{"id":1786,"date":"2021-02-17T17:34:53","date_gmt":"2021-02-17T22:34:53","guid":{"rendered":"https:\/\/bhmultisite.com\/resources\/?p=1786"},"modified":"2021-02-17T17:34:53","modified_gmt":"2021-02-17T22:34:53","slug":"why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth","status":"publish","type":"post","link":"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/","title":{"rendered":"Why \u201cDoing Business As,\u201d or a DBA, Might Be an Essential Tool for Your Small Business\u2019s Growth"},"content":{"rendered":"\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/lh3.googleusercontent.com\/LM8BGyHddjhjMe93lpL4Gfnq45MsSq8F4Hbsb29RH8zTROm_IkEcPC0o6BdpwiqYuJAIdU8PQjZ_f6bt1R_Q_r2xUlIxhoeDXTmKzPQ0QjmE-RE4sqXpCqveyGVbhRMKMytg0AHP\" alt=\"\" \/><\/figure>\n\n\n\n<p>It\u2019s easy to dream of the days when starting a business was as simple as selling lemonade in front of your house to thirsty neighbors.&nbsp;<\/p>\n\n\n\n<p>But when you grow up, a successful business is about more than just making sure your lemonade is the best on the block. You have to make sure you understand how to set up your company and what structure would work best for it.&nbsp;<\/p>\n\n\n\n<p>As a <a href=\"https:\/\/www.bluehost.com\/blog\/how-to-grow-your-business-with-the-shop-small-movement\/\">small business owner<\/a> or an entrepreneur, you might be looking for options outside of the typical sole proprietorship or limited liability company (LLC). That\u2019s where a DBA comes in.&nbsp;<\/p>\n\n\n\n<p>But what is a DBA?&nbsp;<\/p>\n\n\n\n<p>DBA stands for doing business as and is sometimes called a fictitious business name. It\u2019s another name that your company can use to do business under.&nbsp;<\/p>\n\n\n\n<p>A DBA can be a good option for those who would rather not open a separate LLC or who want to branch out within their current business structure. Entrepreneurs can also use it if they don\u2019t want to do business under their own name.&nbsp;<\/p>\n\n\n\n<p>A DBA is a suitable option for large, small, old, or <a href=\"https:\/\/www.bluehost.com\/blog\/how-to-start-a-business-from-scratch-during-covid\/\">new businesses<\/a>. Once you understand what a DBA is, you\u2019ll have more opportunities to operate and grow your company.&nbsp;<\/p>\n\n\n\n<p>Read on to learn:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>What is a DBA in business<\/li><li>What a DBA is used for<\/li><li>Advantages and disadvantages of using a DBA<\/li><li>Naming your DBA<\/li><li>How to set up a DBA&nbsp;<\/li><\/ul>\n\n\n\n<p><em>This article is for informational purposes only. Consult with a financial or legal advisor for more information.&nbsp;<\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What a DBA Is<\/h2>\n\n\n\n<p>DBA means \u201c<a href=\"https:\/\/www.entrepreneur.com\/encyclopedia\/doing-business-as-dba\">doing business as<\/a>,\u201d and it is the name your business can operate under. This name might be different from your company\u2019s legal name, another branch of your business, or the name you do business with that isn\u2019t your own name.&nbsp;<\/p>\n\n\n\n<p>A DBA is also called an assumed business name and a fictitious business name.&nbsp;<\/p>\n\n\n\n<p>That may sound confusing, but essentially a DBA is just another name your company uses for business.&nbsp;<\/p>\n\n\n\n<p>A DBA is not a legal entity or a business structure, like an LLC or corporation, so it doesn\u2019t provide liability or personal asset protection. But a DBA lets you open a business bank account and accept checks for that business name.&nbsp;<\/p>\n\n\n\n<p>A sole proprietor or general partnership might want a DBA so they can do business under another moniker. And an LLC might wish to use a DBA, so it doesn\u2019t have to create a separate entity if it wants to expand or use a different name.&nbsp;<\/p>\n\n\n<figure class=\"wp-block-embed aligncenter wp-embed-aspect-16-9 wp-has-aspect-ratio  is-type-video is-provider-youtube wp-block-embed-youtube\"><div class=\"wp-block-embed__wrapper video-seo-youtube-embed-wrapper\"><div class=\"video-seo-youtube-player\" data-id=\"XFWbYZ1Vvh4\"><\/div><\/div><\/figure>\n\n\n<p>A DBA name is mostly used for financial reasons, transparency, and consumer protection.