LLC vs DBA

[David D'Ortona]

I am currently attending classes in order to start a home inspection business in the capitol region of New York State. I was wondering if any of you can explain the main differences of LLC vs DBA including the liability and the tax items.

Thank you,
DaveD

[Mark Nahrgang]

LLC is a corporate structure that limits your personal liability.

DBA is a way for you to legally use a particular name in your business. It's like a nicname.

For example: My company name is: "Solid Rock Inspections, LLC." However, I do business as (DBA) "Kingdom Inspection Network Group"

[Nick Gromicko]

www.nachi.org/inc.htm

[David Sorge]

Originally Posted by mnahrgang

LLC is a corporate structure that limits your personal liability.

LLC refers to tax liability and has little to do with personal liability.

[Mark Nahrgang]

Originally Posted by dsorge

LLC refers to tax liability and has little to do with personal liability.

You may want to check on that info a little bit David. I believe you are mistaken.

[David Sorge]

Originally Posted by mnahrgang

You may want to check on that info a little bit David. I believe you are mistaken.

I've been known to be mistaken Mark, but in this case it can't be by much

All things being equal, tax structure is a more important consideration when considerating a LLC verser other entities, particular in the context of our profession where there are many solo-artists.

[David Sorge]

...in fact, in the context of this thread, a DBA is not a business entity. Its an alias registered to a business and not much more.

[Kevin L. Luce]

Originally Posted by dsorge

...in fact, in the context of this thread, a DBA is not a business entity. Its an alias registered to a business and not much more.

I agree with the above statement.

When it comes to LLC, in the state of Indiana you will not be held responsible unless you don't do things correctly regarding how you run your business.

This link is one example of what we can do to prevent somebody from "piercing the veil".

http://ezinearticles.com/?Does-a-Sin...nt?&id=1290440

Note: My operating agreement is 10 pages.

[Eragorn Northe]

LLC - Limited Liability Company- this separates your personnel assets from your business assets completely.
DBA - Doing Business As
DBA- is added after you have formed your company,
to use a different company name.

[Larry D. Kage]

Originally Posted by David D'Ortona

I am currently attending classes in order to start a home inspection business in the capitol region of New York State. I was wondering if any of you can explain the main differences of LLC vs DBA including the liability and the tax items.

Thank you,
DaveD

Dave, as you can see, there are many opinions out there. It is best to seek counsel from your own business professionals (attorney, accountant, etc.).

[David D'Ortona]

Thank you guys. Accountant appointment required!!!