Advantages of filing a DBA. The bottom line. Show More. What does DBA mean? Sole proprietorships and partnerships. Other legal entities. Apply Now. Regular APR Recommended Credit Score. Tips for filing. Makes business banking much easier. Keeps your business legally compliant. Your name defines your brand. Opens up expansion possibilities. You want to launch a website.
Easier to register a business name. Frequently asked questions Is a DBA a legal entity? How do I get a DBA for my business? How much does it cost to start a DBA? Does a DBA have to file taxes? On a similar note Dive even deeper in Small Business.
If you want to operate your business under a name other than your own for instance, Carol Axelrod doing business as "Darling Donut Shoppe" , you may be required by the county, city or state to register your fictitious name. Note: No fictitious business name may include the words "corporation," "Inc. Procedures for filing for a fictitious name vary among states.
In many states, all you have to do is go to the county offices and pay a registration fee to the county clerk. The U. In some states, sole proprietors and general partnerships file in one office while corporations, LLCs, and other statutory entities file in another. The DBA forms may differ as well. The time it takes to process a DBA also varies. You can request a Certificate of Good Standing from the secretary of state.
There are several businesses that will prepare and file the necessary forms for you. The same goes for an LLC. You may be asked by your state or county to announce your DBA by putting an ad in a local newspaper so the public can be made aware of your filing. Filing can be carried out online in some states while others want you to mail notarized documents to their offices.
To avoid using your social security number to identify your business, consider applying for an employer identification number. This helps keep your personal and business matters separate. In many states, a DBA registration must be renewed every five years or so.
Make a note to file for renewal before it expires so you can continue to legally operate your DBA. If the information in your DBA filing changes e. Some states require businesses to file an amendment. A corporation is a separate legal entity that can shield the owners from personal liability and company debt. As a separate entity, it can buy real estate, enter into contracts, sue and be sued completely separately from its owners. Also, money can be raised easier via the sale of stock; its ownership can be transferred via the transfer of stock; the duration of the corporation is perpetual the business can continue regardless of ownership ; and the tax advantages can be considerable i.
Income is reported completely separate via a tax return for the corporation. The rules for operating your corporation are set in what are called Corporate Bylaws. This document sets the rules for the company and can be modified as the business grows and changes. Our Incorporation Service includes a fully personalized set of Corporate Bylaws for your State as well as an editable copy in Microsoft Word format for you to modify as the company grows and changes.
Operating a corporation involves at the minimum holding a yearly Directors and Shareholders meeting the location is determined by you and the expenses are deductible , keeping written minutes of major company decisions and maintaining general corporate compliance as dictated by the Corporate Bylaws.
PROS: The oldest, most successful and most prestigious type of business entity; provides personal liability protection; conveys permanence, can reduce taxes lower tax rate on retained profits, items like healthcare, travel and entertainment are deductible. Click here for Frequently Asked Questions about Corporations. You can incorporate right now.
0コメント