Doing Business As / Trade Name / Assumed Name For Your Aged Shelf Company
Ask for the list of shelf companies at firstname.lastname@example.org
There are times when the name of the shelf company isn’t exactly what you wanted, or the name doesn’t exactly match your industry. There’s an easy solution for this.
The DBA And The Employer Identification Number (Ein)
If you already have the EIN for the company and the bank account is opened, then update the IRS and the bank about the DBA. We’re not tax advisors here. You may ask your tax advisor about IRS Form 8822b.
Then you update the lenders, the telephone service provider, the internet service provider, the landlord of your commercial space or virtual office, and anyone else that does business with the company. You want to make sure that anyone who reports business credit to the business credit bureaus will report information on the original company name and the DBA.
If the EIN is not yet applied for, then include the company name and the DBA on the EIN application. Then when the bank account is opened, the bank will acknowledge the original company name and the DBA. Then do the same with everyone and every organization that does business with your company. Consistency here is key. Your goal is that all public sources of information about your company are consistent with the information on the loan application.
Should you change the name of the company or obtain a DBA?
A change of name may be considered by loan underwriters as a reset of the age of the company. This is usually done by filing an amendment with the Secretary of State where the company was originally filed. Such an amendment may trigger the reset of the respected age to zero.
For the age of the company to stick, don’t change the name of the company. You’re much better off filing for a DBA. In this way, the original name of the company remains unchanged and you’re able to use the DBA name in marketing efforts.
Foreign Filing and Name Availability Issues, & the Free DBA
I bought an aged shelf company and then the state where I am foreign filing (qualifying the company to do business) already has that name occupied. What should I do?
Let’s say you acquired an aged New Mexico LLC and then you seek to file the company into Texas. The name of your aged shelf company is already taken in Texas. What are you to do? This is easy. Texas will grant you an alternate name to do business in Texas. If that name is available, you’ll be able to use that alternate name as a DBA. That DBA is free. The state will grant you a free DBA because you’re filing the out-of-state company into TX, and they also want to resolve the name conflict by granting you an alternative name. So, you’re getting the DBA for free. Other states do the same. California, New York, Florida, and the rest of the states do the same thing. They seek to attract business into their state to increase their tax base.
Remember that other states attract business to their state. They encourage out-of-state (foreign) companies to file into their state so they can generate tax revenue. Your out-of-state shelf company has the same rights and responsibility as any other company that’s domestic in that state.
Thank you for reading about our clean aged shelf companies and how to use the DBA to your advantage.
For a list of our clean aged shelf companies, please email us at Assetprofile@gmail.com.