If you are starting a business in New Hampshire, or already have a business or an LLC, but thinking about using a different name for it, then you need to file an application for Doing Business As (DBA) with the state or Application for Registration of Trade Name as it is referred to in New Hampshire.
Not every state requires registration of a DBA, but in New Hampshire, if you want to use a business name different from the name you used to form the business, you must file a DBA with your company’s legal name. You can use multiple names and obtain multiple DBAs, depending on your business needs, but you will need to file a DBA and the filing fee for each name you register.
The DBA form is straightforward, but requires you to provide a lot of information in addition to the name of the business name you want to use. If you don’t register your Trade Name correctly, you are risking things like the following: you won’t be able to open a bank account using that name, someone else may open a business with the same name (preventing you from using it), or you may face other legal problems.
What is a DBA?
A DBA is also referred to as a “trade name,” “fictious business name,” or “assumed name.” In New Hampshire, as has already been mentioned, it is called a “trade name.” This is totally different from a trademark, and is used interchangeably with DBA, fictitious business name, and assumed name.
After you have registered your trade name, you can then use the name publicly. The requirement applies to all types of businesses. You can use a DBA or trade name whether you’re a partnership, LLC, Corporation, or sole proprietor.
Benefits of a DBA
- It allows you to register a business name even if you do not have a business entity.
- In New Hampshire, it is a cost-effective way for a business entity to conduct business under a trade name without the complexity of forming a separate corporation.
- If you have an LLC, your trade name allows you to do business under a different name that is not the company’s full legal name. The New Hampshire Chamber of Commerce gives an example: “Tim’s Wood LLC wants to open a building supply shop. The LLC must file a DBA to change the name to Sturdy Forever. The business would remain owned and operated by Tim’s Wood LLC.”
- It provides privacy. In New Hampshire, all sole proprietorships, partnerships, or LLCs must use their full business name unless they have filed a trade name (DBA).
- Makes it possible to open a bank account in the name of the trade name.
- The DBA is only an alias and is not a separate business entity, so there is no need for a tax ID number since it is not taxed separately.
- It works as your brand name, which tells your audience what your product or service is.
- You can have as many trade names (DBAs) as you want.
Disadvantages of a DBA
It is important for you to understand that a DBA does not protect you from liability like an LLC or other corporate entity does. It is only a fictitious name, an alias, that allows your company to operate under a different name than the full legal name registered with the state. It is not a separate business entity.
Consequences for operating with a DBA without registration
New Hampshire imposes penalties for anyone doing business under a name other than their full legal name if the name has not been registered with the state. If a natural person is the one who did not register the trade name, then that person will be guilty of a violation. If other than a natural person, the entity will be charged with a misdemeanor.
Tax considerations
There are no changes in the tax structure in that aspect. A trade name only changes the name of your business and has no effect on the status of your business entity. You don’t even need to have a separate EIN.
Filing for a DBA in New Hampshire
Step 1: Choose your name
New Hampshire has some requirements for DBA (Trade Name) registration. A few of the most important ones are:
- Unless the business is actually a type of corporation, including an LLC, the DBA cannot use any of those words in the trade name or any abbreviations like corp., Incorporated, etc. that may mislead someone into thinking they are dealing with a corporation.
- The name must be unique and not the same as any other business registered with the state
- The name cannot imply that there is any government entity associated with the name or that endorses the name
- The name cannot be misleading in any way.
Step 2: Check name availability
Begin by doing a New Hampshire business entity search using the state’s database. It will let you know if your trade name has already been taken by another business. If so, you can choose a new name or adjust your desired business name so it is enough different to be distinguishable from the similar business name you wanted. For example, a business name of “Open Door” cannot be distinguished from “An Open Door.”
Step 3: Register your name
Once you have chosen the name and completed your search and discovered no one else is using your desired name, you need to fill out the application. You can fill it out online, or you can download the form and fill it out by hand. You can then mail it, or hand deliver it.
Information required for the form includes:
- Legal name and mailing address of the business.
- A description of the business with the type that it is, such as real estate business, hair salon, grocery store, and so forth.
- The date that the business was organized. It must have been organized in the past. A plan to organize in the future is not acceptable.
- Name and mailing address of the applicant.
Step 4: Pay the filing fee
In New Hampshire, the filing fee is $50.
Step 5: File (online lror by mail)
If you choose to file online, your application will be processed within 3 to 7 business days. If you file by mail, it takes from one to 3 weeks to process.
If you choose to mail your form, send an originally signed document to:
New Hampshire Department of State, Corporation Division
107 North Main Street
Concord, NH 03301
You can drop it off in person at this same address.
Conclusion
Filing for a DBA in New Hampshire is a great way to create a new public identity, enhance your brand, and perhaps make your business more fun. You do this without the need to create a new company. You can have as many trade names as you want and are willing to pay for and there is no additional tax liability. If you’re still in the early stages of research and want to learn more about how to form an LLC in New Hampshire, check out our step-by-step guide and related content.