Purpose of a DBA
A Doing Business As (DBA) lets the public know the true owner of a business. DBA laws exist so consumers have full transparency on companies they transact with. The use of a DBA is common for those who own multiple businesses.
Uses and Requirements for a DBA
- Sole proprietorships can operate under a personal name or a DBA.
- Partnerships, S corporations, corporations, or LLCs can have a DBA that operates under names different from their legal business name.
- When operating as a DBA, you must file fictitious name petitions and obtain fictitious name documents.
Differences Between Inc and DBA
A DBA allows the public to know the true owner of a business. A DBA is not a legal entity, while legal entities include sole proprietorships, partnerships, corporations, LLCs.
Differences Between a DBA and Corporation Name
A DBA allows the public to know the true owner of a business. A DBA is not a legal entity, and it is more associated with unincorporated operations. Legal entities include sole proprietorships, partnerships, corporations, LLCs.
Overview of a DBA
- A company name is the actual name of the business. A trade name or DBA is a way of doing business under a name filed in a state or county.
- A DBA is an alias and is not a legal entity; it has to be associated with a legal entity.
- Registering a DBA ensures transparency and public identification of the business owner.