Business Name

[lovemykidstoo]

I have had my own in-home daycare for 17 years. I have always just used my name. What is the advantage of having a business name? I do have an EIN, but do you have to be a LLC to have a business name? How does that work?

[Michael]

You have to have a business name for your LLC. They will ask you for two business names and if the first one is available they will give it to you. That is why I use .com in my business name Daycare.com LLC. Register your business name in a .com and it will become your LLC. LoveMyKidsToo.com LLC

[CalCare]

But you don't have to be LLC to have a business name... I think that was the question.

[lovemykidstoo]

You have to have a business name for your LLC. They will ask you for two business names and if the first one is available they will give it to you. That is why I use .com in my business name Daycare.com LLC. Register your business name in a .com and it will become your LLC. LoveMyKidsToo.com LLC

What is the benefit of being a LLC? Cost?

[lovemykidstoo]

But you don't have to be LLC to have a business name... I think that was the question.

Right, I really was just looking to have a name. So many ask me what my business name is and I say it's just my name. I would kinda like to be able to say oh it's Sunshine Daycare or whatever. Also on my information page that I have parents sign when they sign up with me it just says Sheri's Daycare. I would like a name to look more professional I guess, but don't really need any extra protection or anything I don't think, which is what a LLC does I'm thinking?

[Michael]

What is the benefit of being a LLC? Cost?

Ask your accountant what your needs are. LLC or S-Corp can have its benefits but you may not need it or could just do business as a DBA.

[Alwaysgreener]

If you choose a name, you can do so and use it only for show. However if you want to add it to your license, you can but I would recommend getting a DBA. The cost is ten dollars and it is good for five years. You go to your county court house to apply (application can be found online)
I called ahead and made sure the name I wanted was available. (Including spelling and punctuation).
I wanted to be able too expect checks in my DBA name, so I used my DBA certificate to open a no fee savings account at my credit union.

Also as I was choosing a name, I would search the web and fb to see if the name or something similar was in used locally. (I also reserved the fb page and group for the name that I wanted)

I used day care in my name but wished I had bought a DBA for child care, just to prevent any one from using it.

[Gemma]

....could just do business as a DBA.

That's what I have done since day one.

PS. I have a .net instead of .com, what's the difference?

[Michael]

That's what I have done since day one.

PS. I have a .net instead of .com, what's the difference?

It’s still works well as a web address but many people tend to type in .com from memory.

[lovemykidstoo]

So I can have a name strictly to put on my contract, business cards etc and not do any legal paperwork (ie DBA or LLC)? If I do a DBA then don't they have to make the checks out to the business name and I have to have an account set up that way?

[Michael]

It’s alwys better to separate your business affairs from your personal. Banks will require a DBA or state issuance of incorporation in order to open a business account.

Here’s more threads on DBAs: https://www.daycare.com/forum/tags.php?tag=dba

[Alwaysgreener]

So I can have a name strictly to put on my contract, business cards etc and not do any legal paperwork (ie DBA or LLC)? If I do a DBA then don't they have to make the checks out to the business name and I have to have an account set up that way?

Yes you can have a name to put on your business cards and advertisements and not need a DBA for it. But if you want it on your license and your contract you should get the DBA, IMO.

They don't have to make the checks out to your DBA unless you want them to. However some families may feel more comfortable writing it out to a business name versus a person from a legal standpoint and it looks more professional.
Besides even if you don't get a DBA and you just use a name then you may still have people writing checks out to your business name.
What it comes down to you is what do you want to deal with? Having to correct everybody that writes the check out to your business name and explain why or taking the time to set up a free account in with your business name just in case we.

[Baby Beluga]

So I can have a name strictly to put on my contract, business cards etc and not do any legal paperwork (ie DBA or LLC)? If I do a DBA then don't they have to make the checks out to the business name and I have to have an account set up that way?

Yes, you can.

I have a business name that I put on paperwork and business cards. I also have things mailed to my business name. I have an EIN. I do not have a registered DBA (although I should get one.)

I do have a separate checking account used just for business purposes. It is not a "business checking" account in the eyes of the bank though. It is just a personal checking account therefore if someone were to write a check out to my business name I would not be able to deposit it. Everything has to be in my personal name.

[Mike]

I've been self-employed for most of the last 40 years. At the beginning, I didn't bother with business names, but a few years later, I started registering business names. I've had several "businesses" over the years. Little side things I don't bother with, but anything with serious plans, I go all out and register the name and get an account in the name. It's more professional looking.