Frequently Asked Questions

What are the main benefits of a DBA for a sole proprietor or a corporation?

A Doing Business As (DBA) offers several benefits to both sole proprietors and corporations. For sole proprietors, a DBA allows them to use a different business name without creating another legal entity. This can be particularly beneficial if they do not want to transact business under their personal name. It also enables them to open business bank accounts, which is often a requirement for general partnerships and sole proprietors. Furthermore, a DBA can help differentiate between the personal name and the business name, which can be the same in the case of sole proprietors. For corporations, a DBA can be a cost-effective way to operate multiple businesses under different names without creating separate formal entities for each business. This can be particularly useful for corporations and LLCs with different products and services, as it allows them to operate under different names that accurately represent subsets of the business. Additionally, a DBA can enhance a corporation's credibility, improving its legitimacy to suppliers and customers, and providing a competitive edge over competitors.