7:06 PM
Lanee' Blunt
By Lanee’ Blunt
Starting your own business
requires that you must have a marketable product or service that will reach
your paying customers. Starting a business involves planning, making financial
decisions, and following the steps to ensure that your company has the
necessary licenses, permits, and registrations.
Determine Legal Ownership
You must set up your
business as a legal entity. Decide which form of ownership is best for your
particular business: sole proprietorship, partnership, Limited Liability
Company (LLC), corporation, or S corporation.
Obtain Federal Tax ID
Apply for an employee
identification number (EIN) with the federal government. Fill-out the necessary
forms and send them back to the federal government and they will return it to
you with your EIN number. You will need
this to hire employees. The EIN is also known as an Employer Tax ID and Form
SS-4.
State and Local Taxes
Register with your state for
a tax identification number, worker’s compensation, unemployment and disability
insurance.
Obtain Licenses and Permits
Get the licenses and permits
that you need to run your business. Most small businesses will need a general
business license or specific operating permits from your state and local government.
Reference:
SBA: 5 Steps to Registering
your Business
Inc: How to Prepare to
Launch Your Start Up; Matthew DeLuca; 2011
Posted in: Start Up
