Using the Acquired Businesses Name on Day 1

by a searcher from The University of Texas at Dallas - Naveen Jindal School of Management

10 months ago

I'm in the process of purchasing an existing business via an asset purchase.  I have an LLC setup that I will use to purchase the business; however, I don't understand how to change the name of my LLC so that I can operate the newly acquired business on day 1 using its current business name.  Can anyone provide insight on this?

My understanding is that the current Owner will need to change the name of his business to something else in order for me to rename my LLC to that name; however, this would not take place until after Day 1, so what do I call the business during that transition period?  What name do customers put on checks? 

Thanks in advance.

1 like
268 views
11 comments

searcher from Montana State University

I just use a DBA. Doing Business as. This will be what you will create under the LLC depending on your secretary of state. You can just put together a basic letter that is signed by both you and seller stating they are giving you ownership of the name. Then go file it as a DBA and you should be good to go. When you create your back account or do any contract you will use your LLC name but your customers will still know you by the DBA.

10 months ago | like reply | 1 like

searcher from University of Virginia-McIntire - McIntire School of Commerce

Helpful discussion--thanks

10 months ago | like reply | 0 likes

More on Searchfunder

Just Closed on My First Deal! Reflections and Takeaways for other Searchers

45,152 transactions are available on Searchfunder (now searchable by keyword)

Now everyone has unlimited IBISWorld access

Family office looking for traditional searchers

2 Best Ways To Find Motivated Sellers, Off-Market Deals

Investor seeking Self-Funded Search Deals

Downsides of "buying a job" below 750k+ EBITDA?

6-7x for a Self-funded Search Deal?

Searchfunder is an online community and toolkit for searchfunds. Over 80% of those involved in searchfunds maintain a Searchfunder.com account to help them network, problem solve challenges, and keep up with the industry.

We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.