There are some important steps that entrepreneurs should take when they are getting their new business off the ground. When forming a startup, new business owners should understand the business law tools that can help them with the business formation process.
Steps for getting a startup off the ground
- Perform market research – it is important to conduct market research to better understand potential customers and other businesses operating in the target market.
- Write a business plan – it is important to have a business plan because the business plan is the foundation for the business. It helps determine how the business will be structured, run and grow.
- Fund the business and set up a business bank account – it is important to determine how much money will be needed and how to raise capital to cover what is needed.
- Decide on a business location – it is important to carefully select a business location. Whether it is online or brick and mortar, the business location will impact the regulation, taxation and legal requirements the business is subject to.
- Chose a business structure – it is important to carefully select a business structure which will impact control of the business, operation of the business, reporting and registration requirements for the business, personal liability, taxation and the ability to raise capital.
- Choose and register a business name – it is important to select a business name that is not in use and to register it once selected.
- Apply for licenses, permits, and tax IDs – it is important to take care of all of the administrative requirements including applying for necessary licenses, permits and tax IDs.
A business startup can be an exciting opportunity for any entrepreneur. To set the business up for ongoing success, it is helpful to be familiar with the business formation process and how to conduct that process.