What would I name my LLC?
Naming your limited liability company entails more than a name you think is perfect for your business. Before start your LLC business, you must first choose a name that complies with your state’s laws on LLCs. To this effect, you must ensure that you chose a name that does not conflict with an existing business entity and above all, it shouldn’t contain any words or phrases that are prohibited by your state.
The truth is that you may have to satisfy the naming rules of another state if you decide to transfer your already established limited liability company there. There is no right or wrong way of naming your LLC as long as the name doesn’t violate any law but here are a few tips to get it right;
- Its possible to have one legal name and more than one assumed name
You can only have one legal name for your business, but you can add as many assumed or DBA (Doing Business As) names as possible. For example, if your business name is JUST PARTY EVENTS, you could file a DBA to do business as Best Sisters. Of course, you can use your DBAs on your website and your promotional gadgets such as brochures and flyers.
- Let your business name be distinguishable
You need to come up with a business that is distinguishable from the names of other entities that have already been recorded by the state. For some states, your DBA also has to be a distinguishable one. It is therefore imperative to check on the requirements first before coming up with a name or a DBA.
- Let your business name have the correct word.
Most states require that the legal business name of your limited liability company or corporation include words that indicate the business structure. For example, business names for LLCs typically include words such as “Limited Company”, and “Limited Liability Company” as well as abbreviations like LLC, L.L.C, LC, L.C, and Ltd.
- Avoid restricted and prohibited words
Some states consider certain words inappropriate for business names. Other names may also be prohibited from being used by businesses because they could be misleading to the general public. For example, states will not accept the word “Bank” on a business that is not a bank. Similarly, a limited liability company can’t have the word “corporation” on it.
- Adopt a fictitious name if your LLC’s name is not available
If you move to a new state and find out the legal name of your business cannot be used in that state, you will be expected to adopt a fictitious name for your LLC. However, this fictitious name is expected to be outlined in the application for authority that you file to qualify in the state.
- Choose a memorable name
Finally, you need to choose a memorable name that you think can add value to your business. The trick is to get a business name that can help your potential clients easily understand what you do and how they can always find you.