A DBA can be highly beneficial for business marketing, but setting up bank accounts in the name of a DBA rather than in the legal name of the individual or entity that owns the business can be complex and require documentation proving that you have a right to use the business name.
Most businesses use double entry accounting, a system in which every financial event causes two transactions, a debit in one account and an equal offsetting credit in another account. When a company establishes an accounting system, it must choose to use either a single entry system or a double entry system.
If you will follow these rules, it will make your accounting life a lot easier. 1  You will always use both a debit and a credit for every journal entry. That is what the system of double-entry bookkeeping is based on. 2  Remember the format of the Accounting Equation where Assets = Liabilities + Owners Equity.