In late June of 2016, the North Carolina General Assembly adopted a bill to make it easier for businesses to search for and file assumed business names, also called “Doing Business As” names. The new law, titled the “Assumed Business Name Act,” will create a central registry of all assumed business names registered with the Corporations Division of the Office of the North Carolina Secretary of State. While this bill has an effective date of October 1, 2017, it will only go into effect if the Secretary of State’s Office receives sufficient funding to implement the new system.

North Carolina General Statute §§ 66-68 requires that before any person or business engages in business in a county in North Carolina under an assumed name, or designation other than the name set out in the Certificate filed with the Secretary of State establishing the business, such business or person must file a Certificate of Assumed Name.

The current process for filing a Certificate of Assumed Name requires businesses to register their assumed name in each county where they do business through the counties’ respective Register of Deeds Offices. However, effective July 1, 2017, businesses that operate in multiple counties will be required to register their assumed name in only one of the counties it does business. This was amended via §§ 77-71.4, and makes it easier and cheaper to do business in counties across North Carolina.

Before filing a Certificate of Assumed Name, business owners should first search the Register of Deeds Office website of the county they plan to do business in to make sure the name is not already taken by another entity.

If you own a business (or plan to start one) and operate under an assumed name, please contact Elon Law’s Small Business and Entrepreneurship Clinic at (336) 279 – 9217 or businessclinic@elon.edu if you have any questions about the status of this Act or how to file a Certificate of Assumed Name for your business.

 

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