A deep dive into what a “Doing Business As” (DBA) is, who needs one, the advantages of having a DBA and how to file one.

As a freelancer or small business owner, you might operate your business under a different name than your personal name. 

For example, my name might be Jane Cruise but I might call my SEO business “Cruise Control”. After all, it’s clever and connotes the ease I deliver for my clients, taking care of all their SEO woes. Bonus: I managed to get the domain for it!

Seems legit, right? Well… not exactly. If I want to call my business Cruise Control, I need to look into a “Doing Business As” (DBA). 

In this article, we’ll take a deep dive into what a DBA is, who needs one, the advantages of having a DBA and how to file one.

What is a Doing Business As (DBA)?

In the U.S., a DBA informs the world at large who the real owner of a business is. This ensures that there’s always accountability for a business.

For example, if I operated under one business name and my reputation was tarnished, I couldn’t simply cut the cord with the name and start over with a new one… There would be a publicly accessible record showing who was behind the business.

In this way, a DBA really a form of consumer protection. The DBA is also called a Fictitious Business Name or Assumed Business Name.

What a DBA is Not

Securing a DBA name is not the same as forming an LLC or corporation.

If you file a DBA but don’t form an LLC or corporation, the state you’re doing business in will see you as a sole proprietorship.

It’s important to understand that as a sole proprietor with a DBA, you can legally conduct business in that state under your fictitious business name. But you won’t have the liability protection extended to LLCs. 

When Do You Need a Doing Business As (DBA)?

Here are the different business ownership scenarios and how a DBA might be required in each of them…

You Run a Sole Proprietorship Under a Different Name

If you run your own business (e.g. you’re a freelance photographer, writer or designer) but call your business something other than your legal name, you need a DBA.

So, if your name is John Stanley, but your landscaping service is called “Lawn & Order” you’ll need a DBA.

What if your name is included in your business name? Then you may not need a DBA. The key is it has to be your full legal name:

  • John Stanley Landscaping doesn’t need a DBA, but
  • Johnny’s Landscaping would

If you’re unclear, it’s easy to simply check with your local (town or county) clerk’s office and ask them  if you really need a DBA!

You Run a Corporation or LLC

When you incorporate your business you’re making it a legal entity separate from you. 

If you’ve filed the paperwork to incorporate your business, you’ve already registered your business name and do not need a DBA.

The only exception to this is if you plan on operating your business using a different name or different names than the name you incorporated with.

For example, if you incorporated a candle company as “Serenity by Jan” but also operated as “Jan’s Candles”, you’d need a DBA.

Advantages of Having a Doing Business As (DBA)

In order to keep your business compliant, you have to have a DBA if any of the scenarios we’ve explored apply to you.

While it might seem like another bureaucratic step in starting a business, there are other advantages for you!

1. DBAs Protect You

If you are operating a business under a different name and do not have a DBA, any of the contracts or other legal documents you use may not be legal.

That means if a client disputes a contract or payment, your side may not hold up in court. Obviously this would be a disaster for you and your business.

2. It’s an Easy & Affordable Way to Operate Under the Name You Want

If you run a sole proprietorship but want to operate your business under a different name than your legal name, a DBA is an easy and affordable way of doing that.

It saves you the hassle of incorporating or forming an LLC, if that’s something you want to avoid.

3. You Can Launch Multiple Businesses Under Different Names

Many of the small business owners we talk to run multiple businesses. You might be:

  • A freelance writer, who
  • Doessome consulting work, and also 
  • Has an online store selling homemade candles.

Filing DBAs for each of these businesses allows you to run them under names that help you keep them differentiated and strongly branded. 

4. You Can Get Creative with Branding

Unless you have a truly epic name, odds are you want something with a little more flair and punch. I mean do you want John Stanley to cut your grass? Or do you want Lawn & Order to come do it? No brainer, right?!

Branding is an important tactic to help you stand out in crowded marketplaces and be memorable. If you saw a pickup truck that said “Lawn & Order” you’d be more likely to remember it, tell people about it and maybe even look up their website.

5. You Want to Launch Separate Brand int Different Segments or Markets

Imagine you make women’s pyjamas under the brand “Sleepy Jane”. Your brand takes off! And you decide to expand to making men’s, teen’s and kid’s pyjamas.

Now, you don’t think men will buy “Sleepy Jane” pyjamas. So you want to create a family of sub-brands “Sleepy John” and “SJ Teen” etc. 

You don’t want to lump everything together because these are different markets, products and (perhaps) price points. In this case, DBAs let you expand under names that will appeal to your new, distinct markets.

Filing a Doing Business As (DBA)

In each state of the U.S., there are different

  • Rules
  • Requirements
  • Fees
  • Processing times

…associated with filing a DBA.

The U.S. SBA has a lot more information broken down by state. It’s best to take the time to learn how your state or county operates.

Conclusion: Don’t Overlook a DBA

We get it: Starting a business is an overwhelming task. You really just want to get going doing the thing you love and now you’re wading through the world of DBAs, accounting software, invoice payment terms and more…

The worst thing you could do is ignore these things. Take a breath and make a list. These are important steps to work through. Good news is: There are systems set up to support you! Getting a DBA may not be something you’ve thought much about until now, but you’ll a few forms and you’ll be up and running!