&nbsp;<\/p>\n\n\n\n<p>You register your company with the government, and then your information is available and verified for customers. If a customer has a complaint against your company, they can report it to the state.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Examples of DBA Uses&nbsp;<\/h3>\n\n\n\n<p>Let\u2019s say your name is John Smith and you want to open a lemonade stand, but you don\u2019t want to operate it under your own name. You could file a DBA for Yummy Lemonade and then start doing business under that name.&nbsp;<\/p>\n\n\n\n<p>In another scenario, you decided to turn Yummy Lemonade into an LLC, and it\u2019s doing so well that you plan to expand into milkshakes. You want to stay under Yummy Lemonade LLC, but you wish to do business under Yummy Milkshakes, as well.&nbsp;<\/p>\n\n\n\n<p>In this situation, a DBA helps differentiate the businesses without creating various corporate structures.<\/p>\n\n\n\n<p>If something goes wrong with Yummy Milkshakes, then the lemonade company\u2019s assets are at risk because it is just another asset owned by the LLC. If you wanted to separate the liability, then you\u2019d have to open another LLC.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">DBA vs. LLC<\/h3>\n\n\n\n<p>An LLC is a formal business structure, while a DBA is another name your company can operate under. The difference is an LLC provides limited liability protection and certain other legal protections that a DBA does not.&nbsp;<\/p>\n\n\n\n<p>It\u2019s up to you to decide what is a DBA\u2019s advantage over forming an LLC. While an LLC is a legal structure for your company, DBAs can be used for alternative business structure decisions. An LLC can choose to use DBAs for <a href=\"https:\/\/www.bluehost.com\/blog\/how-to-prepare-your-business-for-growth\/\">business growth<\/a> without creating separate entities.&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" src=\"https:\/\/lh6.googleusercontent.com\/ONQoSlcHaDLkqB_4kaaxbKU6P1Rrg_qoMXy4nzgHjeBOqiJfUSAqeC6liXnWFWOJcR6z1iZ2KMAl6HQmAy15xYOhxZWkF1ak_KaAGkXyMkIBISu3Emn2CMaXgA8pP4rTEQYL2Hb5\" alt=\"\" \/><\/figure><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">What a DBA Is Used For&nbsp;<\/h2>\n\n\n\n<p>Setting up a DBA gives you certain privileges. Once you file for a DBA, you can start accepting checks under that name and open a business checking account and other bank accounts. A DBA also lets you apply for an employer identification number and <a href=\"https:\/\/www.sba.gov\/business-guide\/launch-your-business\/get-federal-state-tax-id-numbers\">federal tax ID number<\/a>.&nbsp;<\/p>\n\n\n\n<p>A sole proprietor might consider a DBA when they want to start a company without going through the hoops and spending the money associated with starting another entity type.&nbsp;<\/p>\n\n\n\n<p>A sole proprietor might also want to operate under a business name that isn\u2019t theirs. This path is beneficial for entrepreneurs who might open multiple businesses in their lifetime. Unless you file a DBA for each one, then each company will be linked to just your name.&nbsp;<\/p>\n\n\n\n<p>Plus, some companies require a DBA before doing business with an entrepreneur or freelancer. So a DBAs is an essential concept for lone business owners.&nbsp;<\/p>\n\n\n\n<p>An LLC or corporation might want to use a DBA to launch a different product line or business under its umbrella.&nbsp;<\/p>\n\n\n\n<p>Companies could also use it to <a href=\"https:\/\/www.bluehost.com\/blog\/5-branding-tips-for-small-businesses\/\">rebrand<\/a> or change its original name to a nickname (e.g., if Yummy Lemonade became better known as Yummy\u2019s). Or a DBA would be useful if expanding offices or operations into an area that doesn\u2019t reflect the original name.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Advantages and Disadvantages of a DBA<\/h2>\n\n\n\n<p>Learning what a DBA is can help you understand if it\u2019s a tool your company could use. But what are the advantages of a DBA?&nbsp;&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>A DBA is simpler and more affordable than creating a separate legal entity.<\/li><li>It offers privacy protection, so you don\u2019t have to use your personal name or information for your business.<\/li><li>A DBA adds more legitimacy and credibility to your business.