Doing Business As (DBA)
A DBA (doing business as) is a name a business uses that’s different from its legal name.
This guide covers what they are, when you need one, and how to get one when you do.
A DBA is used in a number of situations:
- Companies that have a boring legal name but want to use a catchy phrase for their business name.
- Sole proprietor’s who want to protect their privacy.
- Existing companies that want to launch a new product line under a different name.
- Companies expanding into a new state who find their legal name already in use.
What is a DBA?
A DBA is like a nickname for your business, allowing you to operate under a name that isn’t your legal business name. For example, if we decided to go by “Sasquatch RA” instead of Northwest Registered Agent, LLC, “Sasquatch RA” would be our DBA.
Registering a DBA is not always required. In some states, the only thing you need to do to get a DBA is start using it. However, even in states where filing your DBA isn’t necessary, there can be advantages to registration. For example, you may need to provide a DBA certificate to open a business bank account, or you may want to inform other businesses in the state that you are using that name.
Is a DBA a type of business?
Nope! Contrary to popular belief, a DBA is not a type of business—it’s just a name. Using a DBA doesn’t change the legal status of your business, either. If you’re a sole proprietor and start using a DBA, you’re still a sole proprietor. The same goes for other business entities.
Because filing a DBA doesn’t create a separate legal business entity, activities like filing taxes and signing contracts must be done under your legal business name. If you sign a contract under your DBA alone, that contract might not hold up in court.
What’s my legal business name?
Sole proprietor: your legal business name is your full name.
General partnership: your legal business name must contain the surnames of all owners. Some states allow general partnerships to create a legal business name of their own choosing as long as that name is set forth in a written partnership agreement.
LLC, corporation, or other registered business entity: your business’s legal name is listed on the formation documents you filed with the state, usually including an entity identifier such as “LLC” or “Inc.”
Is a DBA the same as a fictitious name?
Not always. Some states use the terms “DBA” and “fictitious name” interchangeably, while some states only use the term “fictitious name” to refer to foreign (out-of-state) business entities whose legal names are not available for use in the state. Before you try to get a DBA name in your state, research the state’s terminology to make sure you locate and submit the correct state forms. You’ll find many of the relevant state terms in the extended table at the bottom of this page.
Discover how to register an out-of-state business at Northwest’s guide to Foreign Qualification.
Why Get A DBA Name?
There are numerous reasons to get a DBA. Here are some of the common ones:
You’re a sole proprietor
A sole proprietorship is a business owned by one person and not registered with the state (freelancers, side-hustlers, and independent contractors are commonly sole proprietors). In a sole proprietorship, there’s no legal distinction between you and your business. If your name is Kim Jenkins, you’ll be operating your business as Kim Jenkins—unless you get a DBA. Using a DBA instead of your own name can increase your credibility in the eyes of customers. For example, with a DBA, you can market your business as “To the Point Editing Services” instead of “Kim Jenkins, Editor.”
To establish and promote your brand
Names are essential tools for branding. Using a DBA gives you the flexibility to launch additional aspects of your business identity, target specific audiences, or rebrand entirely without starting a separate business. Marketing and banking under your DBA can help you maintain your business’s public image and make your brand more memorable in the eyes of customers. Depending on the state, you may also need to get DBA if you own a franchise and are operating under your parent company’s name.
Some common ways to use a DBA include:
- On websites and social media accounts
- On signs, business cards, and other marketing materials
- In commercials and advertisements
- On merchandise
- To open a business bank account
- To make and receive payments
Note: When banking or making purchases under your DBA, you may need to provide proof of DBA registration.
To notify other businesses of your DBA name
In some states, registering your DBA means that no other business in the state can use that name. And in states where multiple businesses can use the same DBA or where DBA registration isn’t required, registering your DBA makes it easier for other businesses to find out that you’re already using the name. This can deter other businesses from using the same name (after all, every business wants a unique name) or help prevent legal clashes over a name.
To do business under your domain name
Sometimes, a business isn’t able to purchase a domain name that matches its legal business name and buys a different domain instead. Then, over time, the business starts advertising under that domain name and treating it like a DBA. For example, let’s say we bought “SasquatchRA.com” because we couldn’t get NorthwestRegisteredAgent.com, and we started making ads for Sasquatch RA. In states where DBA registration is required, we’d need to register our domain name as a DBA in order to legally use it as such.
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How to File a DBA
DBA filing requirements vary by state, but the general process for registering a DBA follows the same basic steps:
- Verify that your desired DBA name is available. Depending on the requirements in your state, you’ll need to verify name availability at the state and possibly county level. Additionally, you may want to check for trademarked names at the federal level. You can begin checking name availability using our Free Business Name Search.
- Make sure your desired name meets state naming requirements. In most states, DBAs need to follow the same naming rules as registered businesses. For example, many states forbid businesses from using words or phrases that falsely identify them as financial or governmental agencies. You’ll need to review the laws in your state to ensure that your name complies with these rules.
- File registration paperwork with the appropriate government agency and pay the filing fee. Depending on the state, you may file at the state, county, or city level. The information required and filing fee will vary based on where you file.
Some states have additional requirements, such as establishing use of the name prior to registration or publishing a notice in a local newspaper announcing that your business has adopted a DBA.
Hire Northwest! All of our registered agent or business formation customers get free use of our address, mail scanning, annual renewal reminders, a phone number, domain name, email, and website hosting. Just one more way Northwest helps business owners build their business from the ground up.
DBA Registration Requirements by State
The specific requirements for each state are outlined in the chart below. Note that the following chart focuses on state-level requirements. Your business may be subject to additional requirements at the city or county levels.
- Where do I register? Alabama Secretary of State, Trademarks Division
- State form: Application to Register/Renew Trademark, Service Mark or Trade Name in Alabama
- Is renewal required? Every 5 years
- Is publishing in a local paper required? No
- Do I have to register a DBA if operating under another name? No, it’s optional
- Other notes: Name must be in use in Alabama prior to registration; must include 3 examples of name in use. Must be notarized.
DBA Advantages
Getting a DBA is an easy, low-cost way to brand and market your business and includes these key advantages:
Minimal Paperwork and Maintenance
Getting a DBA is usually as simple as paying a low fee and filing a single form. While you may need to renew your DBA periodically, you won’t need to file annual reports like you would for an LLC or corporation. For these reasons, getting a DBA is usually a lot cheaper and easier than creating a formal business entity.
No Additional Taxes on DBAs
Sometimes people worry that having a DBA will mean filing another set of taxes. Nope—a DBA is just an alternate names for your business. Your tax filing won’t change just because you have a DBA. If you have a federal tax ID (also called an EIN or FEIN), the ID will be assigned to the legal name of your business entity. You don’t need a separate tax ID for a DBA.
No Limits on the Number of DBAs
There’s no general limit on how many DBAs you can have (although there may be state or local restrictions). However, practically speaking, it rarely makes sense to have a ton of DBAs. Registering multiple DBAs can complicate bookkeeping and rack up filing costs.
Are there Any Disadvantages to Getting a DBA?
Some people mistakenly think a DBA helps protect your assets, but since a DBA isn’t a separate legal entity, it does not. To get liability protection, you’ll need to form a business entity like an LLC.
Additionally, registering a DBA doesn’t prevent other businesses from using the same name. If you want exclusive rights to your business name nationwide, you’ll need to register your DBA as trademark.