Legal Definitions - DBA

DBA stands for Doing Business As.

A DBA, also known as a "fictitious business name" or "trade name," is a legal registration that allows a business to operate under a name different from its legal, registered name. It does not create a separate legal entity; instead, it simply links a specific business name to an existing legal entity, such as a sole proprietorship, partnership, or corporation. Registering a DBA informs the public and authorities about the true owner behind a particular business name, often for branding, marketing, or banking purposes.

Here are some examples to illustrate how a DBA works:

• Example 1: Sole Proprietor Branding

  Imagine a freelance photographer named Maria Sanchez. She operates her business as a sole proprietorship, meaning she is personally the legal entity. However, she wants to market her services under a more creative and memorable name, such as "Shutterbug Studios." To do this legally and open a bank account under that name, Maria would register "Shutterbug Studios" as a DBA.

  How it illustrates the term: Maria Sanchez is still the legal owner and personally responsible for the business, but the DBA allows her to "do business as" Shutterbug Studios, providing a distinct brand identity without forming a new corporation or LLC.

• Example 2: Corporation Operating Multiple Brands

  Consider a large corporation named "Global Innovations Inc." This corporation decides to launch a new line of organic skincare products under the brand name "Pure Bloom Organics." Instead of creating a completely new subsidiary corporation for Pure Bloom Organics, Global Innovations Inc. can register "Pure Bloom Organics" as a DBA.

  How it illustrates the term: "Pure Bloom Organics" is the public-facing name for the skincare line, but legally, all contracts, liabilities, and ownership ultimately belong to "Global Innovations Inc." The DBA simply clarifies that Global Innovations Inc. is "doing business as" Pure Bloom Organics.

• Example 3: Partnership Using a Descriptive Name

  Two friends, Liam O'Connell and Chloe Davis, form a legal partnership to offer IT consulting services. Their legal partnership name is "O'Connell & Davis IT Solutions." However, they want to specialize in cybersecurity and market their services under the more specific and appealing name "SecureNet Cyber Defense." They would register "SecureNet Cyber Defense" as a DBA.

  How it illustrates the term: The partnership "O'Connell & Davis IT Solutions" is the legal entity, but the DBA allows them to operate and market their specialized services under the distinct trade name "SecureNet Cyber Defense," making it clear to clients who they are "doing business as."