Common Mistakes Startups Make in Choosing a Brand Name

Common trademark mistakes startups make in brand naming in India.

Why the “perfect” brand name can become a legal liability — and how to avoid it.

Introduction

In my trademark practice, I’ve seen promising startups lose months — even years — of branding effort because their chosen name couldn’t be registered, or worse, was legally infringing someone else’s mark. The problem rarely lies in creativity. It lies in ignorance of trademark law.

Startups often choose names based on marketing appeal or emotional connection, without considering registrability or long-term legal protection. This article explains the most common mistakes founders make while choosing a brand name in India, and how a bit of legal foresight — ideally guided by a Company Secretary — can save your brand from future disputes.


Why Does Choosing the Right Brand Name Matter?

Because your brand name is not just a creative decision — it’s a legal one. A name that can’t be registered or protected is like owning a shop without locking the door.

The name you choose today will appear on packaging, invoices, websites, and investor decks. Changing it later — due to a legal notice or rejection from the Trademark Registry — can be both expensive and reputation-damaging. That’s why brand name strategy should begin with trademark due diligence, not after the logo design.


Mistake 1: Choosing a Descriptive or Generic Name

Many founders pick names that describe their product or service directly — like Pure WaterTasty Foods, or Quick Delivery.

Under Section 9 of the Trade Marks Act, 1999, such names are considered descriptive and are usually refused registration because they lack distinctiveness.

Example:
A startup selling organic honey called “Natural Honey” will almost certainly face objection. The law prevents anyone from monopolizing common words that describe a product’s nature or quality.

Expert advice:
Instead of describing what you do, choose a name that represents who you are. Coined or suggestive names like ZomatoOla, or Mamaearth are distinctive, memorable, and easily registrable.


Mistake 2: Ignoring Trademark Availability

The biggest mistake I see is startups finalizing names without a trademark search. They assume that if a domain name is available, the brand name must be too — which is completely wrong.

trademark search on the IP India database helps you check if similar marks already exist in your class. Without this, you may end up investing in a name that legally belongs to someone else.

Case in point:
A Bengaluru-based startup once launched with the name “FinMate,” only to receive a legal notice from an existing financial services company using a similar mark. Rebranding cost them over ₹8 lakhs.

Professional insight:
A Company Secretary can conduct a comprehensive clearance search, not just a keyword search — covering phonetic similarities, visual resemblance, and class overlaps.


Mistake 3: Using Another Company’s Name With Modifications

Startups often modify a known brand name slightly — thinking it’s “different enough.” For example:

  • PaytmzAmazinCart, or Oyoz

This may look smart but is a classic case of trademark infringement and will be rejected under Section 11 of the Act for being deceptively similar.

Legal reality:
Even minor spelling or stylistic changes don’t make a mark distinctive if the pronunciation, impression, or meaning is confusingly close to an existing one.

Expert tip:
The safest names are either invented or conceptual. A professional can help test similarity across trademark databases before you commit to branding.


Mistake 4: Ignoring Future Expansion and Class Coverage

Most startups file trademarks only in their immediate product or service category.
For instance, a company selling herbal shampoo might file under Class 3 (cosmetics) but later expand into supplements (Class 5) — and lose the chance to register that later because another company grabbed it.

Professional insight:
When I file for clients, I map their business roadmap for the next 3–5 years to decide which classes to include. Filing strategically at the start ensures consistent protection as the brand grows.


Mistake 5: Believing a Company or Domain Name Equals a Trademark

Just because you’ve registered your company name with the Ministry of Corporate Affairs (MCA) or bought a matching domain doesn’t mean you own the trademark rights.

These are different registrations under different laws:

  • Company name approval (MCA): Prevents duplicate company names.
  • Domain name: Internet identity, not legal ownership.
  • Trademark: Legal protection over commercial use.

I’ve seen multiple founders lose disputes even when they had the domain and company name — simply because another party owned the registered trademark.


Mistake 6: Filing the Trademark in the Wrong Entity Name

In haste, many founders file the trademark under their personal name instead of the company’s name — or vice versa. Later, when investors come in, this creates ownership confusion and transfer issues.

Example:
A Delhi-based founder filed “EcoTech” in his own name. Two years later, when his company raised funding, due diligence revealed the brand wasn’t owned by the company — delaying investment by weeks.

Advice:
Always ensure the trademark is filed under the same legal entity that owns or will commercially use the brand. A Company Secretary ensures such alignment during filings and corporate structuring.


Mistake 7: DIY Trademark Filing

Many entrepreneurs use the IP India portal to file trademarks on their own, thinking it’s cost-saving. The process looks simple — but the real challenge lies in what happens after filing.

Common self-filing mistakes include:

  • Wrong class selection
  • Vague description of goods/services
  • Missing affidavit of use
  • Incomplete power of attorney
  • Missed deadlines for examination reply

When such applications face objections, most self-filers are unsure how to respond — resulting in abandonment or rejection.

Professional insight:
As a Company Secretary, I’ve handled thousands of objections and opposition proceedings that originated from DIY filings gone wrong. Filing through a qualified professional ensures your application is not just submitted, but also strategically defended and monitored until registration.


Why a Company Secretary Should Be Involved From Day One

A Company Secretary is trained to balance brand strategy, legal compliance, and intellectual property rights. When engaged early, a CS ensures:

  • The brand name is legally strong and distinct.
  • The correct classes are chosen for future business plans.
  • The ownership structure is compliant with corporate law.
  • The application, examination, and renewal are all handled timely.

The goal isn’t to “file fast” — it’s to file right.
Founders who treat trademark registration as a technicality often spend far more fixing errors later than they would have spent on doing it professionally at the start.


Related Articles from CSatWork

These articles complement this one and help you develop a well-rounded understanding of trademark law for startups.


FAQs

1. Should I choose a creative name or one that explains my product?
Always prefer distinctive or coined names. Descriptive names are usually rejected and cannot be legally protected.

2. How can I check if a name is available?
Use the public search tool on the IP India website — or ask a Company Secretary to conduct a professional trademark clearance search.

3. Can I use my company name as my brand name?
Yes, but ensure it’s distinctive and properly registered as a trademark. Company name approval under MCA does not provide trademark rights.

4. How early should I register my trademark?
Ideally before launching your brand publicly. The “first-to-file” principle applies in India.


Expert Takeaway

Choosing a brand name is both an art and a legal strategy.
A catchy name may win customers — but only a legally strong name can withstand competitors.
Before you invest in branding, marketing, or packaging, invest an hour with a professional who understands both law and business.

Having advised hundreds of startups and personally filed thousands of trademarks, my advice is simple:

“Don’t just love your brand name — legally own it.”


About the Author

Prashant Kumar is a Company Secretary, Published Author, and Partner at Pratham Legal, a full-service Indian law firm advising on corporate, regulatory, and intellectual property matters.

He has filed thousands of trademark applications, secured registrations, successfully replied to examination reports, and handled complex opposition proceedings before the Indian Trademark Registry.

For consultation or assistance with your trademark search, name strategy, or filing, contact:
📞 +91-9821008011
📧 prashant@prathamlegal.com

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