Oh, America...
As you all know, America is a dreamland for everyone who willing to start or expand their businesses. This country is promising a lot of benefit for business owners to run their activities.
You must be aware that United States holds a prominent role on global business, so if anything goes wrong with the US economy then it will ruin almost every businesses around the world. If you are planning to be an entrepreneur and start your own company in United States, you are in the right path to gain your bright future.
Before you start to make your own local business, you must complete some legal work by the United States government. It is important to be done to protect both your company and public interest. First thing to do is registering your company or business. There are five simple steps of it that you have to follow in order to have necessary license, permits to start your business, they are namely:
Your legal business structure. Mainly there are four structures of business that you should determine, they are
- limited liability
- sole proprietor
- partnership
- corporation
Those three have specific impact on legal, financial and tax. You have to choose one of those three based on the following consideration:
- How far you will get involve with your business or company
- Your business circumstances against any kind of public or personal lawsuit
- Capital requirements
After you decide one that suits your business qualification, you can move on to the next step which is to register your local business to state agencies.
You should use your full and real name when you fill in the paperwork, but if you can't use your real name because some private reasons then you must register at the states and fill in 'doing business as' name option.
Federal tax ID
You should have EIN (employer identification number) or employer tax ID if your local business has more than one employees or your business is categorized as corporation or business partnership. You shouldn't be worry because the procedure is simple. You can even register your employees' tax ID by accessing IRS website and complete the data in the available online form. If you don't familiar with online registration and want to fill out the paperwork, you are free to visit nearby IRS office.
You also can consult with their officer if you have some question at their number 1-800-829-4933. You can call them whenever you had some difficulties to complete their requirements.
State tax ID
Once you complete federal tax id requirements, you should continue to gain state tax ID and their permits. You should complete this step also to avoid legal problems with the authorities. It is intended to cover your business obligation to United States government that consists of sales, income and employment taxes.
Licenses
The last and the important thing is to get your business license from the federal authorities.
Once you complete those five steps then it means you are ready to run your business in United States.