- Businesses are legal entities. They are either incorporated under state law or operate more informally as sole proprietorships. In order to use a name other than your own, most states require the filing of a "doing business as" (dba) or assumed name certificate. The assumed name certificate allows the business to obtain employers identification number (EIN), open bank accounts and pay taxes.
- An assumed name or doing business as certificate must be obtained for an original name. Names that lead to confusion or potentially mislead the public are usually prohibited by state law. For example, you cannot file an assumed name certificate for Ford or Sears, those are in use. Most states allow name searches through their corporate bureaus, so try variations of the name you intend to use.
- Check with your state for the specific requirements for filing an assumed name certificate. Generally, corporations must file an assumed name certificate form available from the Secretary of State office. Some states require the form to be filed with the county clerk office of the county in which you reside. Other states require assumed name certificates be filed in every county in which you do business.
- Assumed names offer businesses marketing and legal benefits. A well-chosen name should tie into your advertising scheme and be easily remembered by the public. Assumed names of corporations, partnerships or limited liability companies also carry protection from many types of personal liability.
- Follow the rules of your state. If you fail to properly register your company's name, it can be registered by someone else. Imagine building a successful business as Ford Furniture Repair only to learn that another person is operating under the same name. Worse, the properly registered company can force you to stop using your name.
