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Lots of people will tell you that you either don't need a domain name or all
good ones are already taken. I don't agree, I find (and register) good domain names on your regular basis, and I think they're more than worth
money (you can register domains for less than $20 per year).
1. LONG URLs
If you don't have a domain name for your web site, you'll have a long URL, something like http://members.yourisp.com/~yourcompany or perhaps http://yourcompany.yourisp.com/
Now that doesn't look good on a business card! What's more, your customers and prospects probably won't be able to remember it.
On
other hand, if you get your own domain name, you'll have an easy to remember URL, that looks professional and is easy for folks to remember.
2. MOVING WEB HOST
When you have
type of long URLs I referred to in point 1, your URL is tied to your web host or ISP. What happens if you change hosting company? What happens if your hosting company goes out of business (it happens)? Answer: Your URL changes, which means you may have to reprint your stationary and any promotion efforts that you've already done and most likely wasted.
On
other hand, if you get your own domain name, you can take it with you (and make it point to your new web host), if you change hosting companies.