DBA stands for “Doing Business As,” which translates to “haciendo negocios como” in Spanish.
To understand DBA more easily, it can be thought of as a fictitious name.
This allows companies or businesses to operate under a name different from the original one.
There are many reasons why people apply for a DBA, and these reasons vary depending on the type of business.
I will show you the most common reasons.
When Can You Apply for a Doing Business As (DBA)?
Among the many reasons to apply for a DBA, here are the most common ones:
1. When you don’t want to use your own name in a business: when you have a sole proprietorship, both your name and your business name are legally the same. Applying for a DBA can allow you to conduct business under a name different from your personal name.
2. If your company is entering new areas of business that are not included in the current name. For example, when you have an LLC or corporation and want to operate a new line of business, you could do so under a name more related to that line of work.
3. Often, banks require applying for a Doing Business As to open both accounts.
4. If you have a client who requires applying for a DBA to enter into a business arrangement.
How to Apply for a DBA “Doing Business As”?
Step 1: Determine which government office you need to visit, such as the Secretary of State, County Clerk’s Office, or State Department.
Step 2: Check if the name you have in mind is not already in use.
Step 3: Complete the required documentation (the process varies by state, so research your state’s specific requirements).
Step 4: Make the required payment (if applicable).
Step 5: In some states, you may be required to make a public notice or advertisement in a local newspaper.
How Much Does Applying for a Doing Business As Cost?
The cost varies in each state and depends on several factors. It can range from approximately $20 to $200.
I’ll list which common states require an additional publication cost and which do not.
- Delaware: No publication requirement.
- Florida: Mandatory publication cost.
- Wyoming: No publication requirement.
- Texas: No publication requirement.
- California: No publication requirement.
- Colorado: No publication requirement.
- New York: No publication requirement.
Need Help Creating Your Business in the United States?
At Rex Legal, we want to assist you every step of the way in the process of creating your business in the USA.
So if you need our help, simply contact us.