HOW TO START A BUSINESS

HOW TO START A BUSINESS

TOWING AND HAULING

STEPS TO START A BUSINESS

• FIRST STEP: Write a Business Plan.• SECOND STEP: Choose a Business location.• THIRD STEP: finance your Business.• FOURTH STEP: Determine the Legal Structure of the

Business.• FIFTH STEP: Register a Business Name.• SIXTH STEP: Get a Tax Identification Number.• SEVENTH STEP: Register for State and Local Taxes.• EIGHTH STEP: Obtain business, Licenses, Permits and

Insurance.

WRITE A BUSINESS PLAN

The Business plan is the essential road map for the success of your Business.

It should include at least 3-5 years ahead in outlines and other information to grow revenues with your company.

The Business plan should also include specific products, services and a help guide for the owner Business Goals and Objectives for example.

Cost and complexity of information. Taxes and securities forms. Need for attracting additional capital. The goals and purpose of the

enterprise.

BUSINESS LOCATION

Choosing a Business location is perhaps the most Important decision a small business owner has to do

Most Businesses provides exposure to customers.

Here are some tips to help you choose the right location.

Brand image: is the location consistent with the image you want to maintain or expose.

Competition: Businesses exist in a competitive environment

Competition with each other to provide the best possible value for money and quality of products.

Safety: consider the crime rate. A safe neighborhood where employees must feel safe alone in the building or walking to their vehicles.

HOW TO FINANCE A BUSINESS

• financing is one of the most challenging obstacles an entrepreneur has to overcome when starting a business most startups require at least a small amount of money to get off the ground. But a lack of money shouldn’t mean you have to put your business dreams on hold, here are some ways to finance your business.

• Consider to apply for a small business loan.• Product presales another way to raised money to

finance a business.• Friends and family if you have a friend or relative with

some spare cash, you have another potential way to finance your business.

DETERMINATE THE LEGAL STRUCTURE

When starting a business, you must decide what form of business entity to establish. This determines which income tax return form you have to file.

Nearly every state levies a business or corporate income tax, like federal tax. Your state tax requirement depend on the legal structure of your business.

• Sole Proprietorship: Is someone who owns an unincorporated business by himself or herself.

• Partnership: Is the relationship existing between two or more persons.• Corporation: The shareholders exchange money, property, or both, for

the corporation’s capital stock.• Limited Liability Company (LLC): This is taxed separately from the

owners of the business.

REGISTER A BUSINESS NAME AND GET AN IDENTIFICATION NUMBER

REGISTER YOUR BUSINES NAME.• naming your Business is an

important branding exercise, but if you choose to name your business as anything other than your personal name then you’ll need to register it with the appropriate authorities. The legal name of your Business is required on all governments forms and applications, including your application for employer tax IDs, licenses and permits.

Obtaining a federal business tax id.

• An employer identification number (EIN) is also known as a federal tax identification number, and is used to identify a business entity. Generally businesses need an EIN you may apply in a various ways online or

with the IRS.

REGISTER FOR STATE AND LOCAL TAXES

In addition to business taxes required by the federal government, you will have to pay some state and local taxes. Each state and locality has its own tax laws.

The most common types of tax requirements for small business are:

• Income taxes: Depends the structure legal of your business. For example, if your business is a Limited Liability Company (LLC), the LLC gets taxed separately from the owners, while sole proprietors report their personal and business income taxes using the same form. Consult the General

• Employment taxes: In addition to federal employment taxes, business owners with employees are also responsible for paying certain taxes required by the state. All states require payment of state workers' compensation insurance and unemployment insurance taxes.

OBTAIN BUSINESS LICENSES, PERMIT AND INSURANCE.

• To run a business legally, there are certain federal and state licenses and permits you will need to obtain. These resources will help you. If your business is involved in activities supervised such as selling alcohol, firearms or explosives then you need to get a federal license.

• If you want to establish a transportation or a convenience store business. Then you need a state license or a permit.

• Running a small business involves a significant investment. Business insurance protects your investments by minimizing financial risks associated with unexpected events such as a death of partner, an injured employee, a lawsuit or a natural disaster. Business insurance is generally not required by law, however, it is common purchase enough insurance to cover your assets.