When starting a new business, it is imperative that you follow all the necessary startup law. There are various requirements you will need to obtain in the course of starting up a business without excepting tax duties, employment laws, financial rules and regulations etc. Be sure that your new business complies to all the start up law and legal requirements so you can get it done with and focus more on the growth and development of your business. Below are some start up laws and legal requirements you need to start up a business.
Select your business structure
This is the first action you need to take when starting up a business. You need to choose your preferred business structure or your company. It’s either a limited liability company or a corporation. Bear in mind that each of this business structures comes with it’s own benefits and disadvantages. So think hard and make in depth research of every thing associated with a limited liability company and a corporation before making a choice.
Register your business name
After you’ve selected your preferred business structure, the next step to take is to register your business name. Choose a name that closely relates to the type of business you want to do and be sure that the name isn’t already used by someone else. The registration involves a format
- Choose an entity name- this protects your business legally at the state level
- Choose a trademark- this protects your business legally at the federal level
- A DBA- has no protection offer but may still be needed
- A domain name- for your business website
Get your federal tax ID
this is also known as your Employer identification number. With this, you have all full rights an can legally employ anyone, pay your tax, get business loans, and you have access to opening a business account. Also make inquiries as to whether your state of residence or business requires a state tax identification number.
Get your business permits and license
depending on your field of business, you will need to get a business permit and a license to avoid troubles with the government authorities. The license you get also depends on where you live.
Get an insurance coverage
Your business can never go wrong with an insurance coverage, insurance companies offer several packages for business.