If you have been thinking about changing careers and have grown tired of applying for job after job, then perhaps starting your own business might be a great answer for you. It actually can be easier than you think, and we are here to give you some guidance. From registering your name to making sure you have filled out the correct government forms, here are the steps to getting your new career as a business owner off on the right foot.
It used to be the thinking that your business name needed to describe exactly what you do - then along came a little business named 'Google' and people began to realize that might not be the case anymore. Of course the name will represent who you are to your customers so making sure it is something you are comfortable with is important. Once you have chosen the name, begin by registering that name locally as a DBA which stands for doing business as. What many people don't realize is that this name might actually be in use currently anywhere around the country and that is ok. As long as it is not in use in your county, local area, or in some cases your state, you are able to use that name as well. There is usually a nominal fee of about $15 to register your DBA.
Now that you have your new business name registered as a DBA, and your new career is closer than ever, it's time to let your state know that you will be in business. In many states this will require a trip or call to the State Comptroller Office. The comptroller office will want to know what type of business you would like to be and those choices are usually; LLC (Limited Liability Corporation), Limited Partnership, or Corporation. Choosing which option is best for you should be answered by your CPA, since all have different advantages. You will also need to let the comptroller office know what name you will be using to register with their office. More times than not, the name you chose for your DBA will have already been chosen because many people can use a DBA, but the state only allows one to be a corporation. Your corporate name will likely be different than your DBA.
Lastly if your new career involves selling actual items that you will be collecting sales tax on you will need to take one more step - getting a resale certificate. This is only if you are selling a product that requires sales tax to be collected and is not needed if you are selling a service like consulting for example.