• About
  • Blog
  • Contact
Monday, January 30, 2023
No Result
View All Result
The Daily Buzz
  • Home
  • Alternatives
  • World
  • Politics
  • Business
  • Science
  • Tech
    • All
    • Activate
    The ACP Program: What You Need to Know About the Affordable Connectivity Program
    The ACP Program: What You Need to Know About the Affordable Connectivity Program
    What is Atomic Design? Principles & Methodology
    What is Atomic Design? Principles & Methodology
    What is Cross-browser Testing, and How to Perform It?
    What is Cross-browser Testing, and How to Perform It?
    How to Make a Perfect Mobile App in 6 Steps
    How to Make a Perfect Mobile App in 6 Steps
    How to Hire a Flutter Developer for Your App
    How to Hire a Flutter Developer for Your App
    How to Identify a Scammer: Red Flags to Watch Out for
    How to Identify a Scammer: Red Flags to Watch Out for

    Trending Tags

    • Sillicon Valley
    • Climate Change
    • Election Results
    • Flat Earth
    • Golden Globes
    • MotoGP 2017
    • Mr. Robot
    • Activate
  • Entertainment
    • All
    • Gaming
    • Movie
    • Music
    • Sports
    Market Size of Mobile Games: Gaming Market Trends and Growth Forecast
    Market Size of Mobile Games: Gaming Market Trends and Growth Forecast
    Introduction to Game Server Hosting
    Introduction to Game Server Hosting
    5 Reasons to Shop for Toys Online This Holiday Season
    5 Reasons to Shop for Toys Online This Holiday Season
    The Japanese Tanto: What You Need to Know
    The Japanese Tanto: What You Need to Know
    Can You Crossfade Apple Music?
    Can You Crossfade Apple Music?
    What do rips or rip mean? – Letterkenny fandom
    What do rips or rip mean? – Letterkenny fandom
    What Is Ffxiv Parsing?
    What Is Ffxiv Parsing?
    How Many Satchels for Sheet Metal Door Do I Need?
    How Many Satchels for Sheet Metal Door Do I Need?
    How to Get Verified on Spotify – a Guide for Musician
    How to Get Verified on Spotify – a Guide for Musician
  • Lifestyle
    • All
    • Fashion
    • Fitness
    • Food
    • Health
    • Health Care
    • Home
    • Travel
    Reasons to Choose the Right Health Insurance Plans for Your Family
    Reasons to Choose the Right Health Insurance Plans for Your Family
    Roof Repair or Roof Replacement? How to Choose the Right Option
    Roof Repair or Roof Replacement? How to Choose the Right Option
    The Top 5 Reasons to Buy a Climbing Frame for Your Kids
    The Top 5 Reasons to Buy a Climbing Frame for Your Kids
    How to Choose a Store for Promise Ring
    How to Choose a Store for Promise Ring
    If I Was Injured in a Mall, Who’s at Fault?
    If I Was Injured in a Mall, Who’s at Fault?
    5 Places to Find the Best Cremation Jewelry
    5 Places to Find the Best Cremation Jewelry
    Cool Hats for Men That Are Perfect for Any Winter Event
    Cool Hats for Men That Are Perfect for Any Winter Event
    How to Lace Oxfords: Guide for Men
    How to Lace Oxfords: Guide for Men
    How to Ship a Hat
    How to Ship a Hat
    4 Keys for Successful Clinical Trials
    4 Keys for Successful Clinical Trials

    Trending Tags

    • Golden Globes
    • Mr. Robot
    • MotoGP 2017
    • Climate Change
    • Flat Earth
  • Home
  • Alternatives
  • World
  • Politics
  • Business
  • Science
  • Tech
    • All
    • Activate
    The ACP Program: What You Need to Know About the Affordable Connectivity Program
    The ACP Program: What You Need to Know About the Affordable Connectivity Program
    What is Atomic Design? Principles & Methodology
    What is Atomic Design? Principles & Methodology
    What is Cross-browser Testing, and How to Perform It?
    What is Cross-browser Testing, and How to Perform It?
    How to Make a Perfect Mobile App in 6 Steps
    How to Make a Perfect Mobile App in 6 Steps
    How to Hire a Flutter Developer for Your App
    How to Hire a Flutter Developer for Your App
    How to Identify a Scammer: Red Flags to Watch Out for
    How to Identify a Scammer: Red Flags to Watch Out for

