What Is the Difference Between a Fictitious Name Business & an LLC?

A fictitious business name is simply a registered business name for a company and is not an actual business structure. A Limited Liability Company (LLC) is a legal business structure.

Why to Use a Fictitious Business Name

The default legal name for a business is the owner's full name (Example: John Smith) or the last names of the partners (Example: Smith and Jones). Using a personal name is not always the best name for a business because it doesn't explain what the business does. This makes marketing more difficult than it needs to be.

Fictitious Business Name

The simplest way to be able to use a business name (Example: Smith Accounting Service) is to register the name. This is also called "Doing Business As" or "DBA."

Where to File Your Fictitious Business Name

Each state has different requirements for registering your business name and in some states it is not required at all.

Limited Liability Company (LLC)

A Limited Liability Company is a legal business structure that limits the liability of the members who make up the business.

Business Name of an LLC

The legal business name of an LLC is the name that is registered with the state and includes the letters LLC as part of the name. (Example: Smith Accounting Service LLC)

References

• Doing Business As - DBA - Registration
• Limited Liability Company (LLC)

Resources

• Steps to Register a Business
• How to Name a Business