Yes, your LLC can operate under a DBA (Doing Business As) name, which allows your business to use a different public-facing name than its legal registered name.
Many LLC owners choose to register a DBA-also known as a fictitious business name, assumed name, or trade name-when they want to brand their business differently from the official name listed in their Articles of Organization. For example, if your LLC is registered as “Smith Holdings LLC” but you want to operate a coffee shop called “Riverbend Coffee,” a DBA allows you to do just that without forming a new LLC.
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Why Use a DBA for Your LLC?
There are several strategic reasons to file for a DBA as an LLC owner:
- Branding Flexibility: A DBA gives your business a more marketable or recognizable name than your legal entity name.
- Multiple Business Ventures: If your LLC operates multiple services or product lines, DBAs allow you to use separate names under the same legal umbrella.
- Separation of Business Functions: You might want to distinguish between different branches of your business, like “GreenTech Consulting LLC” using “GreenTech Marketing” and “GreenTech Legal Support” as DBAs.
- Domain and Online Presence: Sometimes your LLC’s legal name is unavailable as a domain name. A DBA aligned with your chosen domain can streamline branding.
How to Register a DBA
Registering a DBA typically involves a state- or county-level filing, depending on your location. Most states require you to submit a DBA registration form, pay a filing fee, and in some cases, publish a notice in a local newspaper to alert the public of your new business name.
The basic steps are usually as follows:
- Check your state or county’s regulations regarding DBAs
- Ensure the name is not already in use by another business
- File the appropriate form with the relevant agency (often the Secretary of State or county clerk)
- Pay the required filing fee (usually between $10 and $100)
- Renew the registration periodically, as required
Each state has different rules, so it’s important to consult your state’s business filing agency. Some states require DBA renewals every few years, while others do not. Failing to renew can result in losing the rights to use the name.
DBA vs. Legal Business Name
Your LLC’s legal name is the name listed in your formation documents and used for contracts, bank accounts, and official filings. A DBA is essentially a nickname that your LLC can use for marketing, signage, or customer-facing materials.
It’s important to remember that a DBA is not a separate legal entity. It does not provide limited liability protection, nor does it change the tax status of your LLC. The LLC remains the responsible party behind the DBA.
Can an LLC Have More Than One DBA?
Yes, in most states an LLC can register multiple DBAs. This is particularly useful for LLCs that operate different business lines or serve multiple markets. For instance, a parent company called “Northside Enterprises LLC” could use “Northside Web Design,” “Northside App Development,” and “Northside Tech Support” as distinct DBAs.
Each DBA must be registered individually and must meet state naming rules-meaning no overlap with existing registered names or DBAs within your jurisdiction.
Banking and DBAs
If you plan to accept payments or open a bank account under your DBA, most financial institutions will require your DBA registration paperwork. You may need to provide this along with your LLC’s EIN, Articles of Organization, and operating agreement. Banks will issue checks and cards in your DBA name, allowing you to maintain consistency with customers and vendors.
Taxes and Compliance
Registering a DBA does not change how your LLC is taxed. All income and expenses associated with the DBA flow through to the LLC. You should continue filing taxes under the LLC’s legal name and EIN. However, it is wise to keep separate accounting records for each DBA to make financial tracking, reporting, and internal management easier.
Failure to register your DBA when legally required can lead to fines, denial of legal recourse in disputes, and difficulty enforcing contracts signed under the unregistered name.
A DBA can be a smart way for your LLC to operate under a more memorable or specialized name without forming a new legal entity. It allows you to build unique brands, test new markets, or separate different business activities-all while preserving the simplicity and protection of your existing LLC. Just make sure you follow your state’s registration process and understand that a DBA does not replace the legal or tax obligations tied to your LLC.
