What Is a DBA? A Guide for Business Owners
Starting a business? If your desired name isn’t your legal one, a DBA lets you use a different name for branding, privacy, and growth.
Starting a business can be exciting, but there are some important details to figure out first. One of those details is choosing your business name. Sometimes, the name you want to use isn’t the same as your legal business name. That’s where a DBA comes in.
DBA stands for "Doing Business As." It’s a way for a business to use a different name than the one it was legally registered with. For example, if your business is called "Taylor Smith Enterprises LLC," but you want to run a bakery called "Sweet Treats Bakery," you would file a DBA for the name "Sweet Treats Bakery."
Key Features of a DBA
- Not a separate business: A DBA doesn’t create a new company. It’s just another name.
- Public record: DBAs are filed with the state or county, so they become public information.
- Doesn’t provide protection: A DBA doesn’t protect your personal assets like an LLC (for example) would.
- May need renewing: Some places require you to renew your DBA every few years.
- Good for branding: Using a catchy business name makes it easier for customers to remember.
- Privacy: A DBA lets you keep your legal name separate from your business name.
- Expansion made simpler: You can use different DBAs for different products or services.
Some common uses for a DBA include:
- A sole proprietor who wants to run a business under a name other than their own.
- A company expanding into a new market and wanting to use a name that fits the new product.
- A business owner who wants to keep the legal business name private from customers.
Pros and Cons of a DBA
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ADVANTAGES OF A DBA |
DISADVANTAGES OF A DBA |
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Tips for Choosing a Good DBA Name
- Make it easy to remember.
- Keep it simple and clear.
- Avoid names that sound too much like other companies.
- Check if the name is available in your state.
- Make sure the website domain is available.
A DBA is a great tool for making your business name match your brand. It’s especially helpful for sole proprietors and businesses trying something new. Just remember that a DBA isn’t a business structure—it’s just a name. It won’t protect your personal assets or give you special tax benefits.
Filing for a DBA is a smart step if you want to make your business name more customer-friendly, open a bank account, or advertise in a new way. If you're unsure about how to start, it might help to talk to a legal expert to guide you through the process. Once you’ve got your DBA, you’ll be ready to do business with a name that really fits your vision!
Key takeaways
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