Starting your own business and entering into entrepreneurship can be exciting, but the excitement can quickly fade if you don’t get off to the right start. There are important decisions you must make from the very beginning, and you may need some help from a local accounting service to give your business its best start.
Know The Small Business Checklist
Before you get started with your small business plans, know the checklist of things you need to look into before you begin.
- What insurance do you need?
- What permits and licenses are necessary?
- Are there zoning laws with which you must comply?
- What are your tax requirements?
- Are there certain types of insurance you need?
- Does your sole proprietorship or partnership need a “doing business as” name or DBA?
- What are the state and federal requirements if you choose to start a corporation?
Start Off With A Legal Structure
Deciding the legal structure of your new business is is important and should be decided first. There are several legal structure options, such as sole proprietorship, corporation, partnership or some variation of these. The decision you make about legal structure affects many aspects of your business.
- The taxes you pay
- The costs of starting and running your business
- The amount of control you have over your business
- Your personal liability for business debts
- Your personal liability for lawsuits filed against your business
- Your ability to get loans or invest capital to further finance your business
Your business’s legal structure also affects the type of bankruptcy you can file. Even though bankruptcy is not something new business owners want to think about, it is important to understand your options in the event that your business aspirations don’t go as planned.
Work With Accounting Services
Before you make the final decision about your business structure, you should schedule an appointment with an accountant. During this meeting, you can get more detailed information about the advantages and disadvantages of each structure as they pertain to your particular type of business. The accountant can discuss other issues and concerns of new businesses that you may not be aware of. Once you find a good accounting service, you may want to keep them on the payroll for bookkeeping, tax services, or managing your business credit. You can also use the accounting service for all three.
Starting a new business venture takes a great deal of thought and planning to be successful. If you want to get your business off to the best start, you need to consider discussing your business plans with an accounting service, such as The Callen Accounting Group, PLLC, to make sure you’ve thought of everything.