Glossary

Entities

DBA

Also known as Doing business as, Trade name, Fictitious business name

A DBA, or 'doing business as', is a registered trade name that lets a business operate under a name different from its legal name. A DBA creates no separate entity and provides no liability protection. It is registered with a state or county depending on the jurisdiction.

In plain terms: A nickname for your company. Useful for branding, useless for protection.

Why it matters

Worth registering when one entity runs several brands, or when a sole proprietor wants to trade under something other than their own name. Banks often require the DBA registration before they will accept payments made out to the trading name.

Common misunderstanding

Believing a DBA is a cheaper alternative to forming an LLC. It gives you a name, not a shield.

Read the full guideUS company formation

Related terms