Trade Name vs. Trademark
A trade name is an official name under which an individual or company conducts business. A trademark offers companies legal protection for a particular brand, which may be associated with a trade name.
Basics of Trade Name and Trademark
The terms trade name and trademark sometimes confuse business owners and consumers because they sound similar, and a company may use its trade name in its trademark.
Registering a Trade Name vs. Trademark
While a trade name and trademark sound similar, legally they are not the same. Misunderstanding the difference could cause costly problems later. A trade name is the official business name chosen. A trademark legally protects a particular brand.
Key Differences
- A trade name is the official name under which a company does business.
- Trademarks legally protect and distinguish products and services from competitors.
Table: Trademark
The symbols TM (the trademark symbol) and ® (the registered trademark symbol) can be used to indicate trademarks; the latter is only for use by the owner of a trademark that has been registered.
Conclusion
A trademark identifies the brand owner of a particular product or service.
Trademarks can be used by others under licensing agreements.