When starting a business, you’ll face a flurry of legal terms, processes, and decisions. One particular decision that often stumps new business owners is whether to use a Doing Business As (DBA) name or register a trademark. While both play valuable roles in shaping your business identity, they serve very different purposes.
Many entrepreneurs wonder if they need a DBA, a trademark, or both. The answer depends on your specific business situation. That’s why it’s crucial to understand the differences between these two options before choosing.
To help you decide, we’ll give you an overview of the distinction between DBAs and trademarks, their benefits, and how they might apply to your business. We’ll also address the famous question: Can you trademark a DBA? Let’s start by clearing up the confusion between DBAs and trademarks.
What’s the Difference Between a DBA and a Trademark?
A DBA, which stands for “Doing Business As,” is a business nickname. Also known as a fictitious name, assumed name, or trade name, a DBA is an alternative name to operate your company in place of its legal, registered business name. For example, Jane Smith owns a registered company called “Smith Media LLC”. If she wants to open a pastry shop, Smith Media isn’t a great name to operate under so she could register “Jane’s Tasty Pastries” as a DBA.
DBAs are typically registered with your local or state government and allow you to operate under this alternate name. They’re helpful if you want to use a catchy name for marketing purposes or have multiple businesses under one legal entity.
On the other hand, a trademark is all about protecting your brand. It’s a form of intellectual property that safeguards your business name, logo, slogan, sounds, designs or a combination of these from being used by others. When you trademark a brand asset, you’re essentially calling dibs on that particular name or symbol within your industry.
Trademarks are registered at the federal level with the United States Patent and Trademark Office (USPTO). They give you exclusive rights to use that name or logo in connection with your goods or services. Trademarks allow you to take legal action if someone tries to use the same or similar name, logo or other registered marks that might confuse customers in the marketplace.
Can you Trademark a DBA?
Now that we’re clear on the difference between DBAs and trademarks, let’s tackle the big question: Can you trademark a DBA? The answer is yes. You can trademark a DBA or Fictitious Business Name, just like you can for any other unique signifier of your brand.
It’s important to note that a DBA itself isn’t automatically protected: it’s just an alias you’re allowed to use for your business. However, if you’re using your DBA as a brand name to sell goods or services, you can apply for trademark protection for that name. The key is that you’re actively using the name in commerce, one of the main criteria for trademarking a name or asset.
The USPTO doesn’t care whether the name you want to trademark is your legal business name, a DBA, or something else entirely. What matters is that you’re using it as a unique identifier for your products or services in the marketplace.
That said, note that just because you’ve registered a DBA doesn’t mean you’ll automatically get trademark approval. The USPTO has its own rules and will examine your application to ensure it ticks all the right regulatory boxes.
They’ll usually check if the name is distinctive enough and not too similar to existing trademarks. So, while you can certainly try to trademark your DBA, success isn’t guaranteed. Doing a thorough trademark search before you apply is always a good idea. You can use our free trademark search tool for that. Alternatively, consult a trademark attorney for professional opinion and assistance.
What are the Benefits of Trademarking Your Business Name?
We encounter thousands of products and services every day. However, brands with registered trademarks are the ones that grow into household names, the ones we remember and recommend to our friends. Trademarking your business name ensures that you, and only you, have the right to use that name in your industry. It means you can build a trusted and recognized brand without competitors and copycats harming your image.
Let’s look at the benefits of registering a trademark:
- Brand Protection: A trademark acts as a robust shield for your brand. It prevents imitators from using your designs or name for similar products, ensuring the uniqueness and integrity of your brand.
- Exclusive Rights: With a federal trademark, you have dibs on your business name or logo across the U.S.
- Added Value: A well-known trademark can be a goldmine if you want to franchise or sell your business.
- Reputation Builder: Your trademark represents your brand’s identity, helping build customer trust.
- The Power of ®: That little symbol tells the world your brand is legit and inspires trust and confidence among customers.
- Legal Protection: You can sue if someone tries to copy your trademark. The government can even stop the importation of counterfeits or imitations of your registered products at the border.
Cost of a DBA vs Cost of a Trademark
The cost of registering a DBA varies depending on the state you operate within and the local regulations. However, you can expect to pay anywhere from $10 to $100 for registration.
It’s important to note that some jurisdictions require periodic renewal of your DBA registration. This means you may need to pay additional fees over time to keep your DBA active.
The cost of a trademark, on the other hand, depends on your application filing type and the number of goods and services in your application. When filing your application on the USPTO website, the two filing types are TEAS Plus and TEAS Standard, which cost $250 and $350 at the time of writing.
So, for example, if you use the TEAS Plus option and file two classes of goods or services, you’ll pay $500—that is $250 x 2.
Note that there’s also a periodic maintenance fee with trademarks. Every ten years, you must submit some documents alongside a renewal fee. This fee is currently $525 per class of goods or services in your initial application. So, if you have two classes of goods, you’ll pay $1050 ($525 x 2) every ten years in trademark renewal fees.
Wrapping Up
While DBAs and trademarks serve different purposes, they play critical roles in your business strategy. A DBA allows you to operate under an alias, providing more flexibility and some marketing advantages.
A trademark, on the other hand, offers legal protection for your brand identity. And yes, you can trademark a DBA if you use it as a brand name in commerce, though approval isn’t guaranteed. Set out on your business journey today with our Trademark Research services to validate your name as uniquely yours.
