Do I Need a DBA for an Online Business?

As a general rule, you don’t need to file a DBA just because you have an online business. This answer can change based on what you sell and how you market your business online.

As a result, there are situations where you may need (or want) to register a DBA for your online business.

When Do I Need to File a DBA for an Online Business?

If your online business name is the same as your business's official name, you don’t need to file a DBA. But if any of the following situations apply to you, then you should consider registering a DBA for your business.

Selling Products Regulated by the Government

If you’re selling a product that’s regulated by the government, such as tobacco, alcohol or health products, you’ll almost always need some type of business license. These licenses may exist at the federal, state and/or local level. Depending on how you operate and market your business, you may also need to file a DBA in addition to getting a business license. This is particularly true if your online business uses a trade or business name that’s different from the legal name of your business.

Selling Products as a Branded Name

Selling someone else’s branded products online doesn’t mean you need to register a DBA. However, you might need to file a DBA if you’re selling one of your products with a name or brand that’s different from your business's official name.

Platform Requirements

Of the major online selling platforms, such as Amazon, Shopify, Etsy, or Mercari, none of them require you to file a DBA to sell on their websites. Yet this doesn’t mean an online selling platform isn’t allowed to impose such a requirement. You should check the terms of service and other selling requirements if you’re not sure about your current online selling platform.

Should I Get a DBA as a Sole Proprietor, or If I Already Have an LLC?

Structuring your business as a sole proprietorship, corporation, or limited liability company (LLC) will not typically require you to create a legal requirement for you to file a DBA. The DBA requirement often arises if you’re using a business name online (or anywhere else) different from your legal business name.

One of the reasons people think they might need DBA is because they think it will offer liability or legal protection in case their business gets into legal or financial trouble. For example, if someone wants to sue a corporation or LLC, unless the plaintiff can pierce the corporate veil, the owners of the corporation or LLC won’t need to worry about being personally liable for the debts or legal liabilities of the business they own. Filing a DBA doesn’t offer this or any other legal liability protection.

For What Online Businesses Do I Need a DBA?

You need a DBA for your online business if it carries out its operations using a name different from your business's legal name. For example, if your business’s official name is “Archie Computer Development, LLC” but you sell custom gaming computers online as “Hardware Gameware Tech,” then you need a DBA. So it’s this business name discrepancy that creates the legal need to register a DBA, not where you sell on the Internet.

That being said, there could be nuances to your business. Or there could be policies of specific online platforms where it might be a good idea to file a DBA, even if it’s not legally required. For more information, please see:

Can a DBA Protect My Online Business Name?

No, it can’t. The only thing that can stop someone else from taking your online business name is to get a trademark for it.

Many online selling sites that allow you to have a custom shop name may stop someone else from taking the exact online shop name as you. However, even with these policies in place, they may not stop someone else from creating a very similar online business name as yours. For example, on Etsy, if your shop name was “Cardmaker Shoppe,” someone else could create an Etsy shop called “Cardmaker’s Shoppe.”

Where Can I Apply for a DBA?

The answer depends on your local jurisdiction requirements. This means you need to check with your state, county, and municipality to see what their DBA filing requirements are. Often, you’ll need to go to your local county or court clerk, where your online business is located, to file a DBA. Many state or local government websites will list out the specific requirements and steps needed to file a DBA.

Conclusion

You don’t need to file or register a DBA just because you operate an online business. The legal requirement to get a DBA usually applies if you’re running a business using a name that’s different from the business's legal name. But there might be certain situations where registering a DBA for your business is a smart thing, even if it’s not required.