When the two names are confusingly similar, there is definitely an issue. Mere similarity is not necessarily enough to be concern if they are easily distinguishable. If you are in such a situation that your business name is confusingly similar, you should be concerned of possible trademark infringement and other legal issues. At this point, you'll need professional legal assistance, but it is valuable to know that there are a number of factors beyond just being confusingly similar that makes up a trademark infringement. This includes factors such as the strength of the mark, proximity of goods, evidence of actual confusion, similarity of marketing channels, types of goods sold, the intent of the maker of the mark, etc.
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