What is a DBA?
The proper way to write your Legal name for DBA is to write your “doing business as” name exactly the way you register it at the Secretary of State. For example, if John H. Doe is a sole proprietor and he wants to open a barber shop under the name “Precision Barber Shop”, he can register the name with his State.
The abbreviation "DBA" stands for "doing business as." When a business decides to run under a different name than its legal name, it’s called a DBA or assumed business name. You must adhere to state and local laws regarding the legal name for your business.
By registering a DBA name for your business, you could enjoy: the ability to transact business under a different name on the Internet. Furthermore, to do business under a name other than your own, a DBA is required. This name is distinct from your legal identity as the business owner and the official name under which the business is registered.
Multiple DBAs and Benefits
Multiple DBAs Are Allowed. Although there is technically no DBA name limit, each name generally needs to be filed separately. If you are considering multiple DBA names: Consider how your chosen name will influence your company’s success in the marketplace.
Benefits of a DBA include flexibility in branding, ease of identification by customers, ability to operate multiple businesses, and showing the public the business owner. Without a DBA, there could be legal and contractual consequences.
Filing and Use of DBA
A DBA allows a business to operate under a different name than its legal name. It provides flexibility in branding and marketing. The purpose of a DBA is consumer protection, so the public knows who is behind a business’s activities.
To file for a DBA, complete required paperwork and pay a filing fee. Then you will receive a DBA certificate. Requirements vary by location. You may file with a state agency, local clerk’s office, or both.
A business can opt to have their business name and trade name be the same. A company name is the actual name of the business, while a trade name or DBA is a way of doing business under a particular name filed in a state or county. A DBA is an alias and is not an actual business entity. It has to be associated with a legal entity.