How to File a DBA in Minnesota

Seller at a candy shop in Minnesota file a DBA

Choosing the right business name is an important step in establishing a strong brand identity when starting a business in Minnesota. The best name isn’t necessarily the official one registered with the Minnesota Secretary of State. Sometimes you need a different name for establishing a brand and reaching customers.

Should you want to use a name other than your business’s official one, you can file a DBA or assumed name. Here’s how to file a DBA in Minnesota.

What is a DBA?

A DBA lets your business operate using a name different from its “legal” one, which is the name registered with the state (or your full name if a sole proprietor). You can use a DBA name as your business name for almost everything except official state business. Use it to open bank accounts, brand and market, sell goods or services, and more.

DBA vs. Assumed Name

In Minnesota, the terms “DBA” and “assumed name” are used interchangeably. Both refer to a business name that’s not the official one registered with the state.

“Doing business as,” “trade name” and assumed name are other terms you might hear, but Minnesota mostly sticks to DBA and assumed name.

Benefits of a DBA

There are several benefits to using a DBA, which make this a potentially good option for any business:

  • Any business structure: Any type of business can file a DBA, including sole proprietors. There’s no need to form an LLC simply to use an assumed name.
  • No EIN requirement: There’s also no requirement to have an EIN (employer identification number). Most LLCs will have one, but sole proprietors can obtain a DBA without getting an EIN.
  • No designator requirement: Unlike official names, DBAs don’t have to include a designator like “LLC” or “Corporation.” These businesses can market using a more natural business name.
  • Credibility: A DBA can make your business seem more established, especially for sole proprietorships who’d otherwise use their full name.

Disadvantages of a DBA

That isn’t to say a DBA does everything. It’s important to understand the limitations of a DBA:

  • Not exclusive: In Minnesota, a DBA doesn’t grant your business exclusive rights to use the business name (see below).
  • No liability protection: Since a DBA doesn’t create a separate legal business, it doesn’t offer liability protection for personal assets. Sole proprietors remain personally liable for business debts.
  • No Tax Benefits: A DBA also doesn’t have any tax benefits, since it’s not creating a separate legal business.

Ownership of business names in Minnesota

Minnesota’s rules regarding the use of an assumed name are slightly complex.

First and most straightforward, your business can’t use an assumed name that’s the officially registered name of another business. This doesn’t include other business’s DBAs.

Filing a DBA for an assumed name doesn’t necessarily give your business exclusive rights to the assumed name, per the Certificate of Assumed Name application. In order to register an assumed name that’s already registered by another business, however, the first business must give consent to the second registration. This is done by completing a Consent to Use of Name form.

Who needs a DBA in Minnesota?

Minnesota clearly states the situations where a business must file a DBA/assumed name:

  • Sole proprietors: Must file if not using their full name in their business name. “John Doe,” and “John Doe Plumbing” don’t require a DBA. “Doe Plumbing,” or “Plumbing by John” do require a DBA.
  • LLCs, Corporations and Limited Partnerships: Must file if not using one of the required designators in their business name. A designator such as “LLC,” “Inc,” or “LLP” is otherwise required. The same applies to limited partnerships.
  • Partnerships: Must file if not using each partner’s full name. Otherwise, each partner’s full name has to be included in the business name.
  • Any business: Must file if not using the “legal” name that’s officially registered with the Minnesota Secretary of State.

Consequences for operating with a DBA without registration

When a DBA is required, it must be registered before using the assumed name. Failing to register a DBA might result in several potential consequences.

The most prevalent risk is that another business that has already registered the name sues your business. A lawsuit could force you to stop using the name, and possibly pay restitution for any negative impact on the other business. You’d then need to start over branding under a new name.

The state could also assess fines or other penalties, depending on the length and severity of the violation.

Tax considerations

Registering a DBA doesn’t affect how your business is taxed. Your tax obligations remain the same.

Filing a DBA in Minnesota

Minnesota has a couple of unique criteria for DBAs. The process is still pretty straightforward and affordable, though.