    Trending Tags

    • Sillicon Valley
    • Climate Change
    • Election Results
    • Flat Earth
    • Golden Globes
    • MotoGP 2017
    • Mr. Robot
    • Activate
  • Entertainment
    • All
    • Gaming
    • Movie
    • Music
    • Sports
    Market Size of Mobile Games: Gaming Market Trends and Growth Forecast
    Market Size of Mobile Games: Gaming Market Trends and Growth Forecast
    Introduction to Game Server Hosting
    Introduction to Game Server Hosting
    5 Reasons to Shop for Toys Online This Holiday Season
    5 Reasons to Shop for Toys Online This Holiday Season
    The Japanese Tanto: What You Need to Know
    The Japanese Tanto: What You Need to Know
    Can You Crossfade Apple Music?
    Can You Crossfade Apple Music?
    What do rips or rip mean? – Letterkenny fandom
    What do rips or rip mean? – Letterkenny fandom
    What Is Ffxiv Parsing?
    What Is Ffxiv Parsing?
    How Many Satchels for Sheet Metal Door Do I Need?
    How Many Satchels for Sheet Metal Door Do I Need?
    How to Get Verified on Spotify – a Guide for Musician
    How to Get Verified on Spotify – a Guide for Musician
  • Lifestyle
    • All
    • Fashion
    • Fitness
    • Food
    • Health
    • Health Care
    • Home
    • Travel
    Reasons to Choose the Right Health Insurance Plans for Your Family
    Reasons to Choose the Right Health Insurance Plans for Your Family
    Roof Repair or Roof Replacement? How to Choose the Right Option
    Roof Repair or Roof Replacement? How to Choose the Right Option
    The Top 5 Reasons to Buy a Climbing Frame for Your Kids
    The Top 5 Reasons to Buy a Climbing Frame for Your Kids
    How to Choose a Store for Promise Ring
    How to Choose a Store for Promise Ring
    If I Was Injured in a Mall, Who’s at Fault?
    If I Was Injured in a Mall, Who’s at Fault?
    5 Places to Find the Best Cremation Jewelry
    5 Places to Find the Best Cremation Jewelry
    Cool Hats for Men That Are Perfect for Any Winter Event
    Cool Hats for Men That Are Perfect for Any Winter Event
    How to Lace Oxfords: Guide for Men
    How to Lace Oxfords: Guide for Men
    How to Ship a Hat
    How to Ship a Hat
    4 Keys for Successful Clinical Trials
    4 Keys for Successful Clinical Trials

    Trending Tags

    • Golden Globes
    • Mr. Robot
    • MotoGP 2017
    • Climate Change
    • Flat Earth
No Result
View All Result
The Daily Buzz
No Result
View All Result
Home Business

Business Tips: What Does a DBA Do for You

by The Daily Buzz Team
in Business
5 min read
Business Tips: What Does a DBA Do for You

If you are a business person, you may be interested in doing business as either an LLC or a DBA.

 In order to decide between LLC or DBA, we’ll discuss what these business types are and when they may be more appropriate for your company in this article.

Contents

  • 1 What is a DBA?
  • 2 Can Be Used for Any Purpose
  • 3 What is an LLC?
  • 4 What Does a DBA Do?
    • 4.1 Helps with Marketing
  • 5 What Happens When a Company Creates a DBA?
  • 6 Benefits of Using a DBA
    • 6.1 Protecting Your Privacy
    • 6.2 It Offers Unique Branding Opportunities
  • 7 Disadvantages of DBA
    • 7.1 Taxes
    • 7.2 Lack of Naming Rights
  • 8 DBA Does Not Offer Personal Asset Protection
        • 8.0.0.1 The Daily Buzz Team

What is a DBA?

A DBA is a “Doing Business as” name, which is the name that the owner of a business uses when operating the business.

The DBA name does not constitute an actual legal entity, but rather gives individuals the ability to maintain their privacy while conducting business activities.

A DBA is created by filing a document with your state’s Secretary of State office or equivalent agency. If you already have an LLC, then there’s no reason to set up another entity.

You’ll just need to register your DBA. This will cost you around $30-$50 per state in filing fees, but it’s well worth it for the privacy that it provides.

Can Be Used for Any Purpose

A DBA can be used for any business product or service. For example, if you’re an artist who sells paintings through Etsy under your own name but also sells paintings through another site under another name (e.g., Sally Smith), then the second case is a DBA.

