@046 CHAP ZZ ÚÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄ¿ ³ SELECTING A TRADE NAME ³ ÀÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÄÙ Choosing the right name for your business can be a very important ingredient in the success of your operation, since it can affect the image you project, favorably or adversely. For the typical small business, it will usually be wise to pick a name that helps to describe the product or service to be provided. Otherwise, picking a "cute" or whimsical name may cost you many potential customers if they fail to realize what you do when they see your signs, advertising, etc. For example, if you call your restaurant "The Comestible Emporium," a lot of very hungry (and semi- literate) people will probably drive right by without real- izing that you serve food. On the other hand, it is advisable, from the standpoint of protecting your business's name as a "trademark" or "ser- vice mark" (such as Coca-Cola) under federal or state law, to adopt a name that is also partly arbitrary or nondes- criptive, in conjunction with a name that is descriptive of the services or goods provided. An example would be the "21 Club Restaurant." The reason for selecting a name that is partly whimsical or arbitrary is that trademarks or service marks that are merely descriptive of the goods or services cannot be legally protected from use by others unless you can prove that the name has taken on a secondary meaning, which is very difficult to establish for a new, small business. After you have tentatively decided upon a name for your business, you or your attorney should find out whether the same name, or a confusingly similar name, has already been pre-empted by someone else. This usually will involve starting with the state's secretary of state, to find out whether the name is already being used in the state by a local corporation or out-of-state corporation that has qual- ified to do business in the state. Next, you should in- quire with the county clerk of each county where you will do business, where state law requires filing or registra- tion of trade names (fictitious business names), to see if another business is already using the same or a confusingly similar name in the county and has filed a fictitious or assumed name statement. Or you may consult a firm that specializes in checking on use of trade names or marks, or, as a last resort, check the yellow pages (and white pages) of the appropriate phone directories. If someone has al- ready been using the name you want to use, you may have to choose a different name to do business under.