – A street food business in Bristol

Jason Donervan

Deja Brew – A coffee shop in Denton

Deja Brew

Wright Hassall – A solicitor’s firm in Leamington Spa

Wright Hassall

Note that many of these names are a play on a popular film, trend or celebrity so you can take this into account when deciding on your business name – but, as we discuss below, check that your name doesn’t infringe on trademarks.

For more advice on choosing a creative business name, click here or watch this quick video on how two great start-ups came up with their business names.

If you’re a local business, consider incorporating the area into your business name

Given that many sole traders operate in the service sector, such as gardeners, plumbers, designers, hairdressers, B&Bs and builders, you may want to consider incorporating your local area and proposition into your name, for example, Queens Park Garden Services or South Coast Bikes.

While this approach does not always deliver the most creative of names, it can work to your advantage in the search engines when potential customers are seeking your offering within your locality.

Check that your sole trader business name is available and isn’t a registered trademark

However, before you begin trading or fork out for stationery, advertising or signage, you must check that your chosen name is not already being used by someone else, and does not infringe any registered trade marks.

The recent legal case against a local convenience store in North Tyneside offers a good example of why it’s so important to check that your business name does not infringe trademarks.

The store, named Singhsbury’s, was threatened with legal action in June 2017 by Sainsbury’s for trademark infringement. The business relented and changed its name – proving that while the shop owner may have intended his parody name to be tongue in cheek, there is no defence for trademark infringement in the eyes of the law.

Our guide on how to check if your company name is original can help you with this.

If a sole trader at the other end of the country is using your name, this may not be a problem. However, if another local or national company is using it you will have to go back to the drawing board.

For more information on your options if your chosen business name is already taken, click here, or for advice on what NOT to name your business, view this guide.

Next step: Register as a sole trader

Once you have determined that your name is available to use and complies with all the rules, the next step is to register as a sole trader. If you choose this route, you do not need to register your business with Companies House. Instead, you simply need to register as self-employed with HMRC.

However, you may also choose to register your company with the National Business Register (NBR). This affords you more protection against any legal challenges to your name, as the NBR will perform all necessary checks on your behalf and will inform you if there are any issues with your proposed title.

According to the NBR, registration also prevents others from copying your name in the future and protects your business against “passing off” – that is, others using your name to piggyback on your success, potentially taking customers away from you in your market or trading area. Full business name searches, protection and registration for one year costs around £100.

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