So, in short, you need to register as a DBA. My company, Anonymous, Inc. has several DBA's, websites, etc. A biggest portion of DBA's is the parent company. The parent company Anonymous, Inc. may have Anonymous Services, Inc., Anonymous Systems, Inc., Anonymous Management Company, etc. But all the money goes to each DBA. Let me explain:
A customer wants to purchase an item from the DBA Anonymous Services, Inc. The customer pays their money through the online purchase site. The money goes to account #1234567890 for Anonymous Services, Inc. The parent company, Anonymous, Inc. can legally move the money from one profitable company, in this case Anonymous Services, Inc. to a not profitable company, Anonymous Management Company. This is a great way to "balance" accounts between the companies. It can lead to problems, though. ever heard of Enron? You MUST be careful.
Banks REQUIRE a DBA name and registration with IRS before opening accounts for said company. So, the DBA MUST be registered with local, state, etc. before accepting funds to ANY account, including a Paypal account, or the IRS gets jealous.
However, a sole proprietor, albeit not a smart company organization due to lawsuit laws, has benefits that the others do not. You can register a number of "companies" under one Employee Identificaiton Number, or your Social Security Number if you are the only employee. If you have more than one employee and they receive a paycheck from the company, you can have one EIN set up by the parent company. The catch is strict rules on IRS filings.
In short, there's all sorts of rules, regulations and tax codes that forbid any company from recieving funds and not reporting it. Be careful in a DBA. You MUST register it - and file religiously.
Don't just take my word for it, check with a tax attorney/lawyer. They are great sources of information. Try to find one that sets up new companies and has a good track record.
Garrett
CCNA
"The only knowledge you need is that which you do not have. Keeping what you have is the hard part.
