Updated: May 27, 2021
“Nothing just happens; it's a process! - Jo Mayo”
Thinking about starting a business? Well, planning to launch a business requires a certain level of thoughtful self and business concept exploration. A wise builder takes into consideration the ground upon which a structure will stand before building out the structure.
Likewise, building and developing a business into a viable, thriving business requires a great deal of accountability, responsibility, initial and ongoing WORK.
Consider these things:
1. Self-reflection - What are you most passionate about? What relevant skills do you possess? What is/are your specific area/areas of expertise? How does your skills/passion/areas of expertise set you apart from anyone else? What is your business value proposition? 2. Legal Structures - Take the time to understand which business entity structure is most applicable to your business structure. Specific to each type are pertinent IRS income tax forms required. Perform extensive research to ensure you take into account all-legal and tax implications prior to establishing a business structure. 3. Business Name - Give thoughtful-exploration to the name of your business—it is a reflection of your brand. Be intentional and deliberate. Choose a business name that is distinctive, creative and true to your brand. 4. Register your business - Now, that you have determined your business name, its time to protect it. Registering your business prevents others from using your business name. The U.S. Small Business Administration provides 4 different ways to register your business name. Explore the advantages and possible disadvantages. Do your homework! 5. Business EIN - Social security numbers are used to individually identify someone. Likewise, an Employer Identification Number (EIN) operates in a similar manner, but for your business. Applicable and required State and Federal tax obligations are tied to your EIN.
Your EIN is forever connected to your business and will be required for certain business transactions or relations e.g. paying employees, withholding taxes, wages, etc. You will definitely be required to provide this number when opening a business account. EIN’s can be obtained using the IRS Assistance tool. Go to the IRS.gov website and type in EIN assistance. BE sure you are on the IRS website! 6. Licensures and Permits - Licensure and permits may be required depending upon State and Federal requirements. Your business location, activities, and governmental regulations, are all contributing factors. Know which applies to your business. Be well-informed! 7. Business Account - Protect yourself! It is not wise to commingle personal funds with business funds. Be accountable! Before you begin to conduct business transactions, contact your local bank or credit union to determine what documents are required to open a business account.
"An ounce of prevention is worth a pound of cure." - Benjamin Franklin
Starting a business doesn't just happen, nor does it happen overnight. Accountability is a must and responsibility is a plus. It is wise to have a support system of professionals to help keep you on track. Safeguard your self. Don’t try to go at it alone. The right resources in the right place makes business life less complicated! Much Success!