There are some basic requirements that every entrepreneur should consider when it comes to starting a small business. These requirements will help ensure that your company is both profitable and compliant.
Before you start a small business, it’s vital that you thoroughly understand the various legal requirements. Having a clear understanding of these requirements will allow you to make informed decisions and improve the efficiency of your company.
Creating A Business Structure For You
Before you start a business, it’s also important that you ask yourself several important questions. Some of these include: What are my goals, how do I want to provide goods and services, and what financial resources are available to me?
It’s also essential that you gather information about yourself so that you can make informed decisions. There are varying needs of each individual. For instance, some people may want to start a sole proprietorship to avoid potential legal action, while others may need to file for a corporation to grow their business.
It would help if you also understood the various federal tax obligations that are associated with it. The US Small Business Administration has multiple resources that can help entrepreneurs understand these obligations.
Choosing Your Name and Registering
If you don’t register a DBA as a sole proprietor, your company’s legal name will be the legal name of the owner. For instance, if you’re planning on starting a consulting firm and have the name Johnny Good, then the legal name of the company will be “Johnny Good,” as well.
If you’re planning on registering a company name that’s similar to Johnny Smith Consulting, then you’ll need to do so as a DBA. The specific requirements for registering a name such as this vary depending on the state.
If you’re planning on establishing a legal entity, then you’ll need to submit an application with your state for either an Article of Incorporation of Articles of Organization. You can choose to have either an S Corp, C-corp, or an LLC, and either of these will need to be filed with your state.
If you’re planning on operating a business that’s online or other national activities, then you will want to see about registering a trademark for your company name. Although it’s not required, registering a trademark can provide you with stronger protection for your brand.
Before you start the process of registering a trademark, you’ll need to apply with the US Patent and Trademark Office.