For those who are thinking of setting up a business here in the Philippines, one of the many things they should do is register a “Doing Business As” or “DBA” name.
Also known as a “trade” or “brand” name, a Doing Business As name is used to advertise the business’ line of products and/or services to the public. This sets it apart from the legal business name registered by the owner with the Department of Trade & Industry or DTI, which is primarily used on legal documents such as official receipts and contracts.
While it is entirely possible for a business to operate under its legal name, DBA names give entrepreneurs more freedom to be creative at marketing their goods and services, making DBAs extremely helpful when drawing in more customers or clients. Doing Business As names, can be filed by all four major business formation types, from sole proprietorships, to LLCs, partnerships, and corporations.
Doing Business As names are not required by law to be registered. However, given the local market and business environment’s highly competitive nature, it is recommended that entrepreneurs register their brands — as well as other intangible assets such as trademarks, service marks, and patents — with the Intellectual Property Office of the Philippines (IPO). Though this adds an additional step in your journey towards setting up a business, the protection it affords you is extremely valuable.
Here are some of the most important things that entrepreneurs and aspiring business owners should know about DBAs.
Businesses need to stand out in a saturated market and a well thought out DBA name plays an important part in distinguishing you from competition. Just take a look at Google, Netflix, Twitter, and other companies and businesses whose brand names have become inseparable from the public’s consciousness.
Aspiring business owners — no matter their business ownership structure — should pick a name that not only describes the products and services they offer but also, one that is recognizable and will be easily recalled by their target consumers.
In addition, a good DBA name can help establish your business making it a more credible venture. This makes it more attractive to potential investors. Furthermore, banks and financial institutions may also become more receptive when it comes to providing you with additional financing should you decide to expand your business, if your brand has some traction in the industry.
Want to open a store specializing in vinyl records while operating a plant shop on the side? DBA names can make it easier for you to operate more than one business venture.
Multiple “DBA names” can be registered under one legal business name. Business owners who wish to expand their business or introduce new products under a different name can do so without creating a new legal entity. In effect, you could umbrella many trademarks or brands under 1 legal business name.
Provided your DBA name and other intangible assets meet the requirements set forth in Sec. 123.1 of the Intellectual Property Code, getting registered with the IPO is a relatively easy — if somewhat lengthy — undertaking.
You only need to submit the necessary application forms and then wait for the IPO to examine, review, and process the application. Upon approval, your trademarks will get published in the office’s official Gazette for 30 days in order to check for any opposition. If the application is not opposed, the brand and other trademarks will be awarded with a Certificate of Registration, which is valid for 10 years.
FilePino makes establishing a new business in the Philippines easy.
Founded by corporate experts such as lawyers, certified accountants, and business leaders, FilePino provides top-quality service for your business ventures.
From registering your business, to taking care of your bookkeeping and payroll needs, to helping you process your business expansion, and even providing legal consultation, FilePino will be with you every step of the way.
Call us today at +63.917.892.2337 or contact us here to get started.