Considerations for Choosing a Fictitious Business Name in Chicago
Starting a business often requires choosing a fictitious business name under which you will operate3 min read
Starting a business often requires choosing a fictitious business name under which you will operate. This is especially important if you are forming a limited liability company, as state laws dictate how an LLC is structured and named. When registering a fictitious business name in Chicago, there are a few key considerations to be aware of. From picking an original name to understanding local licensing requirements, picking a fictitious business name in Chicago takes some thought and planning.
Before beginning the process of selecting a fictitious business name, it’s important to understand exactly why a fictitious business name is often a necessity. The primary purpose of selecting a fictitious business name is to make sure that you are in compliance with local laws and regulations. In Chicago, many businesses are legally required to register their fictitious business name with the Department of Business Affairs and Consumer Protection or the Secretary of State. By registering a fictitious business name, you are ensuring that all services associated with the business are legally compliant and later, when the business is established, you can apply for licensing and other related permits.
However, before the registration process can begin, it’s essential to select a fictitious business name that meets the standard expectations for such a name. These standards vary from state to state, but generally, all fictitious business names should include the words “limited liability company (LLC)” or “incorporated” in some form. Additionally, it’s a good idea to make sure the fictitious business name is an original one for your business so that it stands out from other businesses with similar names.
The following are among the top five key considerations when selecting a fictitious business name in Chicago:
1. Create an Original Name: The most important thing to consider when choosing a fictitious business name is its originality. It's highly recommended that you don’t just copy a name of an existing business because this could lead to confusion between the two businesses. Also, make sure to check beforehand that the name isn't already trademarked or similar to another business in the same industry.
2. Comply With Local Regulations: When selecting a fictitious business name, be sure to familiarize yourself with local regulations and legal restrictions in order to make sure you are in compliance with all necessary rules. In Chicago, these regulations can vary from state to state so it's important to check with the Secretary of State or the Department of Business Affairs and Consumer Protection for more information.
3. Consider Length and Aesthetics: It's important to consider both the length of the name and its aesthetics when selecting a fictitious business name. A short name is always preferable because it's easier to remember and less likely to be confused with similar businesses. Additionally, think about how it sounds when spoken aloud and whether or not the name captures the essence of the business.
4. Research Competitor Names: Before making a final decision on the fictitious business name, do some research to make sure the name you’ve chosen isn’t already used by one of your competitors. This is especially true if you plan to establish an online presence for your business as digital trademarks are much easier to search than manual ones.
5. Seek Professional Advice: If you're not sure how to go about selecting a fictitious business name, seeking professional advice can be extremely helpful. The experienced attorneys at UpCounsel who specialize in providing counsel to small businesses in Chicago can help you understand the limitations of selecting a fictitious business name and provide guidance throughout the process.
Choosing a fictitious business name is an important step for businesses of all sizes in Chicago. By understanding local regulations, selecting an original, aesthetically pleasing name, researching competitor names and seeking professional advice, you can make sure you’ve selected the perfect name for your business.
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