| Starting a new business can be difficult, but it can be a | | | | for. This can be confusing to those starting a new |
| lot harder if you are doing it on your own. A lot of | | | | business and there are benefits to filing either way and |
| business owners bring in partners, accountants, and | | | | you can read more about it on the Small Business |
| even lawyers to help them through the beginning | | | | Administration website. |
| stages of business. Even if you are building your own | | | | 3. Once you have decided which way you would like |
| business from the ground up, it doesn't mean that it | | | | to conduct business, it's time to register your business. |
| has to be a hard task to complete. As long as you | | | | You will do this directly on your state's website. It will |
| have a clear plan of tasks you need to complete, you | | | | allow you to register your trade name and select the |
| should easily be able to get your business off the | | | | way you would like to conduct your business. This is a |
| ground. | | | | necessary process when starting a new business, |
| 1. The first thing you need to do is make sure you | | | | although it will cost a fee it's usually minimal. The fees |
| business name is available. To do this you will use your | | | | and filing process varies state to state but registering |
| state's website. There will be a link on the website that | | | | online is a lot cheaper than having an accountant file |
| will search for the business name you have decided | | | | the paperwork. After you have registered your |
| on. It will search current businesses that are registered. | | | | business, the paperwork with your employer |
| If the trade name isn't available you will have to think of | | | | identification number will be mailed to you. |
| a new one. It can get aggravating when the name you | | | | 4. Once you receive your EIN, you can open your |
| have picked is in use, but when you are starting a new | | | | business checking account. It's always smarter to keep |
| business you will want your business name to be | | | | your business and personal money. You will need to |
| catchy, original, and describe the kind of work you do. | | | | keep track of all finances whether the money is |
| 2. The next thing you will need to do is decide whether | | | | coming or going. Things like receipts should be kept for |
| you will conduct business as a corporation or a sole | | | | tax purposes. |
| proprietor. A sole proprietor does business as an | | | | 5. The last thing you should do before you begin |
| individual. While your taxes as a sole proprietor will be | | | | working is obtain business insurance. Just like you |
| easy to file, you will pay taxes at a higher rate than a | | | | would protect your personal assets, you should protect |
| corporation. You can file your business as a | | | | your business ones as well. |
| corporation even if you are the sole owner and | | | | Once you have everything set up legally, your assets |
| employee. Filing as a corporation will save money at | | | | both personal and business are secure, and you are |
| tax time and it also gives your personal assets more | | | | organized it's time to start working! |
| protection against anything the company may be liable | | | | |