Are you a Vermont business owner who wants to be able to operate your company under an assumed name? If so, consider acquiring a doing business as (DBA) name.
How do you obtain a DBA name for your Vermont company, and how are you allowed to use your new name? In this guide, we’ll walk through every detail of the DBA acquisition process in this state.
What is a Vermont DBA?
For sole proprietorships and general partnerships, a DBA enables you to use a name other than the owner’s personal name. For limited liability companies and corporations, DBAs allow you to use multiple names to officially refer to your business activities.
There are many different reasons for Vermont companies to acquire ‘doing business as’ names.
- For sole proprietorships and partnerships, they can make your company sound more professional than simply using your own name. You can also open a bank account using your DBA, which can not only help you keep your business and personal assets separate, but customers often have a higher comfort level writing out a check to a business name rather than to an individual’s personal name.
- For corporations and LLCs, DBAs are frequently used to give the company the option of using different names for separate product lines. Another common usage of a DBA is to distinguish satellite businesses from your main company. Restaurant owners love to do this, as for example it can help a fine-dining establishment open a fast-casual spin-off restaurant without affecting customers’ perceptions of the original location. Whether you want to create this separation for marketing or accounting purposes (or both), a doing business as name gives companies options that they wouldn’t otherwise have.
In short, a DBA in Vermont allows businesses to communicate their image and express themselves in different ways without having to actually form a new business to do so.
How Do I File a Vermont DBA?
In Vermont, the process for getting a DBA, also known as a Trade Name, is rather simple. However, all name registrations are subject to state rules regulating availability, so you will need to run a business entity search first.
This ensures that your desired business name is available, and hasn’t already been claimed by another business in the state.
You will then need to file online or request the form to file by mail. In either case, you can find a step-by-step guide for registering your DBA name here. You must include payment for a $50 processing fee with your application. Most DBA registrations take 7-10 days to process, regardless of how you choose to file.
How Long Does a Vermont DBA Last?
A Vermont DBA lasts for 5 years. If you would like to continue using your DBA name beyond the five-year point, you will need to renew the name no more than 2 months prior to the expiration date. The Secretary of State’s office sends notice and instructions to renew once the renewal period has begun. You can file the renewal online or by mail, and the processing fee is $40. You can learn more about renewing a Vermont DBA here.
Should I Hire a Professional DBA Filing Service?
If you’d rather not fill out the paperwork and register for a DBA yourself, there are plenty of reputable companies offering a service. For a fee, these services will assemble the relevant paperwork and submit it to your state, and all you have to do is supply them with some basic information.
While hiring a DBA service can save you some time, there are probably better ways to use your budget. In other states, the process can be more complicated, but the requirements for obtaining a Vermont DBA are so simple that by the time you finish giving your info to the DBA service, you could probably just file the paperwork yourself. That said, if you’re just too busy to handle any more tasks, most service providers (Ex: LegalZoom) charge a fair rate for this service.
The doing business as name, or DBA for short, is one of the most simple business filings for Vermont entrepreneurs. The process to acquire one is quite straightforward, and you can begin using your new assumed name as soon as the state completes your filing.
We hope this article answered your questions about how to file a Vermont; DBA!
Frequently Asked Questions
Q: Does a DBA provide any legal protections?
A: No, registering a DBA does not legally protect you or your business. If you’re seeking personal asset protection, you might want to look into forming a corporation or a limited liability company rather than just acquiring a DBA name.
Q: Does a DBA need a registered agent?
A: A registered agent is not a legal requirement for sole proprietorships or general partnerships that acquire DBA names. However, limited liability companies and corporations do require a registered agent whether they have a DBA or not.
Q: Can someone else register a business using the same name as my DBA?
A: Filing a DBA does not give your business exclusive rights to your assumed name. If someone wants to use the same name, and they form an LLC or corporation with it, they are legally allowed to take your name for themselves.
Q: Does the state of Vermont require publication of a DBA name?
A: No, Vermont DBAs do not need to be published in a newspaper.