Advertisement should start immediately after the company is created and you have decided on a unique name. The more people see your company's advertising, the more they will recognize its name. You want people to remember your company in a positive way. It is similar to making a first impression when meeting a person. So the first thing you have to work on is your name and your face. In the business world your company's logo is the name and face of the company. Its effectiveness is based primarily on your logo design.
The first and the most inexpensive way of advertisement, is face to face advertising. You say your company name to people who you meet so they remember you. Now if you want them to remember you for a longer time, an effective way could be to hand them your business card with your name phone number and address. This is the most common way of advertisement.
You can customize anything; letterhead, envelopes, even on a pens and mouse pads with your logo design on it! Promotional materials are endless, from a t-shirt to custom pins. All this is done for only one purpose, so that as many people as possible can see your logo and remember your company. There are many different ways to advertise your business. The most important thing is to be consistent. When people start recognizing your logo and associating this image to what your company is all about, this is called brand recognition.
The idea is to create strong brand recognition. You want people to think of your service or product before they start opening the yellow pages and looking for someone else. If you walk by McDonalds you don't expect to find a hammer and nails. Even if your logo does not say "hamburger", people still know what the company sells. Advertising is meant to attract more customers, to win their trust and build stronger brand recognition.