IBM and KFC work. BFG Solutions doesn't. Acronyms only succeed when you're already famous, or you follow these 3 rules that big brands used before they were big.
Rule 1: Three Letters Maximum
IBM, KFC, BBC. Human memory struggles past 3 characters.
Rule 2: Hard Consonants
BP, HP, AA. Plosive sounds (B, P, K, T) are memorable. Soft acronyms (SFF, LMN) disappear.
The Pronunciation Test
Does it sound like a word? NASA works. NHTSA doesn't.
Rule 3: Own the Search
Can you rank for "IBM" in Google? Yes, if you're huge. Can "JPS Consulting" rank for "JPS"? Never.
Warning: Starting as an acronym means you need 10x the marketing budget to build recognition. Most UK startups can't afford it.
When Acronyms Make Sense
Long technical names (British Broadcasting Corporation = BBC). Mergers (Burberry couldn't be "BBRY"). Rebranding away from bad associations.
Generic Names Can't Be Trademarked
If you want legal protection and a name competitors can't copy, make it distinctive from day one. Acronyms of generic words are still generic.