Protect Your Business Name
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Protect Your Name
Also known as an “assumed business name.” A DBA gives you the legal right to operate in a name other than that in which you legally filed. It is also required by your bank to deposit money with your alternative name.
Why Use Assumed Business Name?
One of the best reasons to use an Assumed Business Name is if you already have set up a corporate structure for your business. Let’s say that you have a business that provides residential painting services and one day you decide to expand your services and start providing residential flooring services. Your original company name is “North Idaho Residential Painting,” but this name does not necessarily reflect the new services you are planning to offer.
What you can do is obtain an Assumed Business Name or DBA, which will allow you to operate under a name that is relevant to your new service offerings. In addition, you will still be able to use the same EIN and not need to file a separate tax return for the new business. The Assumed Business Name will essentially allow you to operate the new business as an extension of the existing one.
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