What is a DBA?

I’m sure many of you have heard the acronym before but what does it stand for? “Doing Business As” (DBA) refers to a legal term used in the business world that allows a company or individual to operate under a different name from their legal entity’s registered name.

Why would someone choose to have a DBA? Let’s say Jane Smith wants to operate her housecleaning business as “Jane’s Cleaning” but she doesn’t want to use her personal name. She would create the DBA “Jane’s Cleaning” and this would enable her to conduct business, advertise, enter legal contracts, open bank accounts, etc…, all while the legal entity behind the business name remains Jane Smith.

Registering a DBA doesn’t create a separate legal entity. It allows the business to simply operate under a different name. It is often required for transparency, ensuring that consumers know the true identity of the business owner.

Requirements vary by jurisdiction so if you are unsure of how this process works or what the requirements are, please contact us at PFSS and we will be happy to answer any questions you may have.