5 Reasons Why Logo is So Important for Your Small Business — Learn the Key Benefits

Written by Syed Qassim
Syed Qassim is the founder and the Content Chief Editor of Acabo CC. He mastered the art of branding, copywriting, web development and digital marketing for more than eight years. Follow him as he shares his expertise in marketing, business and design.
Published on July 5, 2021
You are reading: 5 Reasons Why Logo is So Important for Your Small Business — Learn the Key Benefits

Small-time business owners often neglect the idea of having a logo for their startup business. This is because they do not understand how it impacts and what wonders can it do to their business. This is why it’s so important to know and learn what are the key benefits of having a professionally designed logo.

What makes professionally designed logo?

A professionally designed logo is a well-thought, thoroughly processed design. It’s not just a mere symbol or a character that has no underlying meaning. A professional logo is a product of a highly technical process and deep understanding. It brings out the real message and identity of the brand. It speaks volumes, even the colors, and the typography.

There are two types of logo designs: Descriptive and Non-descriptive. And you may ask, what’s good for my business? And how can I maximize it? Let’s discuss it further.

Below are the 5 reasons why the logo is so important for your small business.

5 reasons why logo is so important


1) Catches up great impressions

A well-thought-designed logo doesn’t just look good in everyone’s eye, it creates a strong impression. And in business, strong impressions lead to great deals. This is what all business owners aim for — to gain great deals. Why miss the opportunity?

Did you know that 86% of small business owners who started their own brand do not include logos in their business plan? And most of them fail.

2) Proof of legitimacy and professionalism

With a strong brand impression, people will not get hooked on eye-worthy colors and shapes. People do business with people who have a strong presence of professionalism, and a good logo can do this trick.

The logo is one of the most crucial elements in marketing and this people often forget and misunderstood it. In my previous post, I shared common business mishaps small-time business owners do.

Read: Small-time business owners think branding is expensive, 5 Reasons Why It’s Wrong

3) Adds authenticity

In an article published by Entrepreneurs magazine, businesses that lack authenticity will fail. This is because, with the advent of social media platforms, people are bombarded with a lot of shitty information that impacts their buying behavior.

With that, people want brands that are authentic where they can easily connect themselves with. This is why influencer marketing is such a trend in the digital marketing arena. Now, you would ask, “How does this connect with my logo?”

Let’s go back to #1, a professional logo ‘catches up great impression.’ By that, it means when you have a strong brand online people will follow you and because you have utilized your presence very well, very likely people will get engage with your brand.

4) Builds emotional attachments

A carefully crafted logo attached to all your branding builds a hefty of emotional attachments to your target audience. Think about Coca-Cola, McDonald’s, Jollibee. Can you feel that sense of emotion by just merely looking at their logo or by just reflecting on reading its names? Can you feel that happiness? Can you feel that love? Can you feel that childhood in you? Yes.

5) Makes your brand standout

First and foremost, your logo is the face of your business. No one wants an ugly face, so, is your business. If your logo is that bad, no one wants to deal business with you. That’s really harsh talk there.

In today’s modern marketing, design is a crucial part of all your marketing strategy and that includes a good logo taste. We are in an era where information and design are so easy that many people get it so irrelevant. And because every bit of information is everywhere and is basically free, business owners tend to get hooked on that snares of irrelevant design principles and myths.

Without carefully studying the in-depth process of logo design and how it impacts the core of every business, a logo can be a huge factor in putting your business into the dump.

So, what logo design should I choose? Descriptive or Non-Descriptive

A study of around 600 logos shows which kind is the most effective – descriptive or non-descriptive logo. This study will help us identify which type of design is suitable for the kind of business we’re into. Let’s take it a little deeper.

Read the full script of the study here.

What is a descriptive logo?

It’s a logo design that includes textual or visual design elements or a combination of two that clearly communicate the type of product or service a brand is marketing. In other words, it’s a type of logo design that says what it sells.

A great example is the logo of Burger King. The name “Burger King” is sandwiched with two burger buns. They sell burgers, so they are King on it. And their logo says it all.

What is a non-descriptive logo?

The non-descriptive logo is a type of logo design that doesn’t give any hint of what the company does. The elements on the design usually do not relate to what services it offers, sells, or buys. Some called it abstract logos.

Think about Coca-cola. If this brand isn’t famous, can you see any drinks there? Can you think anything that it’s a soft drink? No.

What’s should I choose

Since you are just starting your business, the most common and highly recommended for startup businesses is descriptive logos.

According to the study, descriptive logos are effective for startups as this type of logos needs no further explanation to the brand message your business wants to convey. Let’s go back to the Burger King logo. It’s obvious that they sell burgers and they want to be King for that. That’s pretty much it.

In my five years creating logos for brands, what I saw as effective for small businesses is descriptive.

While descriptive logos are really obvious, non-descriptive tends to be more abstract in nature and are more popular for famous, established brands. Why? Because this type of logos gives a more unique identity and that exactly relates to the type of business they are doing.


Still undecided and confused about what to take on upscaling your business logo?
Do you need help in deciding what proper design type? Or need someone to talk about your business upgrade? What are your plans? Let’s talk.


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