Transitioning from DBA to LLC in Texas
When making the transition from operating as a sole proprietorship under a DBA to a formally registered LLC in Texas, one of the most vital steps is filing the "Assumed Name Certificate."
Benefits of LLC over DBA
The primary benefit of changing from a DBA to an LLC is the liability protection LLCs offer. LLCs also provide more privacy and credibility compared to a DBA.
Steps to Changing Your DBA to an LLC:
- Determine If You Can Use Your DBA Name
- Choose a Registered Agent
- Register Your New LLC With the State
- Obtain an EIN
- Open a New Bank Account
Converting Sole Proprietorship to LLC in Texas
To change your sole proprietorship to an LLC in Texas, follow these steps:
- Confirm the Business Name
- File articles of organization
- Write an LLC operating agreement
- Announce your LLC
- Apply for a new bank account
- Get business licenses and permits
Additional information on changing from DBA to LLC
*Note that if you are transitioning from a DBA to an LLC, it’s still a good idea to check with your secretary of state’s office to make sure your desired business name is available to use. Should I keep my DBA name? Probably not. Since you’ll be operating your business as an LLC, there’s no reason to keep your DBA name.