How to File a DBA in Wisconsin

When you look at how to start a business in Wisconsin, you’ll see that there are many considerations. The first, and one of the most important, is selecting a name for your business. Once you have overcome the brainstorming and come up with a business name, you then have to decide how to attain and register the business name. In Wisconsin, there are a few different ways to do this. You can use an entity name, a trademark, a domain name, or a doing business as (DBA). 

An entity name is the legal and actual name of your business. For LLCs, this name is established during the formation process, and reviewing how to form an LLC in Wisconsin can help clarify when and how that legal name is officially registered.

A trademark name is the legal way to use a brand or slogan to identify your business. You can probably think of some popular brands that, when you see them, the business name automatically pops into your head. A domain name is how you are referred to online. A doing business as name is an alter ego, if you will. It’s also called an assumed name, and it’s the name you use when putting yourself out in public, but it’s different from your legal entity name. Each one has its benefits, and as a small business, you can envision how each one could work for you. Let’s dive a little deeper into a DBA in Wisconsin and what that looks like. 

What is a DBA (“Doing Business As”)?

You’re probably wondering, what is a DBA? A DBA in Wisconsin is often referred to as a fictitious name or an assumed business name. While this may immediately bring negative thoughts to mind, a DBA is not a bad thing. A better way to think of it is as a trade name. This is the name you can use when referring to your business once you have registered it with the state of Wisconsin. This allows you to operate your business with a name that is different from the legal one. It doesn’t matter what type of business you have (LLC, sole proprietor, etc), a DBA can apply to all business types. As with anything, DBA Wisconsin has benefits and disadvantages, so let’s talk through them. Once you understand the details, you can make the best decision for your company. 

Benefits of a DBA:

A DBA is a cost-effective way to create a legal entity, including an LLC. It allows you to expand your business by creating multiple businesses under one structure, legally, without forming a new legal entity for each business. This also helps to reduce and eliminate paperwork, which saves time and money. You can have several businesses with different services and names all operating under one parent company. Each brand or company can be run and presented to the public in different ways. This helps improve your marketing and branding of each business, which is helpful when it comes to public perception. 

A DBA enhances your privacy specifically for sole proprietors or general partners because you can use the DBA on records instead of your name to help protect your identity. This allows you to open bank accounts and perform business operations without using your personal name. This also removes the need for an EIN for sole proprietors and LLCs without employees.

Disadvantages of a DBA:

One of the largest downsides to a DBA is the lack of personal protection. You will not have liability protection because it’s not a business entity. It’s simply allowing your business to operate under a fictitious name that is not the company name.Your personal assets are not protected or separated from your business debts. If someone sues the business, your personal assets are at risk. 

Even though you register your DBA, it does not prevent other businesses from using the same name. To have exclusive rights to the name, you must take additional steps to trademark the name. In addition, you will have to renew the DBA.The requirements for that renewal vary from county to county within Wisconsin, so it’s important to understand the steps within the county where you operate. It may be a lengthy process, so it’s important that you file the renewal promptly. 

Consequences for operating with a DBA without registration 

It’s important to understand that operating a DBA without registering it could be seen as fraud and open you up to lawsuits. In addition, you could face fines from the state or local authorities. If you have a contract under the DBA that isn’t registered, you cannot enforce it or sue if there is a breach of contract. You are not able to disclose the identity of the business, and as a result, you become personally liable for any contracts entered into with a properly registered DBA. You also may not be able to open bank accounts in the business name.

Tax considerations 

A DBA is not a business structure, and as a result, it does not change the way that you file taxes for your company. Since it’s not a company, there are no special tax benefits to using a DBA. Your business, including any DBAs, follows the tax rules for the parent company. For example, if your parent business is a partnership, then those same tax rules apply to every DBA under the parent structure. 

Filing for a DBA in Wisconsin

If becoming a DBA is right for your company, in Wisconsin, you will need to take some steps to ensure you have registered correctly. Registering as a DBA is not the same as obtaining a seller’s permit or applying for Wisconsin Business Tax Registration. These are separate steps you may have to take, depending on your business. Before you jump into the registration process, you want to verify some things about the name you’ve chosen.  

Name Requirements 

Wisconsin allows businesses to use similar DBAs; you want to ensure that your name is not the same as an established corporation or LLC. This also means that you cannot use the letters LLC in your DBA. You cannot use any government terms in your DBA, including the flag or coat of arms for the United States, any state, or a foreign nation. You want to avoid using the word insurance unless your business is part of that industry. You also cannot use any words that indicate or imply your business is an illegal organization. 

Begin with Wisconsin Assumed Name Search 

To verify if your name has already been used, you want to do some searches. You first want to perform a Wisconsin business entity search and look at Wisconsin’s Search Corporate Records page. Consider searching the Wisconsin Trademark Portal to make sure that your DBA has not been trademarked within the state.

Steps to register your Wisconsin DBA 

There are a few steps you must take to register your DBA. They aren’t difficult, but you want to make sure you fill out the application properly. 

Step 1

First, you want to create an account on Wisconsin’s UCC and Trademark website. In addition to registering a DBA, you can also search for trademarked names. Creating an account is easy. Click on ‘Create User’ and enter your contact information. Once you do that, you can create your own username and password. 

Step 2

Once you’ve created an account, log in to it and click on the ‘Register a Trademark’ button. You will need to supply the following information:

• Legal business name
• Mailing address for your business
• SSN or EIN
• Trade name you want to register
• You will need to search the online ID Manual. This gives you a 2-digit classification code. You will need to file your trade name under this number. This number corresponds to the goods and services you plan to trademark. 
• Input the date you first used or want to use the name. It cannot be more than 30 days from now.

Step 3

Once you fill out the application, you must print it and get it notarized. After it’s notarized, you must scan it and upload the application as a PDF into your online account. Then you will submit your payment. You will receive proof of registration, which serves as your certificate of assumed or fictitious name and allows you to use your DBA.

Filing online vs. by mail 

There are only two ways to file your application. The fee remains $15 no matter which way you file. You can either file online or walk your application into the Wisconsin Department of Financial Institutions office. You must go to the Trademark Records Section. 

The address is: 

Trademark Records Section

Wisconsin Department of Financial Institutions

4822 Madison Yards Way, North Tower

Madison, WI 53705

Conclusion

Filing and using a DBA in Wisconsin is a simple process. You want to make sure you follow all the necessary steps to properly set up your DBA so you don’t run into any legal situations. 

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