The technicalities of running a small business
Choose your type of business
The legal requirements for your business will vary depending on what type of business you have. Basically, they can be a sole proprietorship, an LLC (limited liability corporation), or a corporation. Once you know this, you can follow the specific laws required for your type of business.
Check with your state and each state you do business in.
Each state has differing laws when it comes to legal requirements for home or small businesses. Each state has a Small Business Administration resource office that will provide you with all of the legal requirements for starting a business. Keep in mind that legally running your business includes not only complying with federal and local laws in the state in which you run your business, but you also must meet laws for every state you do business in. This also includes internet transactions if you mail your product to another state.
Get all necessary licensing
Different businesses require different types of licenses. For example, a restaurant or food cart will require a food handler's permit, health department licensing, and liquor licenses if alcohol is being served. Be aware of licensing for your employees as well; hair stylists or others in the beauty industry must meet certain licenses for their profession, as well as daycare workers.
Insurance is a vital part of a business to protect yourself and your assets and employees. The following insurance types are required by law for the majority of business owners:
? Liability. This is to protect you in the event of a lawsuit.
Trademarks and copyrights
If you have a business name and logo you want to trademark and copyright so that no one else can use or copy it, you will also need to look into patent, copyright, and trademark laws to find out what steps are required to obtain a trademark and copyright.
Know labor laws
If you have employees, you will have to comply with labor and minimum wage laws within the country and state. IN addition, you will also need an Employer Identification Number from the IRS, regardless of whether you have employees or not.
There are many technical sides of running a small business, and it's important to be aware of each of them. It's also a good idea to contact the Small Business Administration in your area so you know that you are running your business correctly and legally.