What is the Purpose of a DBA?

Question

What would be the purpose of having or filling a DBA for my business if I am a sole proprietor. I fail to see the purpose, but its mostly because I can't find enough information. Hopefully you guys can help me out a bit. I want to know why I need to, and what are the benefits, and if its necessary to file a DBA in order to open my business. My business doesn't have a real location. All business is done online.

Thanks!

Answer 1

A DBA is a Doing Business As if your corporate is Honore Inc and you are planning to open a mortgage company you might want to call it Honore Mortgage Inc. for that you would need a DBA.  There is no point to operate a sole proprietorship because you can pretty much name your company whatever you want.

In illinois you can't even apply for a DBA if you are not a corporation

Answer 2

~~The DBA is for your protection on the name you choose to "doing business as" and as for CA the only state I know the laws on, it protects anyone from using the name in the county you live. For a business on line, I would not bother filing for one unless your state laws are different. Also, in California you are not able to open a business bank account without proof of filing your DBA. In California you also must have a business license in the city of where your business is located (even if it is a home based business).  

Answer 3

I think you still have to have a business license through whatever city you are located in and they will ask you for a trade name or doing business as name.  Have you considered filing for incorporation or a LLC.  Sole proprietorship if anything happens you are personally liable.