However, the government has become wise to these schemes and now requires that any business (small or large) needs to file a form indicating who their parent company is. This information becomes public and is both printed in the newspaper and on file at county offices. Any person can then go into the county office and obtain information about the parent company for whatever reason.

In the case of companies for whom their name and their different business's names are the same no paper work needs to be filed. If your business is called Grandma's Friends and it oversees another business known as Grandma's Friends, then you don't have anything to worry about. But if Grandma's Friends owns and or operates Jimmy's Auto you need to file what is called a DBA statement. DBA stands for "doing business as," and the from requires that you clarify the connections between your various businesses. You need to register your false name with the county.

This is especially important for sole proprietors whose name is not the same as their business name. If your name is John James and your business's name is anything different you will need to file a DBA. Although this might seem like a real hassle, the DBA is not difficult to file. All county offices should have DBA forms, and some county websites might have the form online. There is usually a small fee required for the application itself, but otherwise the process should be fairly painless. For most county offices this should be a fairly routine process, so it should not take you too much time. Shortly after you file the form the information will be printed in a newspaper so that the public can become aware of your status.

Failure to file a DBA could lead to penalties and fines. It could also lead to serious legal problems that could end your business. If you are unsure about whether you should file a DBA consult your local county clerks office. Do not assume that you know everything that you need to know or that you are able to sneak by the county. Eventually a customer or government official will catch up with you and then the consequences can be severe. If you have been running a business under a false name make sure that you file a DBA as quickly as you can.

Filing a DBA voluntarily will also help to show your local government and customers that you are responsible. It helps to show them that you are not trying to pull something over on them. In a time when so many people doubt the honesty of business, filing a DBA is both legally necessary and a good idea. Take a trip down to your local county office and learn more about the DBA form and its purpose.