I've got a small advertisement on my site that makes about 15.00-35.00 a month. The company send a check out once a month that includes my site's name as well as my full name. I've been cashing them at my local credit union for about a year now with zero issues until recently. They told me they would cash the check this time but I would need a DBA (Doing Business As) the next time. So does this sound about right for such a small amount of funds? I have consulted with my accountants and they tell me I don't have to report anything until I'm making 600.00-800.00 a year. Is anyone else out here with a similar small site having to get a DBA?
I just set up a business banking account and had to get a EIN, I also had to register my company name with the county register of deeds, but no liscensing or anything was needed.
I got a DBA document at the county clerk, and the bank used that and my personal SSN to open a business checking account. I later formed an LLC. what are the costs for an LLC in your state? compare to DBA costs.
It's pretty easy to setup an LLC in TX. Cost me a few hundred bucks and few hours of time. However, the downside is you have to pay a franchise tax. Being you only sell advertising, as do I, there is no balance due the state but it is something else that has to be done. An upside is that if something goes dreadfully wrong the LLC is liable, not you, so it protects your current assets like your house, in the event something goes dreadfully south.
Their actually wanting to switch over to paypal but I've got some uncahsed checks which the bank has already told me a needed a DBA the last time. I'm also starting to get some site supporters and figured I probably need to address this issue.
I don't as I have all my vendors make the check out to the company name if they go that route. Then vast majority of my vendors use PayPal to make payments to me. Even if they are not paypal members they can still use a CC as I have a business account.
