What Is A DBA & How Do You Register For One?

A DBA may be exactly what you need if you’re beginning your journey into starting a small business. But you might be asking yourself: What does a DBA, trade name, or fictitious name mean? And what are the requirements for a DBA?

Let’s go over everything you need to know.

What Does DBA Mean?

DBA is an abbreviation of “doing business as.” Once you’ve acquired a DBA, you can do business under a fictitious name or “trade name.” It is the name your customers will see and interact with, even if it might not be the name of the company.

Oftentimes a DBA is a crucial step toward establishing a unique business identity and brand.

How Does A DBA Work?

Suppose I was to register a DBA for a mobile bartending business as a sole proprietor. In that case, I could operate under the DBA “Drinks By Jesse” or “Jesse’s Mobile Bartending Services” in the cities and states where I decide to file a DBA.

Your creativity is your greatest asset here.

Choose a DBA that best represents your brand and will be easily remembered by customers and clients.

How To Register A DBA

The process to register for a DBA is going to vary depending on the city and state you reside or choose to do business in. (That’s right — you can register a DBA for your business in a locale you aren’t a resident in.)

A DBA can be filed for all types of business structures, too. LLCs, partnerships, and corporations can file for trade names distinct from their legal names, though the process may look slightly different.

In general, you can follow these steps to register a DBA:

1. Check Your City, County, And State Filing Requirements: Your local government will most likely require you to register your DBA with them if you’re doing business in their jurisdiction, so start there. Certain states (e.g., Nebraska) don’t require you to file a DBA registration, and some others (e.g., New Mexico) do not permit DBAs to be used. Let where you want to register your DBA be the starting point for your research, especially if you’re filing it for somewhere you don’t reside.
2. Ensure The Trade Name You Want Isn’t Already Taken: Resources exist online where you can view existing DBAs. Chances are your local government website has a registrar that you can use to look up currently registered trade names. As a rule of thumb, your DBA can’t be too similar to an already-registered DBA or trademark but also be aware that local and state governments have different criteria for establishing uniqueness.
3. Find And Fill Out The DBA Application: This is the easy part! You may have to go to a county clerk or secretary of state office in person, but check to see if you can file online to speed up the process. Find the forms, fill them out, turn them in, and sit back. If you’ve already set up an online account after registering a partnership, LLC, or corporation with the government agency you’re applying through, that might even make the process faster.

What Are The Requirements For A DBA?

There aren’t many requirements that would set you back from registering a DBA. Supposing you’re filing a DBA in your state and city of residence, the information you’ll need to have handy is your business’s legal structure, its legal name, what type of business you run, and of course, the DBA name you’ve chosen.

Suppose your business isn’t a sole proprietorship, and you’re registering an out-of-state DBA. In that case, you’ll likely have to fill out a foreign qualification form specific to your business entity to compliantly engage in business within that state. Sole proprietors — you do not have to do this, so don’t worry.

Advantages Of A DBA

Acquiring a DBA comes with some notable benefits! Here are a few to consider:

Disadvantages Of A DBA

Of course, there are a few important downsides to be aware of if you register for a DBA. Here are a few of the disadvantages:

Is A DBA A Legal Business Name?

A DBA is merely a trade name you decide to engage in business with; it’s not a shortcut to becoming an LLC or corporation. It provides no additional legal or financial protection and does not establish a new business entity.

Also, note that a DBA is recognized only where you’ve acquired valid registration.

Expect from the onset to file for a DBA in each city, county, and state you decide to do business.

Can You Get A Bank Account With A DBA?

A DBA is usually one of the documents you need to register a business bank account. Along with a DBA, you’re going to need your social security number or EIN, your DBA certificate, and some form of valid ID.

Bear in mind that if you don’t have different business bank accounts for each DBA you have, that could put you in serious financial trouble if you are audited or sued. Here’s our list of the best business bank accounts available for your small business.

When To Use A DBA

If you’re still on the fence, a DBA will be good for you if:

Is A DBA Right For Your Business?

A DBA sounds great, but what if you want to start an LLC or partnership and haven’t registered your business yet? Maybe you don’t know what legal structure your business needs. Check out this guide on how to register a business if you’re still unsure of the process and what options are available to you.

Congratulations on making it this far, and good luck on your journey!