When do I need a business name?
What is a business name?
A business name is a name that you use to identify your business (as opposed to your products or services).
When do I need a business name?
The legal entity that owns a business can identify the business under the legal entity's own name, without the need to have a registered business name.
But if the legal entity that owns a business wants to identify the business with a different name, that different name must be registered as a business name. For example:
| Owner of business | Example | You do not need a business name if the business is identified as | You do need a business name if the business is identified |
|---|---|---|---|
| Person (sole trader) | A White | A White | in any other way (e.g. A White Designs) |
| Partnership (2 or more people) | A White and B Brown | A White and B Brown | in any other way (e.g. Smith and Brown Designs) |
| Company | A White Pty Limited | A White Pty Limited | in any other way (e.g. Smith Designs) |
If I register a business name do I need to register a trademark?
Business names and trademarks serve quite different purposes:
- Registering a business name is a legal obligation, if you choose to identify your business with a name that is different to the name of the legal entity that owns the business.
- Registering a trademark is a choice you make as part of a branding strategy for your products and services.
Using your business name as an unregistered trademark would not give you the benefits of a registered trademark.
The differences between a business name and a trademark are described in the following table:
| Question | Registered business name | Registered trademark |
|---|---|---|
| Can I use it to identify my business? | Yes | No. You need a registered business name |
| Can I use it to identify products and services I sell? | As an unregistered trademark yes, but without the benefits of a registered trademark | Yes |
| Can I own it, so that it is my property? | No | Yes |
| Can I stop someone registering a similar name or mark? | No | Yes |
| I have a registered business name. Can I stop someone registering an identical trademark? | No | Not applicable |
| Do I have a legal obligation to register? | Yes, if you identify your business with a name other than the business's legal name | No. You may choose to register a trademark as part of a branding strategy |