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How to Register a Business


Following is a simple checklist you may follow for starting and registering your business:

1. Business License - all businesses need a license

2. DBA/Fictitious Business Name - businesses using a name other than the owner's name have to register a DBA/Fictitious Business Name Certificate. If your business is an LLC or corporation, a DBA is not required.

3. State Tax ID/Employer ID Number EIN - businesses that have employees have to get an EIN and a Federal Tax ID Number (FEIN).

4. Seller's Permit/Reseller's License/Tax ID - wholesalers or retailers of taxable goods and services need to a Wholesale License, Seller's Permit or Resale License.

5. Federal Tax Id Employer Identification Number FEIN - corporations or LLCs, employers, and, in some states, those businesses that are also getting a Seller's Permit are required to obtain a Federal Tax ID Number (FEIN) and a Business License.

6. Corporation or Limited Liability Company - articles of incorporation or articles of agreement.

7. Partnership/LLC Agreement - Operating Agreement.

Some of the above permits and licenses are necessary in opening a business bank account. Make sure that you comply with all requirements and provide all necessary documents in order to register and obtain your business license or a home occupation permit before you start business operations. If you do not, there is a very high possibility that you may incur monetary and punitive liability for failure to do so.

Arthor and Source: Mike Goldman



The main benefit of becoming incorporated is the limited liability status that incorporation affords the company’s owners. Personal liability of the owners is restricted to their capital invested. The primary disadvantages of incorporation are double taxation and the additional burden of statutory controls and record keeping. This article further discusses the advantages and disadvantages of becoming a corporate entity.

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