Thursday, August 26, 2010

dba-Doing Business As

I have a dba in my business name- The Homespun Loft. But you don't need one to sell your crafts. You can call yourself 'Anyone's Crafts' if you want.

I have a dba basically because I used to call myself Homespun Crafts-- I printed business cards in that name and went to a craft show. I did not have a dba.. And then someone came to my booth and said-- "You can't use that name... I have a dba in it and I am telling you that you can't use it- it is my business name"... and the word laywer was brought into the conversation. Well I have to tell you- that scared me silly. I assured her that I would not give out anymore business cards in that name and I would stop calling myself that.

Right after that I went to my county seat and at the time-had to go through micro-fishe! and books to check all of NYS for similar names (and sure enough Homespun Crafts came up belonging to someone in a nearby county!). So, I came up with my business name since I have a loft to do my crafts in and I always liked homespun fabric and what Homespun means to me. I chose my name and paid the one time fee.

With a dba-- I can now accept checks in my business name and deposit them into my business account under the same name. I understand from my accountant that the IRS likes you to keep things separate.. I do- I have my business checking acct. In fact I have a craft business acct and I have an Etsy acct also. But I am not sure you need to do that. It just helps me to keep things straight. When I do a craft show- I write a check on my business account.

To get a business checking account.. I needed a copy of my dba. Without one- you can't get a business checking account-since they need a business name on the account.

And Business cards are in my Business name. I think it is just more professional. I do this-quilting/sewing etc as a real business. I don't work outside the home- I do this. I have friends who only do 3-4 craft shows a year and don't sell on line. It is not worth it to them to have a dba. It is personal preference. If they take a check- it is in their name only. They use their own name on business cards and tell what they do on the business cards. Which is fine. It works for them. I just want more.


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