What's Involved in Changing a Business Name

[Slaters Kustum Machines]

Hello,
My computer repair business is a Sole Proprietorship and when I came up with my business name I intended to focus on building custom computers, but quickly found that this route wouldn't get me far so I have decided to focus on computer repair with the computer building as a service I offer. With that I think I should change the business name to something with IT solutions or similar in the name. I can come up with the name that's not the problem. The problem is I don't know what the process is to change a business name. I am located in Iowa, United States. Thanks in advance.

Adam

 

[brock029]

Don't know how much this helps but in Texas, you just go to the county office you filed your DBA and fill out an assumed name abandonment form, then file for another DBA with your new name. So if your DBA is just for the one county or if your filed in multiple places give the county office a call and they should be able to tell you.

 

[Slaters Kustum Machines]

That sounds too easy, lol, but I will try it out, thanks.

 

[PCX]

ALOT is involved, especially if you have built a good name for your self. Advertising, branding, possible loss of business due to name change (you will gain it back 10 fold with the right now though), time that it takes to make all the necessary changes to inform your customers of those changes. Its a lot of work, which is why I have not gone that route yet.

 

[Paul Rodgers]

You need to notify companies that you have accounts with and see if they can update your account info.

My suggestion is to just set up another DBA and use it for the IT side. Then you can gradually phase out your old name while appealing to a larger market.

Are you planning on staying as a sole proprietor with a DBA or do you want to form an LLC/Corp?

 

[Slaters Kustum Machines]

Well I honestly don't have a lot of customers yet so I think I should get this done soon to avoid losing customers later. and I have thought about changing to an LLC. I think it would be better for my family just in case. Now that I have my first child on the way I need to think about that as well. Is there one person that I could pay to walk me through this? What would there title be?

 

[PCX]

A Lawyer.

=================

 

[Slaters Kustum Machines]

Fair enough.
FIIIIIIILLLLLLEEEEERRRRRR

 

[Driven1787]

Considering that you do not have a lot of current or past customers I would do as Paul suggested in a post above. File for another DBA (in Montana it is through the Secretary of State's office and not a county office...you will need to check to see what is applicable in Iowa) using your new business name and then phase out the 2nd business.

The reasons for this are:

1. If it is a fairly new business and you have not put a lot of time/money into establishing a brand image, logo, letterhead, business cards, etc. then you would probably be in a better position to make this change now. It would be a lot more difficult and extensive had you been operating for a considerable time, with a larger client base, or in a larger market.


2. It is a sole proprietorship. You can end the first business just as quick as you started it by filing the proper paperwork with the proper agency, establishing that you are no longer doing business under said name. (Of course you would already have your 2nd business operating at that time)

3. How big do you really expect your business to get? Do you foresee having employees and someday having other offices or branches? OR are you just intending this to be a "one man shop"? If you are going with the one man shop then I would just stick with the sole proprietorship. It is soooo much easier when it comes to taxes. If you expect that you will one day have employees and grow your business then I would definitely consider a different business structure such as an LC or LLC.

 

[SprinterTech-WI]

I would go S-Corp over LLC due to the tax breaks.... but that' just me
I'm still sole prop for another year... then switching to corp..... I have 4 employees now though so it does need to happen relatively soon.

 

[carrcomp]

I would go S-Corp over LLC due to the tax breaks.... but that' just me
I'm still sole prop for another year... then switching to corp..... I have 4 employees now though so it does need to happen relatively soon.

I'm in Canada so I suppose it's different here,

but on my own I'm making 50 000$/year, and LTD helps me with taxes.