Before you can open the doors to your company, you need to give it a name. When you look at how to start a new business in Wyoming, you’ll see it requires choosing a name and updating the state on what that name is, as well as any versions of the name that you may also use. It is not uncommon for a business to operate under multiple names or use a slightly different name from your legally recognized name.
If you plan to use any other name to reference your business, you should consider filing a “Doing Business As” (DBA) with the state. Doing so ensures the state and others recognize related business names as a component of or the same as your business. While it is not mandatory to file a DBA, it is beneficial to do so in most situations.
xWyoming requires you to take several steps to set up a DBA, and doing so correctly minimizes confusion or errors. Generally, the process is straightforward and inexpensive. Let’s break down what that process is and what you can expect from it.
What is a DBA (“Doing Business As”)?
A DBA, which may also be referred to as a “fictitious name” or “assumed name” is a different term, spelling, or expression of the way a company communicates its name. It allows a business to operate under a different name other than what its legally recognized name is. In essence, instead of having to spell out your entire legal name on every piece of marketing you create, you can use this name instead.
A DBA is a trading name you can use once you register it with the state of Wyoming. You can then use it for marketing, invoices, opening a bank account, creating vendor agreements, or most other business-specific needs. All types of businesses can use a DBA. That includes sole proprietors, partnerships, LLCs, and corporations.
Benefits of a DBA
A DBA provides numerous benefits to those who use it. If your legal business name is quite simple and direct, without any added designations on it, using that name may be just fine. However, for a business that wants to offer something other than its legal name, a DBA is beneficial.
It allows you to register a business name even if you do not have a business entity. There is no need for an EIN if you have a sole proprietorship or a single-member LLC without employees. That helps keep the process simplistic.
Disadvantages of a DBA
A DBA is beneficial if you use it within the limitations it presents. For example, it does not grant you any liability protection like an LLC would. That is because the DBA itself is not a recognized business entity. The only purpose it provides is a way for you to allow your business to operate under a fictitious name other than what your company is legally recognized as. That means you may still need to seek an LLC to gain protections for your company.
Consequences for operating with a DBA without registration
Why do you need to use it? If you do not, and you market your business or otherwise use your non-official business name, you could face fines and even jail time. Here is an example of what can go wrong.
You operate a tourism business in Casper called “Jane’s Casper Adventure Group Trip Planning LLC.” However, you know that’s a mouthful and want to use “Jane’s Casper Adventure” in your signage, marketing, and contracts. Having a DBA who recognizes this shortened version is necessary.
If the state does not recognize your shortened name, it could believe you are operating a business illegally in the state. That could lead to a $5,000 fine, additional fees, and license taxes. Notably, though, the state does not require a DBA.
Tax considerations
How does having a DBA change your tax obligations? It doesn’t. Remember that this is not a new business. It does not change the way your company is taxed in any way. It is not a business structure in itself. Whatever is applicable to your current business structure continues to apply.
Filing for a DBA in Wyoming
To file a DBA in Wyoming, you’ll need to file a document with the state that alerts them to your use of this name. The process is not challenging, but you do have to get it right. You also need to know a few of the rules that are applicable in the state.
Name requirements
First, think about the name you want to use. It has to be unique from other businesses in the state, and you cannot use a designator such as LLC. If there are any other businesses with a very similar name, you may be unable to use what you selected.
Begin with a Wyoming Assumed Name Search
Now you need to make sure the name you’ve selected is available to you. To start, perform a Wyoming business entity search using the Wyoming Secretary of State’s website. Just type in the name you want to use, and it will search the database to determine if anyone else has a name that is the same or very similar.
This process will check to determine if your trade name is available. If so, you can register it right away. You must use the name for at least 120 days before you can register it with the state.
Steps to register your Wyoming DBA
Now that you have used the name for 120 days or more, you can then complete the process. To do so, follow these steps.
Step 1: Fill out the application
You can download and print or fill out the Application for Registration of Trade Name from the Secretary of State’s website. You can fill it out in the PDF on the screen. Be thorough and accurate in your completion of the form. You will need to provide:
- The trade name you are registering as a DBA.
- The complete description of your business, including the legal name of your business.
- The date you started using the name (it must be at least 120 days prior to your registration).
You will also need to describe what your business does and provide a contact name, address, and phone number in case there are questions. The application also requires you to list whether your business is a registered LLC, statutory trust, statutory foundation, corporation, or other business formation.
Step 2: Print and mail the application
Once you complete the application, you will need to print it and then mail it to the Wyoming Secretary of State at the following address:
Wyoming Secretary of State
2020 Carey Avenue, Suite 700
Cheyenne, WY 82002-0020
Step 3: Pay the filing fee
You will need to pay a $100 filing fee to register your trade name. You will need to send either a check or a money order that is made payable to the Wyoming Secretary of State.
You must also have your DBA application form notarized officially. Doing this helps to show its validity to the state.
Submit all of this information by mail. The processing time is estimated to be 15 business days after the receipt of the form in the mail.
Filing online vs. by mail
You cannot file your DBA with the state online in Wyoming. You cannot email your application. It must be signed, dated, and mailed with payment. The state does not accept walk-ins at this location.
If you file a document that is missing information, the state will not process the return. You may not learn of this for some time. Double-check the completion of your information before submitting.
Conclusion
In Wyoming, it is not always necessary to alert the state that you are using a different name in the operation of your business from the business license you originally submitted. It can be beneficial to you, especially if it supports your marketing, branding, or other business strategy.
A DBA can be an important way for the public to identify your business, too. If you’re forming an LLC, understanding how to start an LLC in Wyoming can help you determine when a DBA makes sense as part of your broader business and branding strategy. The good news is that the process is straightforward and should not take you too long to complete. Once done, the state recognizes the DBA for 10 years, and you are likely to be able to renew it over time. You can apply to renew your application six months prior to it expiring.
There is no real downfall to using a DBA, especially in Wyoming. Set up one now and start protecting your business.
FAQ
No. A DBA is optional in Wyoming, but it’s recommended if you use a business name different from your legal name to avoid confusion or penalties.
No. A DBA is not a business entity and does not provide liability protection or change how your business is taxed.
Registering a DBA costs $100, must be filed by mail, and typically takes about 15 business days to process.