I run a small custom greeting card business under my LLC, but I'm also starting to sell handmade candles and soaps. A friend told me I need a DBA for the candle line even though the LLC is the same. Is that accurate? I'd rather not pay for multiple registrations if it's not necessary.
LLC
Does one LLC need a separate DBA for each business?
Generally, if the candle business operates under the same legal name as your LLC, you may not need a separate DBA. The tricky part is when the public sees a different name than the one registered with the state.
what state are you in? that changes things a lot
Same here. I have an LLC and use a DBA for my second storefront. The bank wanted the DBA on file for the business checking accouunt so customers could deposit checks made out to that name.
This is not legal advice, but the way I understand it, a DBA is about the name the business is conducted under. If the candle line has a totally different name like "Quiet Clover Candles" while your LLC is something else, you'll likely need a DBA or trade name registration.
Some people think one DBA covers everything, but it depends on the county or state rules. A few places require a separate filing for each assumed name.
I'd check with the county clerk or the secretary of state website. In my state, the DBA filing is at the county level, and they told me each distinct name needs its own form and fee.
That matches what I was told. One LLC, but two DBAs for two different brand names. It felt like extra paperwork but the bank and the wholesaler both needed the paperwork.
If you're just adding products under the same business name, I would not bother with a second DBA. The LLC is already the legal entity.
Wait, are the candles and soaps going to be sold under a different brand name? That is the key detail. If yes, separate DBA. If no, probably not.
pinetreelane is right. in my county the DBA is per name, not per LLC. i made that mistake and had to refile.
One more thing to think about: if you ever open a business bank account under the candle name, the bank will likely ask for the DBA certificate. That's often where people find out they need it.
also check your local zoning or home occupation permit. Sometimes they want the trade name listed even if the state doesn't.
A DBA does not create a separate liability shield, just so that's clear. It's only a name registration. The LLC is still the entity behind both businesses.
I'd call the county clerk and ask one direct question: if the same LLC uses two different trade names, do I need two filings? They will give you a straight answer for your area.
Oops, I should have mentioned this. The candles would be sold under a different name, "Clover & Wick." My LLC name is just Quiet Clover LLC. Does that change the answer?