You might get checks made out to your DBA if you run a business under a Doing Business As (DBA) name. Can you cash a cheque made out to a DBA? is the query. Yes, you can, but it can be a little trickier than just cashing a cheque written out in your name or a legally established business name.
The fact that a check is made payable to a DBA does not imply that the money is actually the DBA’s. Instead, the money is the property of the person or company using the DBA name. As a result, you will need to present sufficient proof that you are entitled to the monies.
You must endorse a check with your legal name followed by your DBA name in order to cash one made out to a DBA. A legitimate piece of identification, such as a driver’s license or passport, will also be required to demonstrate your identity as the recipient of the payments. You can also be required to present proof of your affiliation with the DBA, such as a business license or registration certificate.
Whether checks need to mention LLC is another related subject that frequently comes up. No, they don’t, is the response. You can write the LLC designation on checks payable to a Limited Liability Company (LLC) or you can leave it off. The cheque should be able to be cashed or deposited without any problems as long as the name of the LLC is accurate and matches the data on record with the bank.
In conclusion, you can cash a check that is made payable to your DBA as long as you have the necessary legal proof that you are entitled to the money. The exact name of the business entity should be stated on checks made payable to an LLC rather than the notation “LLC.” It is always better to get advice from your bank or other financial institution if you are unsure or have any questions.