2. Follow laws and government regulations.
Having now determined the best business structure for your business, you need to ensure you properly register your business, if required, with the county of residence (for sole proprietorships and general partnerships) and with the state you will be doing business (limited partnerships, corporations and LLCs) as well as to obtain a federal employment identification number by filing with the IRS, using Form SS-4, which you can find here http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Apply-for-an-Employer-Identification-Number-%28EIN%29-Online.
As a business owner, you should be informed about the laws and regulations that relate to your business. Therefore, you need to check with the municipality and county in which your business is located to learn about any local regulations, with which your business must comply. If you are selling retail, you will need to apply for a sales tax number, retain records, and submit you sales tax on a regular basis. In addition, depending on the nature of your business, the state in which you conduct business may require that you obtain a license, certification, and/or registration.
If you have employees, in addition to paying them, you will have to pay various federal, state, and in some cases, local payroll taxes and charges. It is very important that you pay at least minimum wage in your area, and the workers’ compensation and unemployment insurance charges applicable to your industry and employees. The federal and state governments provide information sheets on minimum wages, minimum benefits, health and safety and other employment related regulations. If you plan to hire independent contractors, it’s important to understand the laws pertaining to them. You can refer to this link to the IRS website for information in this area. http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Independent-Contractor-Self-Employed-or-Employee. Misclassifying a person the law deems to be an employee as an independent contractor can have business-ending repercussions.
If the company will be seeking investors in order to raise investment capital, it is important to comply with the various securities laws pertaining to your company. A securities attorney can work with you on identifying, advising, and counseling you in this area.