How to Change an LLC Name (Based on Our Experience)

As a business owner changing your Limited Liability Company (LLC) name is a major step; however, sometimes it can be necessary.

The good news is, changing the name is easy and can be accomplished in a few steps, but first, let me walk you through why you would want to change your LLC name.

Why Change Your LLC Name?

There may be a variety of reasons why you, an LLC owner, would want to change your name:

1. You may have just started your business with an LLC, but you are unhappy with the name.
2. You are selling a specific product or service under your LLC name but are not happy about it.
3. Your company is expanding to offer different products and services you feel the current name does not fit.
4. You are concerned about the public image of your company.
5. You have a trademark or other legal concerns with a potential lawsuit.
6. Your LLC name is not unique enough for search engine optimization purposes.
7. Your name was misspelled

How To Change Your LLC Name?

To change the name of your LLC, you must follow several steps after approving a “Resolution to Change Business Name,” a formally documented step taken by the company to change its name, after getting approval through a vote from its members.

The following steps are:

Step 1: File a name change with the Secretary of State's office of your state

The Secretary of State's office is where all business entity documents must be submitted.

This includes details on how to make a Limited Liability Company name change.

To change your firm’s name, you'll need to file an updated Articles of Organization with the Secretary of State's office, which will contain the new company name.

In several states, this document is called an Article of Amendment.

Step 2: Send out a name change letter to all vendors or service providers of your business

Notifying everyone of the newly legal business name is important so that there are no billing issues in the future and legal reasons should any disputes arise after the name change.

Step 3: File for a Trade Name with the Internal Revenue Service (IRS)

You can apply for an EIN online, but keep in mind that the IRS will then provide you with an Employer Identification Number (EIN).

If your firm is a single proprietorship, you are not required to have an EIN or a Federal Tax ID number.

After you've completed all of these forms, make sure to keep copies for yourself since you'll need to send them to your lenders if you have a business loan or credit card debt.

Step 4: Inform Banks of the Legal Name Change

As I mentioned before, it is important to notify all banks and financial institutions of the new LLC name to avoid billing issues in future transactions to your business bank account or legal disputes about who owes what.

Changing the name on your business bank accounts will help you order new checks and credit cards.

Step 5: Check your new name on the internet for availability

Even though you have filed to change your LLC name with the state, there is no guarantee that someone else is not already using it on the internet.

You may want to check for this by performing an LLC search on Google or checking your business's social media profiles.

Step 6: If your LLC name has been "claimed" by someone else, you have a few options

You can contact the person and negotiate an LLC trade name or file for a Federal Trade Name (FBN) with the IRS.

You may also want to consider filing for an alternative business structure such as a corporation.

Step 7: Make sure to update your company LLC documentation and other vital documents with the new name

This means notifying your business insurance company, bank, accountant, and other service providers of the change.

Step 8: Update Your Business Cards and Marketing Materials

Although this may seem like a straightforward process, you must keep all marketing materials up to date since potential customers could still be searching for your company under the old name.

Step 9: Update the Name and Address on Your Federal Tax Returns

This is especially crucial because if you do not submit a tax return for three years in a row, your company will no longer exist as a legal entity.

Step 10: Make sure to update any government forms that require the company name

The majority of states do not allow unqualified people to work in the tax preparation industry. However, you must still get your business certified with the state board of equalization or obtain new business licenses.

Step 11: Don't forget to amend your LLC operating agreement

If you have the LLC's operating agreement, it is important to file an Amendment to Operating Agreement with your state.

Like with the Articles of Amendment, this form will also need to be filed with the Secretary of State's office and include a list of all members and their signatures.

As a business owner, these steps can be a bit too much.

However, another alternative to consider is filing for a fictitious name, also known as DBA.

Alternative Option: Filing for a Fictitious Name

For a business owner to change their business name, you will need to register for a Fictitious Name or DBA (Doing Business As) with your local business license office.

The new business name must be distinguishable from the existing names of other business entities already on file.

Ensure the Fictitious Name or DBA document is filed before you file Articles of Amendment, Articles of Organization, or Articles of Incorporation.

Related Articles:

• Can My LLC Have Multiple DBAs
• LLC Resolution: What You Need to Know
• What Does LLC Mean After a Business Name

FAQs

LLC Name Change: Conclusion

To summarize, if you're convinced that your LLC name is correct for good reasons, don't wait.

If you still have concerns about changing the business name, do not hesitate to contact IncFile.