Updated November 12, 2020:

Should I use my name for LLC? There are different scenarios in which it's appropriate to use your name for a business. But before choosing a name, think carefully about the type of business you are starting and its future potential.

Why You Shouldn't Use Your Name for Your LLC

If you are a sole proprietor and operate the business by yourself, it is appropriate to use your name for the business. Professionals such as coaches, artists, writers, musicians, and others can name their businesses after themselves. It helps relate your products directly to you. However, if your business operations involve producing goods for sale, and you intend to form a company, it's better to use a different name for the following reasons:

  • Your name might not be memorable, making it difficult for customers to remember it when they need your services or products.
  • When the business starts growing, the name might become inappropriate for its size. For example, it might come as a shock for longtime customers if you hire a receptionist who answers the phone by her name rather than yours, which was what customers were used to when you were the only person working for the business.
  • It limits the business's growth potential. Because you don't know how large you can grow, it's better to choose a name that can accommodate any possibility the future might bring.
  • It becomes difficult to keep up with customer expectations as the business grows. This is because people buying your products and services might believe they will be interacting directly with you when they require your products or services because the company bears your name. A fictitious business name might help you solve this issue.
  • Strangers will jump to wrong conclusions about the kind of person you are based on the quality of your service delivery. If your business operates under your name, you will be under continuous pressure to keep the bar flying high. In other words, strangers will find it difficult to see you as a separate person from your business. To avoid such problems, it is better to operate the business under an assumed name, also known as "doing business as" or DBA.
  • If you decide to sell the company in the future, you will transfer your name along with the business. If the new owners of the business reduce the quality of the product or service delivery, your reputation along with the company's will suffer.

If you need more information about using your name for LLC, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.