Starting a small business can change your life for the better, allowing you to take control of your own destiny and to build your reputation in the local community and beyond. If you’re particularly lucky, you can turn it into a family business and get your partner or your children involved.
At the same time, though, it isn’t always easy. There are specific legal requirements that you need to adhere to which can change from region to region, and if you find yourself falling foul of them, you could be in for a fine – or worse!
And so without further ado, here are five steps to starting a business for those who are worried about legalities and compliance. Let’s get started.
5 Legal Requirements for Starting a Small Business
1. Do you need help?
If you’re struggling, think back to when you were a student and you got college assignment help. Now it’s time for you to seek legal help! Hiring a lawyer or even just a business expert can save you a lot of time in the long run because you can make sure that everything is in order right from the very beginning.
2. Can you use the name?
One of the earliest things that people tend to do when starting out is to come up with a name for their company. Just remember that one of the most basic legal requirements for starting a small business is to make sure that you’re legally allowed to use the name. Make sure that nobody else has copyrighted key terms and consider copyrighting them yourself. Another good thing about this factor is that researching different names can also give you innovative ideas on top business opportunity. You can later transform those ideas into reality by expanding your entrepreneur horizons.
3. Have you sorted your tax?
In the United States, your business will need to comply with federal, state and local tax laws, while in the UK you’ll need to register either as self-employed or as a limited company, business partnership or social enterprise. Make sure that you’re registered and that you know how much tax you need to pay so you can save up and pay on time accordingly. To do that successfully, you’ll have to either hire an accountant or do the accounting by yourself. With the use of software, you can easily sync all your transactions from your CRM or POS system (if you have one).
4. What are the local employment laws?
While you may be planning to start out with just yourself, if your business grows then you’ll eventually find yourself taking on other employees to help you with the workload. If that’s the case, you’ll need to make sure that you’re in full compliance with any laws that cover your area. Of course, it’s also in your best interests to be an honest employer because word spreads and if you treat employees unfairly, no one will want to work for or with you.
5. Do you have the right licenses?
In many cases, you’ll require certain permits and licenses if you want to do business. The same goes for if you need to obtain permission to use certain patents and even images. For example, you may require the licenses to use imagery in your social networking presence or to include the logos of a company whose products you stock.
Now you know how to legally start a business, the next step is for you to make your dreams a reality. Carve out some time to follow the steps to starting a business that we’ve shared with you, but make sure that you’re ready for the commitment required before you get started.
Being able to legally create a business is one thing, but to make it sustainable is another. Spend some time reading articles and how-to guides and be sure to perfect your business plan so that you get started with the most solid foundation possible. Good luck.
Bryan Davis is a freelance writer and registered business owner. He writes about his successes and failures in the hope that he can stop other people from repeating his mistakes. He believes that anyone can be a businessperson and prides himself on the fact that he helps people to reach their full potential.