Archive for February, 2016

What’s In A Personal Company Name? A Lot Of Goodwill, Value

February 13, 2016

Another American business name icon is going by the boards.

The venerable publishing company McGraw-Hill will cease to exist this spring.

After its next board meeting the company will be known as Standard & Poor’s.

For almost a century McGraw-Hill publishing was noted for providing information across a broad spectrum of industrial sectors.

Its name bespoke of integrity and honesty. Not the least for its rating services under the Standard & Poor’s name, known to most of us as S&P.

All of the publishing units, including Business Week and Aviation Week are gone.

S&P is under siege for its role in the financial meltdown.

McGraw-Hill is the latest of many companies in today’s world abandoning their founders’ name for different titles.

A recent analyst done by Information Strategies, Inc. (ISI) revealed this is a growing trend.

But there are lessons to be learned by small- and medium-size businesses from this trend. In a famous speech Harold McGraw Jr. once estimated his name on the door was worth ten dollars of the firm’s stock price.

So too is a person’s name on the company worth money. They include:

  1. It meant something to consumers that someone stood behind the company’s offerings.
  2. A personal name forged a bond between seller and buyer.
  3. In today’s world it is easier to get a unique internet domain name.
  4. Adding a son or daughter meant longevity.
  5. Going world-wide eliminated any offensive connotation in other languages.
  6. Your company appears affordable.
  7. Makes your company transparent and personal; available to respond to your client’s needs.
  8. Can be memorable: if people can remember your business name, they can remember you name and vice-versa.

Choosing a personal name can jump start a company in any sector.

Bear this in mind when choosing a name for your company.