LLC Answers

When starting an LLC, you should always spend quality time coming up with a proper name for your LLC  business.  Your first analysis should be business driven.  Come up with a name that will be suitable and advantageous for your business.

Most businesses will use their name as a brand to promote and advertise their products or services so this name becomes very important as you develop branding for your company.  However, for some businesses, the LLC name itself if not important as the LLC will be using other names (called DBAs) for their marketing.  For example, if a group of business owners get together to form an LLC to finance ventures, they may call the LLC ABC Holdings, LLC or ABC Investments, LLC.

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Once you have come up with one or several potential names you like from a business perspective, you must check to see if the names are available in the state where you intend on forming your LLC.  In every state, you cannot use a name that is already registered with the state by another business.  Thees rules differ in each state.  Some will only prevent use if there is another LLC using it.  Others do not allow a name if another LLC or corporation registered in that state is using it.  While a few even prevent you from using fictitious name filings that are the same as your intended name.

Now, the inquiry goes beyond names that are identical because many states disallow names that are similar to another name.  This gets tricky because some states are very anal about finding names to be similar while others are quite lax.

You can call your state agency to find out the best way to work with them on confirming name availability or some reputable online LLC formation services offer this service for a small fee or even free in some cases.  The LLC Expert offers a Free Name Search in most states: Just Click Here and look for the box on the right to conduct a name search.

Name search is just the first step when starting an LLC.  Make sure you understand this process and requirements and insist on a proper LLC formation to ensure you are gaining the personal liability protection afforded by this type of legal entity.