Legal Question in Business Law in California
Can a sole proprietory dba business operate with another dba, (e.g. Bank Vehicle Recovery dba Fire and Ice Transport)? BVR is providing the business licenses and insurance and FIT is providing the business through their clients. The business agreements between service provider and clients will be entered into under BVR's license and issurance, but services and billing will be done and submitted by FIT. The clients need to see that FIT is a part of BVR for legal and accounting purposes. How would we go about doing this legally.
1 Answer from Attorneys
A sole proprietor dba identifies an individual "doing business as" a business trade name. In this situation, the same person can operate dba's as BVR and FIT, but BVR can't file a dba as FIT.
So, one way to do it is have the individual file dba's for BVR and FIT, then explain to clients FIT and BVR are owned by the same person. This would be the least expensive approach.
Another would be to form multiple entities, like a partnership, with two partners - FIT and BVR, perhaps one being a corporation or LLC. There are a host of alternatives, but these get complicated and hence costly.
Consult with a local business attorney in your area for specifics.
Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise
Franchise Attorney