In Ontario, a business operating name—commonly referred to in the U.S. as a “DBA” (Doing Business As)—allows a business to carry on commercial activities under a name that differs from its legal or registered corporate name. Registering an operating name is a straightforward and cost-effective way to build brand identity without altering your business’s legal structure.
Key Takeaways
- An operating name allows a business to use a name other than its legal name for commercial, branding, or marketing purposes.
- Sole proprietors, partnerships, and corporations may register operating names in Ontario through ServiceOntario.
- Registration is mandatory under Ontario law if a different name is used in business dealings.
- Operating names do not confer legal exclusivity or trademark rights.
What Is an Operating Name in Ontario?
In Ontario, an operating name is a business name under which a sole proprietorship, partnership, or corporation conducts business, other than its registered legal name. For example, if a corporation is registered as 12345678 Canada Inc., it may register and operate under a brand name such as Maple Technology Solutions.
This name must be registered under Ontario’s Business Names Act if it is used in commercial activities such as advertising, signage, invoicing, or contracts. Importantly, operating names do not create a separate legal entity.
Why Register an Operating Name?
Registering an operating name allows your business to:
- Build public recognition with a marketable and professional identity;
- Conduct business, open bank accounts, and enter into contracts under a recognizable name;
- Comply with legal obligations—failure to register can result in penalties under the Business Names Act.
Without registration, many banks, suppliers, or clients may decline to engage with your business under the unregistered name, and enforcement of contracts could be complicated.
Insight Law Professional Corporation is a law firm located in Toronto. If you’re looking for business name registration, contact a lawyer today.
Who Should Register an Operating Name?
You should register an operating name in Ontario if:
- You are a sole proprietor operating under a name other than your personal name;
- You are a partnership using a name other than the partners’ full legal names;
- You are a corporation operating divisions, launching new brands, or expanding into new markets under different names.
Registration is required if the operating name is used in any public-facing or commercial activity.
How to Register an Operating Name in Ontario
The registration process through ServiceOntario is straightforward:
- Choose a Name
Select a name that reflects your business and is not misleading or similar to an existing registered name or trademark. - Check Availability
Use ServiceOntario’s business name search tool to ensure the name is not already in use. NUANS is not required for operating names—only for incorporations. - Register Online or by Mail
Complete the registration through ServiceOntario. You’ll need the legal business name, the proposed operating name, and contact details. - Pay the Fee
Pay the fee as outlined on the Government of Ontario registration website. - Retain the Confirmation
Once approved, you will receive a Business Name Registration document. This is often required by banks and government bodies. - Renew Every 5 Years
Registration is valid for five years. If not renewed, the operating name will be cancelled and may become available to others.
Benefits of Registering an Operating Name
Benefits of business name registration include:
- Branding: You can use a name that better aligns with your services, target market, or location.
- Flexibility: One legal entity can operate multiple brands or divisions without needing separate corporations.
- Operational Simplicity: Enables banking, invoicing, and contracting under a business-friendly name.
Limitations and Legal Considerations
- No Name Protection: Registration does not grant exclusive rights to the name. It does not prevent others from registering a similar name. For protection, a trademark should be registered with the Canadian Intellectual Property Office (CIPO).
- No Liability Shield: Operating names do not limit personal or corporate liability.
- Legal Compliance: Failure to register an operating name may result in fines, and may affect your ability to enforce contracts or open business accounts.
Renewing and Updating Your Operating Name
Operating name registrations in Ontario are valid for five years. You must renew before the expiry date to maintain active status. If your business relocates or expands to another province, you must register the name separately in that jurisdiction, as Ontario registration is not national.
Using Your Operating Name
Once registered, the operating name may be used on:
- Invoices and receipts
- Marketing and advertising materials
- Signage and websites
- Business bank accounts (most banks will require proof of registration)
Corporations may also register multiple operating names for different product lines or locations, while maintaining a single legal entity.
Summary
In Ontario, an Operating Name allows businesses to present a different name to the public without changing their legal identity. It must be registered under the Business Names Act if used in commercial activity. While it enhances marketing flexibility and operational efficiency, it offers no legal exclusivity or liability protection, and must be renewed every five years.
For long-term brand protection, consider combining the use of an operating name with federal trademark registration or incorporation, depending on your business needs.
Frequently Asked Questions
Is an Operating Name the same as a Trademark?
No, an operating name is not the same as a trademark. An operating name (or business name) is simply the name under which a business operates, and must be registered if it differs from the legal name of the business entity. However, this registration does not grant exclusive rights to the name or prevent others from using a similar name. In contrast, a trademark is a form of intellectual property that, once registered with the Canadian Intellectual Property Office (CIPO), provides the owner with exclusive legal rights to use the mark across Canada in association with specific goods or services, and enables enforcement against unauthorized use.
Is registering an operating name mandatory in Ontario?
In Ontario, registering an operating name is mandatory whenever a business uses a name other than its legal or corporate name. This applies to sole proprietors who operate under any name other than their full personal name, partnerships using a business name that differs from the names of the partners, and corporations conducting business under a name that is not their registered corporate name. The only exception is when a sole proprietor uses their exact legal name with no additions. Failure to register an operating name as required may result in penalties and could impact a business’s ability to operate or enforce contracts under that name.
Can a federal corporation use an operating name in Ontario?
Yes. A federally incorporated company may operate in Ontario using a different business name than its legal corporate name. However, to do so legally, the corporation must register the operating name under Ontario’s Business Names Act. This ensures compliance with provincial regulations when conducting business under an alternative name within Ontario. Registration is required even if the corporation is federally incorporated, as there is no automatic right to use a business name in a province without proper registration.
The information provided above is of a general nature and should not be considered legal advice. Every transaction or circumstance is unique, and obtaining specific legal advice is necessary to address your particular requirements. Therefore, if you have any legal questions, it is recommended that you consult with a lawyer.
