Maryland DBAs cost $25 to register. You can register a trade name with the Maryland Department of Assessments and Taxation by filing a Trade Name Application. Your new DBA will be valid for five years. Renew it before it expires. The renewal fee costs $25.
Starting Your Business
First, name your Maryland business. Check state and local license needs based on your activity, location and industry. Acquire any licenses before operating. Consider zoning and land use regulations before establishing your business.
To legally operate in Maryland, most sole proprietorships need at least one business license, usually industry or profession-specific. Visit the Maryland Licensing Onestop Portal to determine which licenses and permits your sole proprietorship requires.
Key Points for Sole Proprietors and Foreign Corporations
Sole proprietors must file a DBA to do business under a name different than their own. Foreign corporations can file for an assumed name and must file a DBA to operate in Maryland under an unavailable name. First check name availability then register your unique DBA name by filing with the state.
Securing a DBA is easier than an LLC. A DBA affords flexibility and affordability for sole proprietors uninterested in an LLC. Some entities need a DBA to avoid using owners’ full names publicly. LLCs can obtain a DBA but do not require one. Limitations exist like lacking legal protections.
Renewing your Maryland DBA costs $25 every five years just like the initial registration fee. All payments are by check or money order since cash is not accepted. Expedited processing is available for an additional $50.
DBAs and Privacy
DBAs address privacy concerns. Unless registered, sole proprietors and partnerships must use own names publicly. A DBA separates personal and business assets. A DBA proves independence of assets, decreasing liability. A DBA simplifies business banking as institutions require a filed DBA to open an account.