One of the first things you should decide when starting a business in Pennsylvania is whether you want to use your own name or a different name. You must register a DBA if you decide to use a name other than your own. The procedure for establishing a DBA in Pennsylvania will be covered in this article, along with information on whether it is required, how long it takes, how to obtain a DBA certificate, and the distinction between a DBA and an LLC.
Yes, to answer briefly. According to Pennsylvania law, anyone or any entity conducting business under a name other than their own must file a DBA. This holds true for corporations, partnerships, LLCs, and sole proprietorships. To provide transparency and shield customers from shady firms, a DBA must be registered.
It’s a rather simple process that may be finished online through the Pennsylvania Department of State website to register a DBA in Pennsylvania. The processing time for registration is normally 3-5 business days, and the application fee is $70. A certificate that you can use to open a business bank account, apply for a business license, and sign contracts under your business name will be given to you once your DBA has been registered. How can I obtain a DBA certificate?
You must fill out an Application for Registration of Fictitious Name form and submit it together with the required $70 cost in order to register a DBA in Pennsylvania. You must fill out the form with basic information about your company, like your name, address, the name you intend to use, and the kind of business you are running. You must also include a succinct statement describing the nature of your company and the products or services you offer.
Although both a DBA and an LLC permit you to conduct business under a name other than your own, there are some significant distinctions between the two. While an LLC is a legal company that offers its owners limited liability protection, a DBA is just the registration of a fictitious name. This implies that your personal assets are shielded from being confiscated to settle corporate debts or legal claims. An LLC also provides tax advantages and flexibility in how profits and losses are distributed among its owners.
In conclusion, if you wish to run a business under a name other than your own, you must first register a DBA in Pennsylvania. The procedure is reasonably straightforward and may be finished online. It takes 3-5 business days to process. A certificate that you can use to open a business bank account, apply for a business license, and sign contracts under your business name will be given to you once your DBA has been registered. While both a DBA and an LLC permit the use of a business name, the legal protections and tax advantages of an LLC outweigh those of a DBA.