Toyota Motor Corporation was founded in 1937 by a man called Kiichiro Toyoda, and it was named after him. The reason why it is called "Toyota" and not "Toyoda" is that people thought it sounded better and it also meant that the name could be written in Japanese with eight strokes of the pen. In Japan, since the olden days, people have thought that the number 8 was lucky and meant that things would go well in the future. So the name "Toyota" was chosen in the hope that not only the company but also Japan would prosper.
Kiichiro Toyoda was the eldest son of Sakichi Toyoda, a great inventor who built a machine called the Toyoda Automatic Loom which could weave cloth automatically.