If you are operating a business under a trade name in the state of California, you should know what the business law requirements are for your Fictitious Business Name (FBN) – or DBA (Doing Business As). According to California Business & Professions Code §17920, all DBAs will expire every five years from the filing date.
There is no way around timely renewal, it is required by law for every type of business that is using any name that differs from its legal name, whether you are in the restaurant business, the bar business, the boutique business, the café business or a service business. Not renewing in time can also create banking issues, licensing problems, and costly compliance issues.
Why DBA Renewal Matters for California Businesses
Not renewing your DBA doesn’t just affect your registration of business, but it can also affect your daily operations. Here’s why business compliance and business law in California should be on your radar:
- Bank Issues: Checks and/or deposits might be rejected by banks when linked to an expired DBA.
- Licensing Delays: The California Department of Alcoholic Beverage Control (ABC) validates DBAs with licenses during transfers or renewals.
- Vendors and Landlord Liabilities: Landlords and vendors often require proof of an active DBA before renewing a lease or a contract.
- Added Costs: Not renewing your DBA could mean starting the process from the beginning and taking on these time-consuming steps and costs.
Who Needs to File or Renew a DBA?
In California, a valid DBA must be filed for any business operating under a name different from its legal entity name. This applies without fail, whether your business is in Los Angeles, San Francisco, Alameda, Santa Clara, or San Mateo County.
Sadly, many owners forget about the expiration marker, only to find their DBA is lapsed when they come to complete a transaction or file documentation.
How a Business Law Attorney Can Help
A business law attorney can ease the DBA renewal process and help guarantee compliance with California’s law. An experienced attorney can:
- Verify the expiration and filing information for your DBA.
- Prepare and file renewal paperwork in the appropriate county.
- Handle publication requirements.
- Advise you on business law compliance as a whole to protect your business operations and brand.
Stay Compliant and Protect Your Business
At Strategy Law LLP, our business lawyers assist entrepreneurs, startups, and companies in California with DBA renewals and other compliance matters, with confidence and ease. We prepare and handle the paperwork; monitor deadlines; and ensure your filings comply with county and state rules, while you focus on running your business.
If your DBA is nearing expiration or you are unsure of the status, contact us today. We will confirm your filing, handle the renewal, and help you comply with California business law.