<\/li><li>It can be useful for marketing and <a href=\"https:\/\/www.bluehost.com\/blog\/why-your-company-needs-a-defined-brand-and-website\/\">branding<\/a>.<\/li><\/ul>\n\n\n\n<p>A DBA\u2019s most significant disadvantage is the lack of certain benefits from having a different business structure, like limited or personal liability protection and tax breaks.&nbsp;<\/p>\n\n\n\n<p>The other downside is a DBA doesn\u2019t guarantee exclusive rights to that name. So take care when choosing your DBA and consider if more permanent solutions are necessary.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Naming Your DBA&nbsp;<\/h2>\n\n\n\n<p>If you decide to create a fictitious <a href=\"https:\/\/www.sba.gov\/business-guide\/launch-your-business\/choose-your-business-name\">business name<\/a>, keep in mind there are some guidelines. A DBA can\u2019t be your legal name, and it can\u2019t have the words like \u201cincorporated,\u201d \u201cLLC,\u201d or \u201cinc\u201d that would confuse it with other entities.<\/p>\n\n\n\n<p>Note that having a DBA doesn\u2019t mean you legally own the name. If you want to make sure your name belongs to your company, you\u2019ll need to <a href=\"https:\/\/smallbusiness.chron.com\/dba-vs-trademark-18411.html\">trademark it<\/a>.&nbsp;<\/p>\n\n\n\n<p>Sometimes, if your company name is combined with your service, you don\u2019t need to file for a DBA (e.g., John Smith\u2019s Lemonade Stand). But if you only use your first name, you\u2019d need a DBA. For more concrete guidelines, contact your county or town clerk\u2019s office.&nbsp;<\/p>\n\n\n\n<p>Also worth mentioning is that your <a href=\"https:\/\/www.bluehost.com\/domains\">domain<\/a> name doesn\u2019t <em>have <\/em>to be the same as your DBA when you set up your <a href=\"https:\/\/www.bluehost.com\/blog\/benefits-of-using-wordpress-for-business\/\">website<\/a>. But you should keep everything cohesive in terms of branding.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">How To Get a DBA&nbsp;<\/h2>\n\n\n\n<p>Filing for a fictitious name registration looks different in each <a href=\"https:\/\/www.sba.gov\/node\/2796\">U.S. state<\/a>, so you\u2019ll have to look up the specific requirements where you operate. But like most other business name filings, DBA registration will start at your state\u2019s official website for business registration.&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" src=\"https:\/\/lh4.googleusercontent.com\/XFzffqNHo7IoiyqrS4PAqGJP6X0b9Y0mrMeZR_dgU2UPlZ_2_fcCr5cPYYQoSobAnlPoP9qox9uZL6DBOGIjL2hoD1C9f2l__91wxW175BfxFdh12PcQbs-bDBBPWYuiMrIkWQAC\" alt=\"\" \/><\/figure><\/div>\n\n\n\n<p>You\u2019ll see if the name is available, submit the necessary paperwork, and pay the filing fee, which is anywhere between $10-$150.&nbsp;<\/p>\n\n\n\n<p>Some states require a public notice announcing your new name. This provision is usually an <a href=\"https:\/\/info.legalzoom.com\/article\/how-place-ad-paper-when-creating-new-dba\">ad in a local newspaper<\/a> and has certain stipulations, such as running the ad within a certain period and how long it needs to run. Check with your county clerk\u2019s office to know if this is necessary.<\/p>\n\n\n\n<p>There will also be an annual cost when you register your DBA, and your DBA is only valid for a certain number of years. Make sure you know when you\u2019ll need to renew it.&nbsp;<\/p>\n\n\n\n<p>Remember, if you expand your business into another state, you\u2019ll need to file again per that state\u2019s requirements.&nbsp;<\/p>\n\n\n\n<p>It\u2019s better to set up the paperwork before you start operating under your fictitious business name in case it\u2019s already taken or if there are any issues with the files. Be prepared and plan accordingly.<\/p>\n\n\n\n<p>As always, it\u2019s a good practice to hire legal counsel or use a DBA filing service that can help you through the legal document process.<\/p>\n\n\n\n<p>DBAs can be an excellent tool for both new and established businesses. A DBA gives you the flexibility to grow and adapt your business in an affordable and straightforward way that doesn\u2019t involve creating new legal entities.&nbsp;<\/p>\n\n\n\n<p>Now that you know what a DBA is, you can decide if a fictitious business name is the right choice for your company.