12 Startup Naming Mistakes That Kill Companies
Back to Blog
Naming TipsNovember 12, 20257 min read

12 Startup Naming Mistakes That Kill Companies

Learn from others' expensive mistakes. These naming errors have cost startups millions in rebrands, legal battles, and lost customers.

A bad name can seriously hinder a company before it gets momentum. We've compiled the most expensive naming mistakes founders make—with real examples—and how to avoid them.

12
Critical Mistakes
$200K+
Avg. Rebrand Cost
21%
Startups Rebrand Year 1
8-12hrs
Avg. Wasted on Bad Names

The 12 Mistakes

1. Falling in Love Before Checking Availability

Person holding head in frustration at computer
Don't let availability crush your naming dreams
The Most Common Mistake

You brainstorm for weeks, find "the perfect name," tell everyone, design the logo... then discover the domain is taken or trademarked.

Real example: A YC startup spent 3 months building around a name, only to receive a cease-and-desist letter. They had to rebrand post-launch, losing early brand equity.

The fix: Check availability FIRST. Domain, trademark, social handles—before emotional investment.

Pros

  • Check domain before anything else
  • Verify trademark in your industry class
  • Confirm social handles early

Cons

  • Falling in love with unavailable names
  • Designing logos before securing name
  • Announcing before legal clearance

2. Choosing a Name That's Hard to Spell

Real examples that worked despite this:

  • Lyft (is it Lift?)
  • Flickr (missing 'e')
  • Fiverr (two r's)

These companies succeeded DESPITE the spelling issues, not because of them. They spent heavily on marketing to overcome confusion.

The telephone test: If someone can't spell your name after hearing it once, reconsider.

NameCommon MisspellingImpact
LyftLiftLost SEO traffic, confusion
FiverrFiver, FiverrMultiple search variations
DribbbleDribbleThree b's is unusual

3. Using a Name With Negative Meanings

Real historical examples:

NameProblemMarket
Chevy Nova"No va" = "doesn't go"Spanish-speaking markets
Pee ColaUnfortunate English meaningGhana
Mazda LaputaMeans prostituteSpanish
Ford PintoSlang for male anatomyBrazilian Portuguese
Prevention

Google your name + major languages before committing. Test with native speakers in your target markets.


4. Making It Too Long

Pro Tip

The sweet spot is 5-8 characters, 2-3 syllables. Shorter is almost always better.

Too LongShortened To
International Business MachinesIBM
Federal ExpressFedEx
Minnesota Mining & Manufacturing3M
San Francisco Music Box CompanySFMBC → eventually simplified

Why it matters:

  • Harder to remember
  • Harder to type
  • Harder to fit in UI
  • Harder to own in conversation

5. Picking a Generic, Unprotectable Name

Names that are very hard to trademark:

  • Digital Solutions
  • Tech Innovations
  • Business Services
  • Cloud Systems

Pros

  • Unique, distinctive names
  • Names that can be trademarked
  • Names that stand out in search
  • Names customers remember

Cons

  • Generic industry + service names
  • Names that just describe what you do
  • Names that sound like everyone else
  • Names that can't be legally protected

The test: Could another company in your space use the same name? If yes, it's too generic.


Expensive Mistake

Trademark lawsuits can force a complete rebrand. Legal fees alone can exceed $100K, plus new materials and lost brand equity.

Real rebrand examples:

OriginalChanged ToReason
Xtreme LabsPivotal Labs (acquired)Trademark conflict
Scooter (Bird competitor)SpinBrand clarity
BackRubGoogleBetter branding
1

Search USPTO Database

Free search at tmsearch.uspto.gov

2

Check Your Industry Class

Same name can exist in different industries legally

3

Search State Databases

Federal doesn't cover all state trademarks

4

Consult a Lawyer for High-Risk Names

For names similar to established brands, get professional clearance


7. Choosing a Trendy Name That Will Date

Names that felt cutting-edge in 2010:

  • Anything with dropped vowels (Flickr style)
  • -ly for everything
  • .io domains for everything
  • "Uber for X" naming
Info

Ask yourself: Will this name feel outdated in 10 years? The best names are timeless. Apple, Amazon, Nike still work decades later.


8. Copying Competitors Too Closely

OriginalToo-Similar CopycatProblem
ZoomRooms, BroomConfusion
SlackStack, HackLost identity
StripeStripLegal risk + confusion

Why it fails:

  • You're permanently in their shadow
  • Customers confuse you
  • You can't build independent brand equity
  • Potential trademark issues

9. Using Personal Names Poorly

Pros

  • Personal names for personal brands
  • Founder names for luxury/prestige (Ralph Lauren)
  • Names with clear personal meaning

Cons

  • Random founder initials (JMK Technologies)
  • Hard to pronounce surnames
  • Personal names for scalable products
  • Names that don't transfer if acquired

When personal names work: McKinsey, Bloomberg, Dell (strong founder association)

When they don't: Generic initials with no meaning to customers


10. Overcomplicating the Spelling

Warning

Every unusual spelling = lost customers who can't find you.

ComplicatedProblem
KwalityIs it Quality? Kwality?
XceptionalX or Exc?
MyQquestionTwo Q's?
PhruitJust... why?

11. Not Considering Global Context

Questions to ask:

  • Does this word mean something bad in Spanish, Chinese, French, German?
  • Can it be pronounced in major languages?
  • Does the domain work internationally?

Real example: When Clairol launched "Mist Stick" curling iron in Germany, they didn't realize "mist" is German slang for manure.


12. Analysis Paralysis

The Opposite Mistake

Some founders spend months searching for the "perfect" name that doesn't exist. A good name launched beats a perfect name never found.

Signs of analysis paralysis:

  • Testing 100+ names with focus groups
  • Changing the name after soft launch
  • Letting the name decision block product development
  • Seeking unanimous approval from everyone

The fix: Set a deadline. Pick the best available option. Ship.


The Pre-Launch Checklist

CheckStatusTool
Domain availablenamemyapp, registrars
Trademark clearUSPTO TESS
Social handles freeNamechk.com
Easy to spellTelephone test
Easy to pronounceTest with strangers
No negative meaningsGoogle + native speakers
Works as logoQuick sketch
Fits brand personalityTeam gut check

Avoid the Mistakes from the Start

Generate names that are already vetted for availability:

Ready to Find Your Perfect Domain?

Generate AI-powered business names with guaranteed availability. No signup required.


What naming mistakes have you made or seen? Share on Twitter.

#naming#startup#mistakes#legal
Share this article

Enjoyed this article?

Get more naming tips and startup advice delivered to your inbox weekly.

Join 1,000+ founders. No spam, ever.