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What is DBA?

Have you ever wondered what a DBA is? If so, you should understand that a DBA is nothing more than just an abbreviation for the phrase, “doing business as.” It is a type of umbrella term in the world of business that describes how one business entity is practicing, regardless of if it is a single person or a corporation, doing business under some other name.

Why is a DBA Needed?

It is required for you to register your DBA if a business is operating under a name, any name, which is different from its legal name. On a state level, the DBA is often required as a minimum for a business to operate, because of the productions and the consumer benefits that are available to the ones who file one.DBA

You can think of a business or company “doing business as,” when the name that they are operating under is different, even from just one character, from its registered, legal name. What this means is that if Ben Williams owns a business that is called “Williams Hardware,” but wants to conduct a transaction under the name, “Williams Hardware Store,” then they would have to file and receive approval for the DBA.

A business owner who is beginning a partnership or a sole proprietorship in the business world has the option of selecting a business name or a DBA for the business. The DBA, which is sometimes a fictitious name, is needed for any scenario where a business is planning on operating under a name other than the one they registered. A business or entity that is engaging in this practice has to register with the proper state legislators, city or county.

To avoid any confusion or loopholes, no fictitious business names or DBAs can use the words, “Inc,” “incorporation,” or “corporation” in them. The only exception to this rule is a corporation that has been registered with the Secretary of State; however, these are rare.

How to File the DBA

The process to file a DBA or a fictitious name will vary from one state to another. In most cases, all a person has to do is visit your local, county office and pay a small fee. However, in some cases, the DBA name has to be put in an ad in several state or local newspapers for a certain amount of time. This means the cost can vary from just $10 to over $100 depending on where it is filed.

Reasons You May Want a DBA

There are several reasons that you may want to get a DBA, including liability protection and name recognition. However, this is something that you have to consider carefully to determine if it is right for you. In some cases, working with a business attorney will be the best way to figure out if this is something you should do for your business.

If you are considering a DBA, then you should contact the attorneys at Feaman Law by calling (561) 734-5552. When you are ready to make a change in your business, having legal help is the best way to ensure it is done properly. This will minimize mistakes and help make sure that you get the results you want and need.

Additional reading

Why Using Free Legal Documents Online May Cost You in the Long Run

What to Know About Starting a Business and a Partnership