&nbsp;<\/p>\n\n\n\n<p>Do you want to promote your small business with a high-quality website? Check out <a href=\"http:\/\/bluehost.com\/hosting\">Bluehost\u2019s hosting packages<\/a> or get expert assistance from our <a href=\"https:\/\/www.bluehost.com\/solutions\/full-service\">marketing services<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>It\u2019s easy to dream of the days when starting a business was as simple as selling lemonade in front of your house to thirsty neighbors.&nbsp; But when you grow up, a successful business is about more than just making sure your lemonade is the best on the block. You have to make sure you understand [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":240661,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_title":"What a DBA Is and Why Your Company Might Want One | Bluehost","_yoast_wpseo_metadesc":"It\u2019s hard to keep up with all the business lingo. But learning what a DBA is, otherwise known as a fictitious business name, can help your company grow.","inline_featured_image":false,"footnotes":""},"categories":[3],"tags":[3319,3330,3335,3340],"ppma_author":[589],"class_list":["post-1786","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-compliance","tag-how-to-guides","tag-small-business","tag-tips-tricks"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>What a DBA Is and Why Your Company Might Want One | Bluehost<\/title>\n<meta name=\"description\" content=\"It\u2019s hard to keep up with all the business lingo. But learning what a DBA is, otherwise known as a fictitious business name, can help your company grow.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.bluehost.com\/blog\/wp-json\/wp\/v2\/posts\/1786\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why \u201cDoing Business As,\u201d or a DBA, Might Be an Essential Tool for Your Small Business\u2019s Growth\" \/>\n<meta property=\"og:description\" content=\"It\u2019s hard to keep up with all the business lingo. But learning what a DBA is, otherwise known as a fictitious business name, can help your company grow.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/\" \/>\n<meta property=\"og:site_name\" content=\"Bluehost Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/bluehost\/\" \/>\n<meta property=\"article:published_time\" content=\"2021-02-17T22:34:53+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/lh3.googleusercontent.com\/LM8BGyHddjhjMe93lpL4Gfnq45MsSq8F4Hbsb29RH8zTROm_IkEcPC0o6BdpwiqYuJAIdU8PQjZ_f6bt1R_Q_r2xUlIxhoeDXTmKzPQ0QjmE-RE4sqXpCqveyGVbhRMKMytg0AHP\" \/>\n<meta name=\"author\" content=\"Desiree Johnson\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@bluehost\" \/>\n<meta name=\"twitter:site\" content=\"@bluehost\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Desiree Johnson\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"8 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/\"},\"author\":{\"name\":\"Desiree Johnson\",\"@id\":\"https:\/\/www.bluehost.com\/blog\/#\/schema\/person\/f23a5406599adbdc2cea5458f8a0faf5\"},\"headline\":\"Why \u201cDoing Business As,\u201d or a DBA, Might Be an Essential Tool for Your Small Business\u2019s Growth\",\"datePublished\":\"2021-02-17T22:34:53+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/\"},\"wordCount\":1635,\"commentCount\":3,\"publisher\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.bluehost.com\/blog\/wp-content\/uploads\/2025\/09\/default-bh.png\",\"keywords\":[\"Compliance\",\"How-To Guides\",\"Small Business\",\"Tips &amp; Tricks\"],\"articleSection\":[\"Business\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/\",\"url\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/\",\"name\":\"What a DBA Is and Why Your Company Might Want One | Bluehost\",\"isPartOf\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.bluehost.com\/blog\/why-doing-business-as-or-a-dba-might-be-an-essential-tool-for-your-small-businesss-growth\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.bluehost.com\/blog\/wp-content\/uploads\/2025\/09\/default-bh.png\",\"datePublished\":\"2021-02-17T22:34:53+00:00\",\"description\":\"It\u2019s hard to keep up with all the business lingo. 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