If you run a business under any name other than your own legal name, Texas expects you to register that name. The registration is called an assumed name certificate, and most people call it a DBA, for doing business as. It is one of the simplest filings a business ever makes, and one of the most misunderstood. Here is what it does, where it goes, and what it does not do.
What a DBA does
An assumed name certificate is a public record that connects a business name to the person or entity behind it. That is its entire purpose. It lets a bank open an account in the business name, lets customers and vendors find out who they are actually dealing with, and satisfies the state's requirement that the public be able to identify the owner of a trade name. A sole proprietor named Juan Garcia who paints houses as Permian Pro Painting files a DBA so that the name Permian Pro Painting officially points at Juan Garcia.
What a DBA does not do
- It does not create a separate legal entity. A sole proprietor with a DBA is still personally responsible for every debt and lawsuit of the business.
- It does not protect the name. Someone else can file the same assumed name in another county, and the filing gives you no trademark rights.
- It does not change your taxes. Income under a DBA is still reported on your personal return exactly as before.
- It does not replace an EIN, a sales tax permit, or any license your trade requires.
Where it gets filed depends on what you are
Texas splits assumed name filings by the type of owner. A sole proprietor or a general partnership files with the county clerk in each county where business is conducted. For a Midland business that means the Midland County Clerk; a business that also works in Odessa may file in Ector County as well. The form is short, it is signed in front of a notary, and the fee is modest.
An LLC, corporation, limited partnership or other registered entity files its assumed name with the Texas Secretary of State instead, using a different form. Entities no longer have to make a duplicate county filing. So a Midland LLC that wants to operate a second brand files once, at the state level.
Filing the DBA before the notary is a common reason people walk into our office. We can notarize the county form and help you complete it in the same visit.
How long it lasts and when to update it
- 01A Texas assumed name certificate is valid for up to ten years from filing. You choose the term on the form, and you renew by filing a new certificate before it expires.
- 02If the owner changes, the business address changes, or you stop using the name, you file a statement of abandonment or a new certificate. An outdated DBA pointing at an old owner creates confusion at the bank and in court.
- 03If you form an LLC after operating as a sole proprietor, the county DBA does not transfer. The LLC needs its own filing with the Secretary of State if it wants to keep using the trade name.
Frequently asked questions
Do I need a DBA if my business name is just my own name?
If you operate as exactly your legal name, no. Add anything to it, such as Garcia Painting or Garcia and Sons, and you do.
Does a DBA let me open a business bank account?
It is usually the document the bank asks for from a sole proprietor, along with your EIN or Social Security number and your ID. Bring the filed copy with the county stamp.
Should I get a DBA or form an LLC?
They answer different questions. A DBA is about the name. An LLC is about separating your personal assets from the business's liabilities. Many businesses have both: an LLC that owns a DBA. Read our guide on LLC versus sole proprietor and then come talk it through.
We handle this at the front desk
Assumed name filings, notarization and the EIN that usually comes next are all part of our general services. Call (432) 257-7547 or come by 700 C Andrews Hwy in Midland. English and Spanish.
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