Minnesota's name requirements

All assumed names must meet Minnesota’s general requirements for business names:

  • Distinguishable: An assumed name must be distinguishable from any business’s official name, and from any registered assumed business name unless a Consent to Use of Name form is completed. Distinguishable is defined as having at least one letter or number different from a registered official name or assumed name.
  • Restricted words: Certain words are restricted to the businesses that offer these services or products. For example, “bank” and “university” can only be used if they accurately describe your business. Designators such as “LLC” and “Corporation” are similarly restricted to businesses with the appropriate legal structure.
  • Prohibited words: Words that would insinuate a government affiliation, such as “Treasury” or “State Department” are prohibited.

Begin with a Minnesota Assumed Name Search

You first need to check whether a business name is already registered by another Minnesota business. A Minnesota assumed name search is the best way to do this.

To conduct a Minnesota assumed name search, go to the Search Business Filings page on the Minnesota Secretary of State’s website. In the options, select “contains,” “active,” and “include” for prior names. Then search your business name in quotes. The search will automatically eliminate any punctuation, focusing just on the letters and numbers that comprise business names.

If the search returns a result that matches your preferred business name, you have three options: request consent from the other business, adjust your name slightly so it’s distinguishable, or use an altogether different assumed business name.

Steps to register your Minnesota DBA

Step 1: Complete and submit the Certificate of Assumed Name

You file a DBA by completing the Certificate of Assumed Name. The certificate (application) is fairly short, with the print form comprising three pages of basic questions. You can complete and submit this online or by mail (see below).

Step 2: Pay the filing fee

You’ll need to pay the filing fee when submitting the certificate. The filing fee is $30 if filing by mail. It’s $50 if filing online or in person, but these options get immediately processed. Filing by mail will take a few days to process.

Step 3: Publish your certificate in a newspaper

Once you receive a copy of your approved assumed name certificate, you must publish the certificate in a local, legal newspaper. This requirement is unique to Minnesota.

You can download a current list of approved newspapers from the Assumed Name/DBA page; click on “Legal Newspaper” toward the end of the page. You must use a paper that’s located within the county where your business’s primary address is.

Your assumed name certificate must be published in two consecutive issues, whether that’s daily, weekly or some other frequency. Papers charge different rates for publishing, so you might want to compare rates at a few local papers.

After publishing your certificate, your business’s assumed name can be used. The newspaper will provide a publication affidavit, which you should keep with your business’s records.

Step 4: Renew your Assumed Name

Assumed names must be renewed annually. You can renew by submitting the Assumed Name Annual Renewal Form, or online through Business Filings.

There’s no fee for renewing, as long as you do so before your assumed name certificate expires. The fee is $25 for mail-in filings, or $45 for in-person or online filing. The fee only applies if you don’t renew in time, however.

Filing online, by mail, or in person

Filing by mail is the cheapest way to register an assumed name, but it’s also the slowest. Not only do you have to wait for the Secretary of State to receive the certificate, but processing takes a few days. The fee is $30 if filing by mail. Use the paper form.

Mail-in applications should be sent to:

Minnesota Secretary of State – Business Services
First National Bank Building
332 Minnesota Street, Suite N201
Saint Paul, MN 55101

Filing in person costs $50, but your application will be processed immediately. Bring the paper form to the same address.

Online applications also cost $50, and are also processed immediately upon submission. You can do so through the Business Filings page (account required).

Conclusion

Filing an assumed name will let your Minnesota business use a different name, likely one which will resonate better with customers. Start the filing process today, and you could be branding under a more effective name shortly.

FAQs

No, not all businesses in Minnesota need to have a DBA. It’s required if you’re a sole proprietor not using your full name, an LLC or corporation not using a designator, or a partnership not using each partner’s full name. You also need an assumed name if you use a business name other than your officially registered one for some other reason.

The filing fee for a Minnesota DBA is $50 for online or in-person submissions, and $30 for mail-in filings. Most newspapers will also charge for publishing the assumed name certificate twice.

Yes, assumed names in Minnesota are good for only one year. You’ll have to renew a DBA annually, although there’s no fee if you renew before your current assumed name registration expires.