How to Start a Business

When it comes to starting a business, some people get nervous and some even scared to venture out. This need not be the case. Starting a business can be as easy as learning how to pay a bill online. Obviously you do want to take your time and do it right since this is a little more than just paying a bill online and probably a lot more money involved. Fear not. Here are a few simple steps you can take to start out on the right track.

First you have to have the idea for a business. Whether it is a product you are selling or a service you're offering. Once you have the idea in place I suggest you look into purchasing business plan software. I personally use Business Plan Pro by Palo Alto Software. It will really open your eyes to a great number of things that even an experienced business person has not considered. It will also help keep you in focus and on the right trail. It's very easy to go astray with all of the different options and variables that you will come across. Once you have a business plan put together, you can begin to put the business idea together as an entity.

To make your business legal you will have to establish a business name and register it with the state. Now days this can be done online in a matter of 15 minutes. The time and the cost associated doing it this way will vary from state to state. I do happen to know that in the state of Colorado it costs $50.00 to create an LLC as of January 2009. If this is your first time creating a business it could take longer as you will want to research what type of business is best for you. Another way to get this information is to hire a CPA. A CPA can be your best friend. They can also create the business and register it for you. This is definitely the easier way but could cost you 10 times as much. It's really your call. I personally would rather do the research and spend $50 as opposed to $500.00 to start my business. On your states web site you will be able to search the database to see if the business name you are considering is available. Once you have determined it is, you can create the LLC or whichever type of business you want right from the web site. When all is created and you have triple checked to make sure everything is perfect, you will most likely be able to pay for it online with a credit card.

After the entity has been fully created and you have filed the Articles of Organization, you can look up the number for the IRS and call them or go online and file for an (EIN) Employer Identification Number. This only took me 5 minutes the very first time I did it.

That's it; you are now officially a legal business. Make sure you create a file and keep impeccable records of all receipts of purchases online or in person. This is also where your CPA comes in handy. Your CPA can assist you in how to keep good records for filing and what you can write off and you can't. This is going to be very important when it comes time to file your taxes. You may want to consider purchasing QuickBooks to keep your books up. I suggest consulting with your CPA to see if they are using Quick Books or if they recommend different software.

Next you may want to consider creating a web presence. In this technology age it is almost imperative to have a web presence in order to establish credibility with your prospective clients. One of the first things someone will ask you for is a business card with an email address and a web site address. For a web site I suggest using GoDaddy.com. The reason I like godaddy is the ease of use in the back office. Back office are the tools you have access to in order to administer your domain name and options. They are reasonable and cheap but even better, their customer support is great! Also if you do not know how to design a web site and need help without blowing your entire saving, try going to elance.com. You can hire a web developer for a lot less than your local neighborhood geek. Also check out Craigslist for developers. I have seen some pretty good deals under the Services section for web sites.

For business cards I suggest Vista Print. You can get a very good deal on business cards and almost everything else you can think of that you might need for a business. Might I suggest that before you purchase anything you search the net for a promo code that you can enter when checking out. This can save you a significant amount of money depending on what you are purchasing.

Well this should get you started and on your way. I hope you find this information to be helpful and also know that this is a broad overview of getting started. There are very many more details involved that I'm sure you will figure out along the way. I just wanted to break it down for you and show you how easy it is to get started.

To your success!