In Texas, a trade name, assumed name, or fake name used by a business entity for commercial reasons is referred to as a DBA or “Doing Business As” in legalese. Businesses must register with the Texas Secretary of State in order to conduct business under a DBA. Depending on the county where the business is located, different amounts are required to register a DBA in Texas.
The cost to register a DBA ranges from $15 to $50 in most areas. Nevertheless, some counties might levied a larger fee. For instance, the cost to register a DBA in Harris County is $26. The cost in Bexar County is $24. The cost in Travis County is $25. These payments are typically one-time, but they might need to be renewed on occasion.
Even if your LLC is not making any money, you might still need to create a DBA if you intend to operate under a different name. You might not need to register a DBA, though, if you don’t intend to operate under a different name. To ascertain your unique needs, it is crucial to speak with a legal expert.
In Texas, an LLC must pay a yearly charge of $300. Every year on the anniversary of the LLC’s incorporation, this fee is required. Penalties and even the LLC’s dissolution may follow nonpayment of the fee.
A DBA has the drawback of not offering the same degree of legal protection as an LLC or corporation. A DBA is just a trade name; it does not establish the owners as a different legal entity. This implies that any obligations or legal problems resulting from the use of the DBA are the owners’ sole responsibility.
In conclusion, the price of registering a DBA in Texas can range from $15 to $50, depending on the county where the business is located. Even if your LLC is not making any money, you might still need to create a DBA if you intend to operate under a different name. In Texas, forming an LLC costs $300 per year, but registering a DBA is free. Owners of a DBA, however, can be held personally responsible for any problems that result from its use because it does not offer the same level of legal protection as an LLC or corporation.