"DBA" means "Doing Business As...". In using a DBA a person or a company is operating their business using a business name other than their real, actual name. For example, John Jones starts a new business called "American Retail or Wholesale Jewelry". Needs a DBA. However , let's say that John Jones does business as "John Jones retail or wholesale Jewelry", then a DBA is not required. A DBA is a required filing to open a business checking bank account in the name of the business. Banks will generally not open an business account without your filed copy of your DBA registration certificate. Note that banks may ask for your business license.
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The decision to file a DBA or form a corporation or LLC depends on your particular business, situation and goals. Existing corporations and LLCs evaluating whether to file a DBA may need to consider:
* Does the new name project a business focus that is allowed under the business purpose (as outlined in your Articles of Incorporation or Organization)?
* Are there advantages to creating a subsidiary or an entirely new business to operate alongside your existing business?
A DBA filing (doing business as, also called an assumed or fictitious business name) allows a company to transact business using a different name. It generally takes place at the county level, but some states have state-level DBA filings. For sole proprietorships and general partnerships, unless a DBA is filed, the company name is the same as the owners or owners name(s). For example, John Smith is operating a landscaping business as a sole proprietorship. In order to transact business as Smiths Landscaping, he must file a DBA for that name.
Filing a DBA is one of the simpler tasks until you realize the requirements vary from state to state. Every state has their sticky set of rules and our network of professionals are well versed in these rules to get the filing done with minimal effort. Our charter is to provide the expertise through our services you may not have. Once you decide how to proceed, this task can be deligated to the right set of experts while you are off tackling business challenges.
There are no limits to the number of DBAs a business can register. Having multiple DBAs can allow your company to effectively run separate businesses under one legal entity, as long as you stay within any limits posed by your business purpose (if incorporated). For sole proprietorships and general partnerships, filing a DBA does not provide personal asset protection to the owner(s). Incorporating a company is necessary to protect personal assets from the debts and liabilities of a business.