Fictitious Name Use
What if the entrepreneur wants to use a name that is not the same as the name used when the company originally organized? There can be a variety of reasons for this. Maybe the business added another division, or maybe the company now has a nickname. Now what? Because filing documents with the Department of State gives people access to information, one needs to be transparent. If the entrepreneur will be, or is, operating under another name, a document must be filed to let the public know. For entities that are not required to file organizational documents, such as sole proprietors and partnerships, filing a fictitious name is equally important.
If a business fails to register its name, it violates the Pennsylvania Consumer Protection Law which means it will incur civil penalties.
📖 Read this excellent article by Elikem Tsikata, Pennsylvania’s Fictitious Names Act – What you need to know, Inside Entrepreneurship Law blog (Nov. 11, 2019).
💡Would you cover name selection in your first meeting? Why or why not?