What is an LLC?

A limited liability company (LLC) is a legal entity that protects its owners from lawsuits or debts related to the business. An LLC is registered with the state where it operates and can sue or be sued under its own name.

The LLC structure has become popular for small businesses because it combines some of the tax benefits of sole proprietorships and partnerships without having to pay double taxes as corporations do.

What Does a DBA Do?

Helps with Marketing

The reason why you might want to use an assumed business name is for marketing purposes. For example, if your name is John Smith and you own a landscaping company, customers might not want to hire you because they don’t want their lawns to be mowed by someone named John Smith.

But if you run the business under an assumed name like Acme Lawn Care, then customers will be more willing to hire you because they will feel like they’re hiring someone that is right for the job.

What Happens When a Company Creates a DBA?

When you create a DBA and you have a separate company, you are essentially creating two separate entities under one roof: the parent company and its subsidiary.

In this case, the parent company is your original business and the subsidiary is your DBA

Benefits of Using a DBA

There are many benefits to using a DBA, including:

Protecting Your Privacy

 If you use “doing business as” name instead of your legal name, it makes it harder for someone else to find out who owns your business whether they’re competitors or criminals looking for information about owners with large bank accounts.

This means that if someone does want to locate you, they’ll have to do more legwork before they can find you.

It Offers Unique Branding Opportunities

A DBA can help you create a brand that’s more memorable and easy to understand than your legal name.

 For example, if you have an established business that’s been around for years but wants to start another business under a different name, registering a DBA can give you the freedom to create a new identity for this new venture.

 This can come in handy if your existing business has already saturated its market or if you want to create something new and fresh that reflects the image of your company.

Disadvantages of DBA

DBA business is a great way to start your own business. However, there are also some disadvantages that you should be aware of before deciding to open a DBA business.

Taxes

The IRS does not recognize “doing business as” (DBA) as a legal entity. Therefore, the IRS will treat your DBA as you personally do business so that all income flows through to your personal tax return.

 In contrast, an LLC is considered its own legal entity for tax purposes and pays its own taxes on any profits earned by the company.

Lack of Naming Rights

The biggest disadvantage of DBA is that it does not give you any ownership rights to the name. A business person can use your DBA name for any purpose and this is not good for your business.

You will have to constantly watch out for your registered name being used by other companies.

DBA Does Not Offer Personal Asset Protection

The main disadvantage of a DBA is that you don’t get asset protection. An LLC can protect your personal assets from creditors, but a DBA does not.

If you’re starting a business and have any assets to protect (like a house), then you should form an LLC.

The Daily Buzz Team

The Daily Buzz combines the pursuit of interesting and intriguing facts with the innate human desire to rank and list things. From stereotypical cat pictures to crazy facts about the universe, every thing is designed to help you kill time in the most efficient manner, all while giving you something to either laugh at or think about!

  • The Daily Buzz Team
    https://the-daily.buzz/author/admin/
    Spain Wants to Be the Best Country for Digital Nomads: What Benefits Do They Offer?
  • The Daily Buzz Team
    https://the-daily.buzz/author/admin/
    How to Deal With the Aftermath of Bicycle Injury Accident
  • The Daily Buzz Team
    https://the-daily.buzz/author/admin/
    Your Guide to Filing a Slip and Fall Claim
  • The Daily Buzz Team
    https://the-daily.buzz/author/admin/
    The ACP Program: What You Need to Know About the Affordable Connectivity Program

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Like us & Receive Daily Updates

Trending Now

  • Spain Wants to Be the Best Country for Digital Nomads: What Benefits Do They Offer?
  • How to Deal With the Aftermath of Bicycle Injury Accident
  • Your Guide to Filing a Slip and Fall Claim
  • The ACP Program: What You Need to Know About the Affordable Connectivity Program
  • What is Atomic Design? Principles & Methodology
  • About
  • Blog
  • Careers
  • Contact
  • Our Team
  • Privacy Policy

© 2020 The-Daily Buzz

No Result
View All Result
  • Home
  • Politics
  • World
  • Business
  • Science
  • National
  • Entertainment
  • Gaming
  • Movie
  • Music
  • Sports
  • Fashion
  • Lifestyle
  • Travel
  • Tech
  • Health
  • Food
  • Our Team
  • Contact
  • About
  • Privacy Policy

© 2020 The-Daily Buzz