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  1. #1

    To DBA or not to DBA...

    I'm at quite a crossroads - should I file for a DBA now or wait until my business becomes more succesful.

    PROS, in my eyes:

    *Its only a little more than $100 to have it done professionally.
    *It'll likely give me a confidence boost (having something that few hosts actually have - a legally registered name)

    CONS, in my eyes:

    *Its $100 more to spend.
    *It isnt necesarilly required, so why bother.
    *Chances are, no one else will really notice.

    I already have quite a few clients and I am almost finished with my website redesign...and now that I think about it, I dont know if I should legally register.


    I know I'm not ready for an LLC yet, its too big of a cost for me and not worth it right now (stupid California tax board - $800/year for LLCs)
    hostVentura
    adam.ferree@gmail.com
    AIM: windsofnihility

  2. #2
    Join Date
    Mar 2004
    Posts
    158
    I did it from the outset. It only cost $25 to file with the state (Maryland) and the form wasn't much more than the name of the company and My Name/Address. If you're going to be doing things under another name, and if anyone is going to be sending you a check to the business name, it's best to just do it and be done.

    Thats my $.02.

  3. #3
    Join Date
    Apr 2003
    Location
    San Jose, CA.
    Posts
    1,624
    I'm curious as to what county you are in, and why you think it isn't required?

    I'm assuming you don't have a valid business tax license?

    I'm assuming you don't have a checking account in the business' name and haven't tried to get one.

  4. #4
    There would be no reason for me to have a business tax license. Legally, in the eyes of Uncle Sam, I am not a business. I don't have a checking account in the business' name, and hadn't really planned on needing one...but now that you mention a checking account, I realize it might be useful to have. So maybe I will file a DBA, just for that reason alone.
    hostVentura
    adam.ferree@gmail.com
    AIM: windsofnihility

  5. #5
    Alright, I just got the forms, I'm filling it all out. Thanks Lightwave.
    hostVentura
    adam.ferree@gmail.com
    AIM: windsofnihility

  6. #6
    Join Date
    Apr 2003
    Location
    San Jose, CA.
    Posts
    1,624
    Originally posted by AntiSpamHosts
    There would be no reason for me to have a business tax license. Legally, in the eyes of Uncle Sam, I am not a business.
    I'm curious as to how you're coming up with that assessment.

    When, I say business tax license, I'm talking about a license you would have with the particular city and/or county you are doing business in.
    It's not so much as a "license" but, basicaly just you paying your yearly/quarterly city/county business taxes.

    If you're not doing business... then you have no need to file a DBA/Fictitious Business Name Statement.

  7. #7
    Join Date
    Apr 2003
    Location
    San Jose, CA.
    Posts
    1,624
    As Angst7 mentioned... it's really eazy to fill out the form as long as you know your name and contact information

    You need to be aware tho that you'll have to have your DBA published in an accredited paper for 4 weeks and for that proof of publication to be sent back to the county clerks' office.

    Most business newspapers do this service for about $20 and your county clerk/recorder can probably refer you to several.

  8. #8
    If you like your Business and don't want anyone else to have it
    DBA. It's cheap I live in OC CA and used:

    I used OC Register newspaper

    Why file a fictitious business name statement?
    To open a business account with a bank.
    To protect your business name from being used by someone else.
    To be entitled to entertain action in any court of the State of California.

  9. #9
    Guys, guys, guys...It's already over with the discussion. I am doing it
    hostVentura
    adam.ferree@gmail.com
    AIM: windsofnihility

  10. #10
    Join Date
    Jan 2005
    Location
    Minneapolis, MN
    Posts
    966
    As a sole proprietorship you don't pay business taxes. You pay personal income tax on all money you make. Same with a DBA and LLC, in every state I've heard of.

    I guess I gotta love MN. $125 to register as an LLC and no annual fees.
    Doyle Lewis
    BuyHTTP Internet Services - In business since 2003
    Business Hosting | nginx, CloudLinux, Varnish cache, and CDP with every business account
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  11. #11
    Join Date
    Feb 2003
    Location
    Connecticut
    Posts
    5,460
    No annual fees? In CT it's $60 to incorporate and then $250/yr IIRC. You're lucky.

  12. #12
    Join Date
    Mar 2003
    Location
    Duluth MN
    Posts
    3,863
    For anyone else reading this thread (for future reference), as far as I know, from what I learned in my Business Law class:

    Even if you are running as a Sole Proprietor, if you are doing business under any name OTHER than your legal name, you MUST register a DBA, also called AN (Assumed name).

    For Example. I can do business as "Aaron Abramson Hosting" as a sole proprietor without filing for assumed name, because I'm using my own full legal name. But if I am operating as "Utaria Web Services', I MUST file for assumed name.

    In either case, I strongly recommend checking with your states office of the Secretary of State.

  13. #13
    Join Date
    Apr 2003
    Location
    San Jose, CA.
    Posts
    1,624
    Having a DBA/Fictitious Name Statement has nothing to do with business entity type, you may or may not need the filing for all entity types.

    I think what you meant to say is, that with sole proprietorships, general and limited partnerships, S corp,s and some LLCs owners' typicaly pay their federal business taxes through their personal income tax return.

    That doesn't mean they don't possibly owe completely separate local city business tax fees.

    Ie, in my particular city:
    "All persons or companies conducting business in San Jose must pay the business license tax whether or not they have an office located in San Jose. This tax is required prior to the commencement of business in San Jose. All businesses pay a basic tax rate of $150.00. Businesses employing more than eight people also pay a tax increment of $18.00 for each additional employee. Commercial and residential landlords and mobile home parks pay based on square feet, units or lots, respectively."

    They don't care wether you're a sole proprietorship, or the largest C Corp in the world.

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