Skip to main content

business-formation-dba-doing-business-as

Registering a DBA (Doing Business As)—also known as a "fictitious business name" or "trade name"—makes sense when you want to operate under a name that is different from your official, legal name.

As a software engineer running an agile firm and marketing studio, you might already have an LLC, but a DBA serves a specific set of strategic and legal needs. Here is a breakdown of when it makes sense to file one:

1. You want a "Customer-Facing" Brand​

If you are a sole proprietor, your legal business name is simply your own name (e.g., "John Smith"). If you want to market your services as "Apex Digital Studio," you must register a DBA. This allows you to:

  • Sign contracts and accept payments under the brand name.
  • Open a business bank account specific to that name.
  • Present a more professional, established image to clients.

2. Segmenting Services (The "Umbrella" Strategy)​

This is particularly relevant for your agile firm. If your legal entity is "Smith Tech Solutions LLC," but you want to branch out into niche markets without the cost of forming entirely new LLCs, you can use DBAs.

  • Example: You use "Smith Tech Solutions LLC" for your core dev work, but file a DBA for "Agile Ad Pros" specifically for your digital marketing studio services.
  • Benefit: This keeps your accounting and legal overhead under one "parent" entity while allowing you to target different customer personas with specific branding.

3. Transitioning or Rebranding​

If your firm is pivoting—perhaps moving from general front-end contracting to high-end SaaS product development—and your current name no longer fits, a DBA is the fastest way to rebrand.

  • It is significantly cheaper and faster than changing the name of your LLC or corporation, which requires amending Articles of Organization.

4. Expansion into New Markets​

If you expand your services into a new state or region and discover your current LLC name is already in use by another local firm, a DBA allows you to "localize" your name to avoid trademark or registration conflicts in that specific area.

Critical Considerations for Your Setup​

While a DBA is a powerful branding tool, it has distinct limitations compared to your current LLC structure:

FeatureDBA (Doing Business As)LLC (Limited Liability Company)
Legal ProtectionNone. It is just an alias. It does not protect your personal assets.High. It creates a "corporate veil" between your business and personal assets.
Asset SeparationOnly if the DBA is owned by an LLC.Inherent in the structure.
CostVery low (typically $10–$100).Higher (typically $50–$500 + annual fees).
Name ExclusivityVery limited. Others in your state might still be able to use it.Stronger protection within your state.

Pro Tip for Agency Owners: If you are operating as an LLC, ensure you register the DBA under that LLC. This ensures that even when you are "Doing Business As" your studio name, you still maintain the limited liability protection of your parent company.